New York City's housing market is complex, with massive price variation by borough and the unique co op vs condo dynamic. Here's a borough by borough breakdown to help you make the rent vs buy decision with real 2025 data.
NYC Housing Market: Borough by Borough Breakdown
Manhattan
Median Condo Prices:
- Upper West Side / Upper East Side: $1.4M $1.8M
- Tribeca / SoHo / West Village: $2.0M $3.5M+
- Chelsea / Flatiron / Gramercy: $1.5M $2.2M
- Midtown / Hell's Kitchen: $1.2M $1.6M
- Upper Manhattan (above 96th): $800K $1.1M
Typical Rent (2 bedroom):
- Prime neighborhoods: $5,000 $7,000/month
- Mid tier: $4,000 $5,500/month
- Upper Manhattan: $3,200 $4,200/month
Brooklyn
Median Condo/Co op Prices:
- Park Slope / Brooklyn Heights / Cobble Hill: $1.3M $1.8M
- Williamsburg / Greenpoint: $1.1M $1.5M
- Fort Greene / Prospect Heights: $950K $1.3M
- Bushwick / Bedford Stuyvesant: $750K $1.0M
Typical Rent (2 bedroom): $3,600 $4,500/month
Queens
Median Prices:
- Long Island City / Astoria: $700K $950K
- Forest Hills / Rego Park: $600K $850K
- Sunnyside / Woodside: $550K $750K
Typical Rent (2 bedroom): $3,000 $3,550/month
Key NYC Specific Costs
- Property tax: Varies widely, roughly 0.9 1.2% of assessed value
- Maintenance/Common charges: $800 $2,000+/month (often includes property tax)
- Flip tax: 1 3% of sale price when you sell (co ops only)
- Board application fees: $500 $1,500 (co ops)
Co op vs. Condo: What You Need to Know
This is THE unique factor in NYC real estate. Understanding the difference is critical.
Co ops (75% of NYC apartments)
How they work: You don't buy the apartment, you buy shares in a corporation that owns the building. You get a proprietary lease to occupy your unit.
Advantages:
- 20 30% cheaper than comparable condos
- Lower property taxes (buildings are assessed differently)
- Often in classic prewar buildings with character
- More stable neighbors (strict board approval)
Disadvantages:
- Strict board approval (can reject you for any reason except protected classes)
- Income requirements (typically need 1 2 years maintenance + mortgage in liquid assets)
- Subletting restrictions (many boards don't allow it, or limit to 2 years out of 5)
- Flip tax when selling (1 3% of sale price goes back to building)
- Harder to get mortgages (stricter lending requirements)
Condos (25% of NYC apartments)
How they work: You own the unit outright, like a traditional home purchase.
Advantages:
- No board approval (just a "right of first refusal" by building)
- Easier to sublet or rent out
- Easier financing
- More flexibility for pied à terre or investment buyers
Disadvantages:
- 20 30% more expensive than co ops
- Higher property taxes
- Often in newer, less characterful buildings
- Lower supply (most NYC buildings are co ops)
Which to choose: If you plan to stay long term, have stable income, and don't need subletting flexibility, co ops offer better value. If you want flexibility, work in finance/tech with variable income, or might relocate, condos are worth the premium.
The Real Math: Manhattan Condo Example
Let's model buying a $1.4M condo in Chelsea versus renting a comparable unit for $4,500/month.
Buying Scenario
Purchase details:
- Condo price: $1,400,000
- Down payment (20%): $280,000
- Loan amount: $1,120,000
- Interest rate: 6.5%
Monthly costs:
- Principal & Interest: $7,078
- Common charges: $1,200
- Property tax: $1,100
- Insurance: $150
- Total: $9,528/month
Upfront costs:
- Down payment: $280,000
- Closing costs (2 3%): $35,000
- Total cash needed: $315,000
Renting Scenario
- Monthly rent: $4,500
- Renters insurance: $30
- Total: $4,530/month
The difference: Owning costs $4,998 more per month, or $59,976 per year.
Breakeven Analysis
With typical appreciation (2 3% in NYC) and rent increases (3 4% annually), the breakeven point is approximately 8 9 years.
Use the rent vs buy calculator to model your specific neighborhood and see the exact timeline.
Brooklyn vs Queens: Better Value for Buyers?
Brooklyn: Williamsburg Example
Buy: $1.1M condo, $220K down, $880K loan
- Monthly P&I: $5,562
- Common charges: $800
- Property tax: $900
- Total: $7,262/month
Rent: $3,600/month for comparable 2BR
Difference: $3,662/month more to own
Breakeven: 7 8 years (slightly faster than Manhattan due to lower prices)
Queens: Astoria Example
Buy: $750K condo, $150K down, $600K loan
- Monthly P&I: $3,792
- Common charges: $650
- Property tax: $600
- Total: $5,042/month
Rent: $3,200/month for comparable 2BR
Difference: $1,842/month more to own
Breakeven: 6 7 years (fastest in NYC due to lower prices and decent rents)
The pattern: Queens offers the best value for buyers, Brooklyn is middle ground, Manhattan takes longest to break even. But commute times and lifestyle preferences matter too.
