AFFORDABLE NYC HOUSING

Affordable housing in the New York City Metro Area.  What a contradiction.

The search for a place to live is never easy- regardless of whether you’re looking to buy, rent, or sublet.  But add to that being broke in one of the worlds most expensive cities and you’ve got a serious challenge.

Experts recommend spending about one third of your take home pay on your rent.  Unfortunately, while the city’s median household income has barely moved in the past ten years, the average apartment rent has climbed by 27%.  In July 2012, the average Manhattan apartment rented for $3,461.  That means you’d have to be making over $10,000 A MONTH (over six figures annually) to live there and be “living within your means”. Thirty percent of New Yorkers wind up spending over HALF their income on rent.  Don’t be in that thirty percent!  That’s money out of your savings, your emergency fund, and your retirement- places where you really can’t afford to cut corners.

So, do you sift through the endless crap, scams, and unpredictable roommates on craigslist or spend a fortune on a broker?  Do you splurge on a convenient studio or couchsurf from place to place? 

For the purposes of this post, let’s assume a down payment is nowhere in your immediate future and you’re not applying for subsidized housing (a possible future post).   

So “For Rent”. The rental market typically slows down in the winter months.  To get the most bang for your buck, consider waiting till the holidays.  The move may not be pleasant, but the savings will be worthwhile.

Now, let’s start with priority number one, location, location, location.

If you want to get real about saving money, get real about location.  With the exception of Washington Heights, Harlem, Inwood, and a few other northern extremities, Manhattan is not really in the picture for the broke and beautiful.  That being said, if you MUST stay on the island, look for something noisy or ugly.  A construction site (second avenue subway line anyone?), a tunnel entrance or exit, an above ground subway (excluding the high line)- yes, there are some quality of life considerations here, but if you’re willing to swap an eye sore for a commute, you can save a lot of money by renting in one of these kinds of locations.

Unfortunately, Manhattan is not the only pricey NYC area.  Apartments in Williamsburg and Hoboken give me sticker shock.  Look for the neighborhoods that aren’t incessantly written about in the paper.  Walk away from the street with the trendy restaurants and bookstores.  Even a block or two over can mean a major price difference.     

Once you settle on a neighborhood the easiest way to save money is to avoid a hefty brokers fee.  Look for homes with a “For Rent” sign in the window or for buildings with a rental office on site.   Negotiate directly with the landlord, bypass the middleman, and save the cash. 

The last time I moved I walked through the streets of my desired neighborhoods and wrote down the addresses and numbers for all the buildings with a “For Rent” sign.  Within two weeks I was in a spacious three bedroom for $1600/month!!! Needless to say, I wish I’d never have to move again. 

No luck spotting “For Rent” signs?  Check with the doormen/ front desk associates in some of the bigger buildings. They may be able to provide some insider info or direct you to the buildings’ leasing office.  Also keep an eye out for moving sales, moving trucks, or people dumping their odds and ends on the sidewalk.  Introduce yourself and ask if the landlord has found anyone to take over the lease.  Not only will they be able to give you a first hand account of living in the prospective apartment, but they might just let you take a look around.

The internet is another good place to start your search.  Notice I said “start your search” and not “complete your search”.  While there are so many resources and so much information regarding housing online, there are also so many scams and cons.  Do not wire or send money without ever having seen the apartment or spoken directly to the landlord.  If something sounds too good to be true, it probably is.  Spend some time getting a feel for the market so you can identify when something is a good deal and when something is a too good to be true scam.

The following is a list of websites and resources to help you get a feel for the market and get you started on your search.

Listings/ Classifieds

NY Times

NY Daily News

NY Press

AM New York

NY Post

Village Voice

New York Magazine

Websites/Resources

Craigslist

Pad Mapper

Street Easy

Naked Apartments

Urban Edge

Citirent

NY Habitat

Best of Luck!