Resources & Guides

Finding a new apartment can be an overwhelming experience.  This experience can develop into a long and confusing process particularly when moving to New York City.  Unlike any other city, the constantly changing market has created rules specific for New York.  From beginning to end, this guide will prepare you for the fast-paced nature of NYC rentals.

Paperwork

Paperwork, no likes it, but everyone has to do it.  As one of the greatest cities in the world, the high popularity of New York has driven up demand and shrunk the pool of available rental properties.  This affords the landlords and owners the luxury of choosing whom they want renting their apartments.  Asignificant amount of paperwork is required as well as showing financial stability prior to signing a lease. As apartments can be here today and gone tomorrow, having your paperwork in order before looking for an apartment will give you the best chance on landing that perfect home.  You should have the following:

• A letter verifying employment: This should be a letter from your employer written on a company letterhead, indicating your start date, length of employment, position, salary, and any other pertinent information. (Note: Offer letters are usually not acceptable)
• Recent copies of your pay stubs.
• Tax returns and W-2 forms of the past 2-3 years.
• 3 recent bank statements or a letter from the bank indicating how long you have held an account there and confirming the status, balance, and history of your accounts.
• A letter from your current landlord: This letter, preferably on letterhead, should speak to your history as a tenant. How long have you lived at your current address? What was the rent you have been paying? Do you have a history of paying on time and in full?
• Verification of your credit:Most landlords or their agents will perform a routine credit check. You may want to review your credit report in advance to determine whether there are any outstanding balances that would negatively affect your prospects or to prepare yourself to explain outstanding debts. An average or poor score may not necessarily screen you out as a potential tenant; some landlords are willing to accept tenants who can provide a guarantor, or a person who will serve as a co-signer and will accept responsibility if you default on rent payments. Typically, the guarantor is required to provide all the same financial information that you yourself provide. If you believe you may need a guarantor, it is critical to speak with this person first and advise them as to the level of their responsibility.
• Copies of identification (Driver’s license or passport)

Having this package prepared and organized will impress a prospective landlord and will speak to your organization and commitment as a prospective tenant.

Financial Considerations:

It’s no myth that NYC apartments are expensive. Landlords are generally looking for a tenant whose annual salary is 45 times his or her monthly rent. This does not necessarily screen you out if you do not meet that income ceiling, but it helps you understand the nature of the NYC real estate market.

Be aware that renting a New York City apartment typically requires having a substantial cash reserve to cover initial costs. In addition to the broker fee, these costs may include: security deposit (equivalent to one or more month’s rent), first month’s rent, and, increasingly, an amount equivalent to the last month’s rent. The landlord or agent will typically charge you for the cost of the credit report ($25-100) and may also charge an application fee, which may range from $100 to $400. Be sure to ask whether there is an application fee for the building, and determine whether the fee is refundable (most are not). Be sure that you ask up front whether personal checks are accepted (they usually are not) or whether you will need to make these payments in the form of a cashier’s check, cash, or another form required by the landlord.

Searching for a Manhattan Apartment:

The following tips will help focus your NYC apartment search and will maximize your agent’s ability to land you the apartment of your dreams!

• Identify your preferred neighborhoods by noting what’s important to you and your lifestyle:
• Do you have a preferred Manhattan neighborhood?
• Near public transportation? Parking available?
• What are the features of the neighborhood?: stores, recreation opportunities, restaurants, schools, distance to work, etc.
• Building with elevator or a walk-up?
• What type of apartment? What type of building? NYC real estate terms can be overwhelming. Familiarize yourself with the various types of buildings and apartments: pre-war or post-war, lofts, brownstones, modern apartments.
• What size of apartment? Studio, 1 bedroom, or larger?
• Determine the price range you can comfortably afford.
• Identify what apartment features and amenities are non-negotiable for you: light? space? convenience? on-site facilities? (ie: laundry, concierge, gym)
• What is your target move-in date? Are you prepared to make the necessary payments to secure your apartment? Apartments that are available today are likely to be gone next week, or even by the next day. While you can always keep an eye on the market, your ideal apartment will likely only be secured if you’re ready to act quickly.
• Your agent will work with you to clarify the questions and answers that will help you define what an ideal apartment is for you.

Lease Considerations:

Yes, the market is fast-paced, and both you and the landlord will want to close quickly on your rental deal. However, it is critical that you take the time to read your lease carefully and have any questions answered. Do not rely upon verbal assurances; any negotiations or changes to the lease should be attached to this primary document as a “lease rider” (or simply, “rider”) and should leave no room for doubt in your mind or in that of your landlord.