You are in the middle of your apartment search in New York City and have narrowed down your choices to a few select neighborhoods. As you start to browse different listing prices, you start to notice odd dollar figures instead of the wholesome full number you've grown accustomed to. For example, you see bizarre list prices of $2345.67/month instead of the easy to calculate $2,500/month. What you are seeing is a common NYC listing trick referred to as gross rent vs net rent.
At transparentcity.co, we specialize in no fee apartments in NYC that you can rent directly through the management company without the involvement of a broker. In compiling a list of over 2,000 no fee buildings, we started to see a trend of property managers who consistently utilize the listing trick. By advertising net effective rent it means property managers are providing concessions in forms of free months of rent. In all cases, the constant we are seeing is minimum 1 month free rent while the variable is the length in lease terms. Those range anywhere between 12 months to 24. Check out the visual matrix of the net effective rent on a separate post.
If you decide to rent from any of these property managers, keep in mind, the monthly rent advertised is net effective rent and not the actual monthly payments. This has no bearing on the actual 'value' of the apartments but meant to be more of an advertising trick to make the rent look lower than it actually is. We've segregated the list into two categories: Majority and Partial.