Rising Rents Squeeze Apartments Young Renters Can Afford

NEW YORK, NY— Despite a rent freeze approved in June for roughly one million stabilized apartments, a key campaign promise of Mayor Zohran Mamdani, rents across the broader rental market are still climbing.

The median asking rent across New York City reached $3,707 in the second quarter of 2026, the highest level Realtor.com has recorded since it began tracking rental data in 2019.

Smaller apartments saw the sharpest increase, with rents for studios and two-bedroom units rising 7.3 percent and the median studio reaching $3,116, while rents for apartments with three or more bedrooms fell 0.6 percent to $4,886.

The numbers make the cost of living particularly difficult for workers early in their careers.

Computer science professionals ages 22 to 27 earn roughly $87,000 a year in New York City, according to U.S. Census Bureau American Community Survey data.

At that income, a $3,116 studio would consume roughly 43 percent of gross monthly income before taxes.

Manhattan had the City's highest median asking rent in the second quarter at $5,117, up 9 percent from a year earlier.

And since the commonly recommended housing affordability threshold is 30 percent of income, reaching that threshold for a typical apartment would require an annual household income of about $204,680 in Manhattan, $162,160 in Brooklyn, $142,440 in Queens or $126,840 in the Bronx.

"For new graduates entering the New York City rental market this summer, the affordability math is tougher than it's been in years," economist Jiayi Xu said. "Smaller units are in stronger demand, and that's pushing prices up fastest for the very apartments recent grads are most likely able to choose."

New York's rental market also has moved far beyond its pre-pandemic level.

Median asking rent is now 30.5 percent higher than before the COVID-19 pandemic, compared with a 16.4 percent increase nationally.

New York City saw some of the country's steepest rent declines during the early months of the pandemic. But rents rebounded by spring 2022 and have continued climbing.

"Every corner of the city saw rents move higher this quarter, from Manhattan's high end all the way down to the Bronx," Xu said. "That kind of broad-based increase makes it hard for any renter, not just this year's graduates, to find a foothold right now."

Where Can Renters Turn As Rents Rise Across NYC?

In the first six months of 2026, Mamdani said the City financed 12,491 affordable homes, including more than 2,000 homes for formerly homeless New Yorkers.

More than half of the financed homes are intended for extremely and very low-income New Yorkers earning less than 50 percent of area median income, according to the administration.

Mamdani's five-year budget includes $22 billion in capital investment for affordable housing, while the administration's Block by Block plan calls for creating 200,000 new affordable homes and preserving another 200,000 over the next decade.

The administration has also moved to shorten the time it takes to get affordable projects from planning to occupancy.

Its SPEED reforms are designed to cut eight months from the development timeline for affordable-housing projects and as much as two years for projects requiring a zoning change.

For renters, however, a financed apartment is different from an apartment that is available to move into now.

How Can You Actually Find An Affordable Apartment?

Kay Dean spent nearly two years searching for an apartment she could afford on her salary as a first-grade teacher in the City's public schools.

With a budget of about $2,000, she hired a broker and eventually secured a rent-stabilized apartment in Crown Heights for about $1,480 a month.

“There needs to be more resources,” Dean said. “Especially for young professionals who want to feel like they’re making it in New York.”

Rent-stabilized apartments can exist in new construction, amenity buildings and luxury developments, said Allia Mohamed, a housing expert and CEO of renter-focused data platform Openigloo.

“People hear ‘rent stabilized’ and think of $800 apartments that no one ever leaves,” Mohamed said. “That’s a very small slice of the inventory."

The City's main tool is NYC Housing Connect, the online portal for affordable rental and homeownership opportunities.

Renters create a household profile, enter their income and household size, and use that information to find lotteries for which they may qualify.

Applicants can apply to multiple lotteries, and selections are made through a lottery process after applications close.

Each development sets its own eligibility ranges based on household size and income, so a renter who earns too much for one apartment may qualify for another.

That makes checking the listings regularly more important than searching once and waiting.

There are no application or broker fees for HPD-sponsored affordable-housing lotteries.

The City also warns renters not to pay anyone to submit an application.

Renters can also sign up for Housing Ambassadors, community-based organizations that provide free help preparing and submitting Housing Connect applications.

What Should Renters Have Ready?

Income information: Housing Connect uses household income to determine which apartments may be available to you.

Household information: Eligibility also depends on how many people will live in the apartment.

Documents: Applicants who are selected for review must provide documentation showing they meet the development's eligibility requirements.

An updated profile: Housing Connect recommends updating household and income information when circumstances change.

Which New Affordable Housing Projects Are Coming?

In the South Bronx, River Commons will bring 328 affordable and supportive homes, along with a health care center, public green space and community amenities.

East Harlem's Timbale Terrace will add 341 affordable homes and a community arts center, while The Aurea in the East Village is expected to add about 131 affordable homes, a senior center and community space.

In Queens, The Orion at Hunter's Point South will bring nearly 1,000 homes, with about two-thirds affordable to extremely low- through moderate-income households, along with a day care center, workforce development center, community pool and retail space.