These days, I often get asked whether Brooklyn's rent increased in October compared to September. To put it simply, it's not yet time to answer that with official October figures. As of the time I'm writing this, I haven't personally checked the major reports containing October data for Brooklyn.

So today, I'll outline the trends based on confirmed September numbers. The October report usually comes out around mid-next month, so we can compare it to this baseline once it's available.

First, let's talk about rent. According to Corcoran's September report released on October 8, the median rent in Brooklyn was $4,300. This is a 2% decrease from August's all-time high of $4,368.

It's misleading to think that the market has declined just because it dropped slightly in a month. The same $4,300 is still 5% higher than a year ago. It's common to see rents ease a bit after the summer peak season each year.

What's noteworthy is the inventory. In September, there were 3,428 active listings in Brooklyn. This is an 11% decrease from August and a 25% decrease from a year ago, marking the lowest level since 2022 for September.

With inventory this low, there's no reason for rents to drop significantly. Corcoran also explained that low inventory supports prices and makes tenants anxious.

There is one opposing signal, though. The average days on the market in September was 53 days, which is a 13% increase from August and a 33% increase from a year ago. This suggests that expensive listings are not selling as quickly as they used to.

Still, contracts remained steady. In September, there were 1,407 new rental agreements in Brooklyn, which is a 3% increase from August and a 10% increase from a year ago.

Looking at it by room size gives more insight. According to the same Corcoran September data, the average rent was $3,521 for studios and $4,218 for one-bedroom apartments. Two-bedroom apartments averaged $5,708.

The average rent for three-bedroom apartments was $6,885, which is 1% lower than a year ago. This is the only room size that has decreased compared to last year, providing some negotiation room for families looking for larger homes.

Let's look at another source. According to a report by appraiser Jonathan Miller for The Real Deal, the median rent in Brooklyn has been above $4,000 since February. In this September data, the median rent for luxury listings was $7,800, which is a 6.3% increase from a year ago.

In the same report, inventory decreased by 17.3% compared to a year ago, marking 11 consecutive months of decline. Among new contracts, 32.7% faced competitive bidding, which is about one in three.

A common question arises here: why do different companies report different median rents? This is due to variations in the properties surveyed and the methods used.

Therefore, you should not mix and compare numbers from different reports. When comparing September and October, it's essential to look at the same company and the same criteria. I will use Corcoran's September figure of $4,300 as my baseline.

Now, let's discuss home prices. The sales market is often aggregated quarterly rather than monthly. So, there are no official figures yet for a direct comparison between October and September.

The most recent confirmed data is from the third quarter. According to the Douglas Elliman report, the median sale price in Brooklyn for Q3 was $1.15 million, which is a 5.4% increase from the same quarter last year.

Transactions have decreased. According to the same Elliman data, the number of sales has dropped by 9% compared to a year ago, and new listings have decreased by 2.9%. Prices are rising, but the market is seeing fewer transactions.

According to Brown Harris Stevens, the average sale price is $1,176,072, which is a 3% increase. Corcoran reported that Q3 contract signings increased by 8% compared to a year ago. An increase in contracts suggests that these numbers may be reflected in actual sales figures in a few months.

We cannot overlook interest rates either. The average 30-year fixed mortgage rate reported by Freddie Mac on November 5 was 7.18%, down slightly from 7.24% the previous week.

A year ago, it was 6.22%. This means rates have increased by nearly a percentage point over the year, making it difficult to buy a home. Honestly, seeing home prices continue to rise at this interest rate is surprising to me as well.

This connects back to rent. When interest rates are high, potential buyers tend to rent instead. Since rental demand doesn't decrease, inventory tightens, and rents remain stable.

So, what will the October numbers look like? I won't make predictions. However, you should first observe whether the inventory decrease and increased days on the market from September continue into October.

If you're a tenant, now is not a terrible time. The peak season was in August, and there was a slight decrease in September. If a listing has been on the market for a while, it might be worth asking about the lease terms.

This is especially true for three-bedroom units that have decreased compared to last year. However, since inventory is low, it's best not to hesitate if a desirable home comes up.

If you're looking to buy a home, you should also keep an eye on interest rate trends. While it's encouraging that rates have been declining for several weeks, they are still significantly higher than last year. I recommend calculating your monthly payments based on a 7% rate before making a decision.

For investors looking at rental income, the calculations are a bit different. While rents are holding steady, high purchase rates mean tight profit margins. Unless you have a significant cash position, there's no rush to make a move.

When the October report comes out, I'll outline the order of checks. First, I'll compare it to the September figures from the same company. Then, I'll compare it to the same month a year ago.

Finally, I'll look at inventory levels and days on the market. Relying solely on rental numbers can lead to missing the overall trend.

To summarize my thoughts: right now, Brooklyn is a market where low inventory supports prices, and the structural dynamics are more important than monthly fluctuations. Once the official October figures are confirmed, I'll revisit this with the same criteria.