Rental prices started dropping in the cities during the pandemic. The reason being people were working remotely and were moving to suburbs. In turn driving up the rents of the city outskirts region. As the pandemic reached its endgame, droves of people started moving back to big metro cities. The situation worsened as inflation also kicked in during the same time, making the perfect recipe for a huge spike in rent. This record-breaking increase in rent in Jersey City has a deep relation with New York City.
Hordes of residents are flocking to Jersey City to enjoy a similar lifestyle to that of New York City, but at a much lower cost. The average rent of New York City was $3,800 in the month of September 2022. The difference between the two sister cities in average rent is $400, which does not sound significant, but there is another key factor involved. Average square feet of a New York apartment is 766 sqft as per a Yardi Matrix report. Interestingly the apartments of the so called sixth borough of the Big Apple, Jersey City, has an average of 856 sqft.
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Another crucial element behind this move has been the real estate development boom Jersey City is going through, eighth fastest in the United States in over a decade. This boom has given rise to a plethora of options for residents moving to Jersey City from New York. Brand new constructions with modern architecture, expansive living areas, modern amenities, and cultural hotspots within walking distance. Excellent public transport connectivity with New York makes the commute very feasible. All these factors have made Jersey City the hottest rental destination therefore increasing the rent substantially over the past few years.
Keeping all this in mind there is no better time to invest in the real estate market. GN Management has a highly competent team that can help you to increase the value of your property and cash in at a perfect junction in time. Renovation, ground up construction and construction management are our area of expertise. Contact us now to get a free consultation regarding your property.
GN’s expertise began in real estate residential development and has expanded to include a range of multifamily, commercial, and mixed-use properties. GN is well-known for our unique ability to discover areas with the greatest potential for overall growth and success. We ingrain ourselves within the area, working to create relationships and opportunities that will be mutually beneficial for our residents, tenants, and neighbors. As long-term asset holders, we equally balance design and quality with budget and scheduling to create spaces that exude excellent craftsmanship while exceeding investor and stakeholder expectations.