BUrower t1_jeatub9 wrote on March 30, 2023 at 5:48 PM

Reply to comment by blodreina_kumWonkru in [Inquirer] Census data shows Philadelphia population drop in 2022 by _crapitalism

When someone rents a unit in a brand new building, they don’t rent an older unit. Less demand pressure on the old unit keeps rents lower.

We absolutely should be developing more apartment buildings (and for that matter at a greater unit density per acre). Philly has under-built apartments for decades.

doublestoddington t1_jeb42lp wrote on March 30, 2023 at 6:53 PM

When someone rents in a new building, they may be vacating an old. While there are laws in PA around vacancy decontrol (rent raised at renewal of lease), we do not have any around vacancy control (rent can only be raised x amount for the new tenant). Without that any landlord will of course seek the best rent they can, often a substantial jump and thus a decrease in supply of lower rate rentals. This can be addressed long term with ample supply, both public and private. However in addition to increasing supply, we should be looking at some sort of price control.

Gobirds831 t1_jeb7yvx wrote on March 30, 2023 at 7:18 PM

As I agree with what some of you said I don’t think the brownstones are charging much less than the new units

BUrower t1_jecq3xl wrote on March 31, 2023 at 1:30 AM

3BR apartments in new buildings are definitely more expensive than a 3BR row home

Gobirds831 t1_jecr60s wrote on March 31, 2023 at 1:38 AM

Yeah key piece of information there…3BR. My studio around 16th and spruce was $1,300. A studio in my next building in Old City was $1,650 and had a pool and gym.

UndercoverPhilly t1_jee43vo wrote on March 31, 2023 at 10:50 AM

Not really. There re lots of new luxury buildings but it is not keeping rents lower. I live in an old building. They are raising our rent more this year than any other since 2015. Im sure they’ll get it since most people leaving are doing so because they can’t afford the increases not because they want to jump into a luxury building and pay $2000 plus for a 1 bedroom. They are moving to more dangerous neighborhoods with cheaper rent or downsizing to a studio. Someone who needs to pay less will move into my building, not someone looking to pay more. This story is being repeated constantly since 2021. Ive heard it from many people (this is anecdotal of course).

According to other articles I read, the average rent in Philadelphia increased by 10% in 2022. I was planning to buy but there is nothing coming available that I can afford—unfortunately I was not ready last Spring when there were many options. My salary hasn’t kept up with the increases so unless I move to another neighborhood or downsize I won’t be accepted into any other building since I’m not making 3x the rent.

BUrower t1_jee8zfc wrote on March 31, 2023 at 11:43 AM

If landlords are able to raise rents that much, it’s because there is a shortage of housing units. There really isn’t “lots of new luxury buildings.” There are a handful of true luxury apartments and another handful of new construction apartments that have opened recently, but as a percentage of total housing inventory, it’s nothing, not enough to keep rents down.

What you described is a direct result of the city not allowing enough housing, there is an under supply. The city could 1. upzone the more desirable neighborhoods, especially those walking distance to transit .which would permit more housing units on a given parcel 2. Remove burdensome parking minimums and zoning overlays.