New York employees face the biggest unemployment rate since 2003 with a total of 8.1 percent of the workforce being out of a job. This has resulted in a slowing demand of rentals in the city and particularly in Manhattan. Figures have shown that rents have fallen by 5.9 percent since the same time last year in March 09.
The lack of demand is in direct relation to the current unemployment situation in the country and people’s need to make some serious decisions about the financial situation in their lives.
As more and more employees are forced from their jobs through job cuts, they struggle to come up with the finances to pay for rent in the city. Even so the average rent has declined tremendously for all types of apartments, vacancy rate has topped 2 percent for the fifth month in a row.