Why Are These Renters Smiling?

The New York Times reports why renters in New York are happy :

The biggest drop was in studio apartments in doorman buildings, which have fallen 8.33 percent from the same time last year.

Many people who signed leases in the bubble years are paying much more in rent than what their apartments would get today. So when their leases expire, some New Yorkers are trading up for better deals, finding comparable places for less money or nicer apartments that do not come with a big rent increase.

“No one’s willing to pay more now, because there’s always another deal next door or down the block,” said Georgia Kaporis, an associate broker at Citi Habitats. “They’re just upgrading for less.”

Deflation makes many people happy no matter what some politicians( who takes money from those who want to restrict supply) say so.