NYC Specific Factors That Change the Decision
1. Rent Stabilization
About 1 million NYC apartments (roughly 45%) are rent stabilized. If you have one, your annual rent increases are limited by law, typically 2 3% for 1 year leases, 4 5% for 2 year leases.
This dramatically changes the math. While market rate rents might jump from $4,000 to $4,500, your stabilized rent goes from $4,000 to $4,100. Over 10 years, this saves tens of thousands.
If you have rent stabilization, buying needs to offer significant lifestyle benefits beyond just financial returns.
2. Co op Board Rejection
Co op boards can reject you for almost any reason (except protected classes). Even with perfect finances, you might be rejected because:
- You work in a volatile industry
- Your income is commission based or comes from multiple sources
- The board doesn't like your vibe in the interview
- You have a large dog (even if building allows pets)
Factor in the emotional and time cost of potential rejection when considering co ops.
3. Maintenance Fee Increases
Unlike your fixed mortgage payment, maintenance fees typically increase 3 5% annually. A $1,200/month maintenance fee becomes $1,970/month after 10 years at 5% annual increases.
Budget conservatively and assume 4 5% annual increases when modeling long term costs.
4. Flip Tax
Many co ops charge a flip tax of 1 3% of sale price when you sell. On a $1.5M sale, that's $15,000 $45,000 that goes back to the building.
This extends your breakeven timeline because you lose 1 3% of your equity upon exit.
5. NYC Transfer Taxes
When you sell, NYC charges transfer taxes:
- NYC tax: 1% ($500K+) or 1.425% ($500K+)
- NY State tax: 0.4% (under $3M)
- Mansion tax (buyer pays): 1 3.9% on sales over $1M
Between transfer taxes, flip tax, broker fees (5 6%), and closing costs, selling an NYC property costs 8 10% of sale price. You need significant appreciation to overcome these costs.
Who Should Buy vs. Rent in NYC
Strong Case for Buying:
- Stable, high income (finance, law, medicine) with 2+ years at employer
- Planning to stay in NYC 10+ years
- Have $300K+ saved and comfortable with monthly costs
- Want to start a family and need space/stability
- Tired of landlord uncertainty and moving every few years
- In Brooklyn/Queens where prices are more reasonable
Strong Case for Renting:
- Early/mid career, might relocate for opportunities
- Work in volatile industry (startups, media, consulting)
- Have rent stabilized apartment with below market rent
- Value flexibility to move neighborhoods or buildings
- Can't comfortably afford $300K+ down payment
- Don't want to deal with co op board approval process
Consider Both Options:
- Established professional (5+ years career) with stable trajectory
- In a serious relationship, discussing long term NYC plans
- Have down payment saved but unsure about 10 year commitment
- Currently in market rate rental paying $4,000+/month
How to Run Your NYC Analysis
- Choose your target borough and neighborhood. Don't compare Manhattan to Queens, the lifestyle differences are too significant. Compare similar quality of life.
- Decide co op vs condo based on your situation. Need flexibility? Pay the condo premium. Want value and staying long term? Co op works.
- Get real numbers. Check StreetEasy or Zillow for actual listings in your target neighborhood. Look at both purchase prices and monthly maintenance/common charges.
- Factor in ALL costs. Maintenance fees, property tax (if not included), insurance, potential flip tax, and selling costs (8 10% of sale price).
- Assess your rent situation. If you have rent stabilization, the math changes significantly. If you're paying market rate, buying makes more sense financially.
- Use the calculator. Go to our rent vs buy calculator, input your NYC specific numbers, and see your breakeven timeline.
Frequently Asked Questions
What's the difference between a co op and condo in NYC?
Co ops (cooperative apartments) mean you buy shares in a corporation that owns the building, not the actual unit. They typically cost 20 30% less than condos but have strict board approval, income requirements, and subletting restrictions. Condos mean you own the unit outright, offering more flexibility but at a premium price. About 75% of NYC apartments are co ops.
How much does it cost to buy an apartment in Manhattan?
As of 2025, median condo prices in Manhattan range from $1.18 million to $1.65 million depending on neighborhood. Co op apartments are typically 20 30% less. Expect to pay $1,500+ per square foot in desirable areas like Upper West Side, Chelsea, or Tribeca. More affordable options exist in Upper Manhattan and the Bronx.
What are maintenance fees in NYC and how much do they cost?
Maintenance fees (for co ops) or common charges (for condos) cover building operations, staff, repairs, and property taxes. In Manhattan, expect $800 $2,000+ per month for a 2 bedroom. Luxury buildings can reach $3,000 $5,000/month. These fees are in addition to your mortgage payment and can increase 3 5% annually.
Should I buy in Brooklyn or Queens instead of Manhattan?
Brooklyn and Queens offer more space and lower prices than Manhattan, but commute times are longer. Brooklyn median prices around $1.1M with rents at $3,600/month. Queens ranges from $600K to $900K with rents $3,000 $3,550/month. The breakeven point is similar (7 9 years) but you get more square footage for your money.
How does rent stabilization affect the rent vs buy decision in NYC?
Rent stabilized apartments have legally limited annual increases (typically 2 3%), making them highly valuable. If you have a stabilized unit, the financial case for buying weakens significantly because your rent won't spike with market rates. Consider your likelihood of keeping the apartment long term before giving up stabilization protections.