New York basements are becoming sought-after rental options 2021

New York basements are becoming sought-after rental options

17.12.2021 18:00
Author: Natalia Zykova

Statistics rely that New York City’s 50,000 basement apartments are home to over 150,000 people. It is not possible to determine the number of people living in properties under apartment buildings more accurately. Many of these premises are leased illegally.

In 2018, the Big Apple mayor Bill de Blasio approved a program to legalize basement apartments.The local budget allocated $ 5.7 million to this goal. But it was not possible to completely resolve the issue. Many basements remain illegal now, by the end of 2021.

But the popularity of basement apartments has not declined. Amid the skyrocketing rent prices in New York City, interest in these properties has risen. Experts say this trend will continue in the coming year. As soon as the authorities lift the restrictive measures associated with the pandemic, the price of all types of housing will rise even more.

Reasons for the popularity of basements among New Yorkers
The demand for basements is due to the colossal increase in rents for ordinary housing. In Manhattan, just from the middle of summer till October 2021, rental prices increased by 10.1%; if we take into account the pricing from January, the figures have grown by 20%. The rapid rise in prices was provoked by inflation. The Miller Samuel/Douglas Elliman company found that rental prices had jumped to their highest levels in 30 years in a few months. 

Why living in New York City basements is convenient

Isaac Rosenberg, a successful Compass broker, attributes the following parameters to the advantages of basements:

  • optimal rental rate;
  • low cost of additional amenities that are expensive in standard apartments;
  • the ability to minimize contact with strangers.

The basements have deep windows built into the walls. The surfaces of wide window sills can be used for various household purposes without cluttering the living space. Basements are cooler and suffer almost no temperature changes. This allows tenants to save on electricity and spend less on utility bills.

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