The Pie v. Cake Debate As The Ultimate Housing Market Analogy

I’m attending a RAC appraisal conference in Dallas at the moment so these are admittedly brief Housing Notes. These are the final days of my two-year term as RAC president and it has been one of my prouder accomplishments listed on my resume (my CV for expert witness testimony is 18 pages so I’m not just saying this).

But I digress…

I know what you’re thinking, “pie versus cake” as a housing analogy doesn’t make sense. And the fact that the cake v. pie choice won the poll even though it didn’t have the most votes shows the power of pie over cake. It’s just the way it is.

But I digress…again…

Elliman Report: August 2018 Manhattan, Brooklyn & Queens Rentals released.

This week Douglas Elliman Real Estate published my research on the August 2018 Manhattan, Brooklyn and Northwest Queens rental market. I’ve been the author of this expanding Elliman Report series since 1994.

Elliman Report: 8-2018 Manhattan, Brooklyn & Queens Rentals

– The number of new leases increased year over year in three of the past four months
– The gain in year over year median face rent was only observed in the studio market
– Market share of concessions expanded year over year for the 39th consecutive month
– Existing median rent declined year over year for eight of the past nine months
– Non-doorman median rent, which covers half the market, has not seen an increase in twelve months
– The largest decline in rent was seen in the luxury segment or top ten percent of the market

– Net effective median rent slipped annually for the eighth time in nine months
– Market share of concessions expanded year over year for the 31st consecutive month
– New development market share rose year over year for seventh consecutive month skewing prices higher

QUEENS Overview
[Northwest Region] – After sixteen consecutive months of annual rising concessions, market share fell for the second month
– Average square foot of a rental rose annually for the fifth time in six months
– A large surge in 1-bedroom new leases as all price trend indicators posted large gains

Here are a collection of charts from our gallery.



Queens (NW)


(For earlier appraisal industry commentary, visit my old clunky REIC site.)

I’m hiatus this week

Lots of things to discuss next week when I return back to work.

Brilliant Idea #1

If you need something rock solid in your life (particularly on Friday afternoons) and someone forwarded this to you, or you think you already subscribed, sign up here for these weekly Housing Notes. And be sure to share with a friend or colleague if you enjoy them because:

– They’ll be more rental-like;
– You’ll be more committed to pie;
– And I’ll chart my course.

Brilliant Idea #2

You’re obviously full of insights and ideas as a reader of Housing Notes. I appreciate every email I receive and it helps me craft the next week’s Housing Note.

See you next week.

Jonathan J. Miller, CRP, CRE, Member of RAC
Miller Samuel Inc.
Real Estate Appraisers & Consultants
Matrix Blog

My curated reads/links will be back next week.