The latest news and analysis from the NYU Furman Center.
Understanding the Potential Magnitude of Rent Shortfalls in New York Due to COVID
In this post we estimate the likely magnitude of need for rental assistance in New York State and New York City. First, we examine the temporary CARES Act benefits made available to New York State residents and show the variation in the degree to which they are helping different types of renter households. Next, we use New York State Unemployment Insurance Assistance (UI) claims data to learn which industries have actually suffered the most job losses. With this information, we narrow in on the magnitude of rental assistance needed after taking into account CARES Act benefits. More importantly, we estimate need in August, the period when the most beneficial CARES Act provision for UI claiming households wears off, assuming little or no job recovery.
COVID-19 and the Rental Market
To shed light on how the potential non-payment of rent may be felt in the housing market, this analysis examines the housing stock occupied by renters in especially economically vulnerable professions. It also assesses which New York City neighborhoods are most vulnerable to non-payment of rent and the characteristics of the renters and housing stock in those neighborhoods.
2019 Data on New York City’s Housing Stock
During 2019, the City of New York permitted the highest number of housing units since 2008, with the exception of a spike in 2015. Despite this recovery, permitted production was short of pre-recession levels. While permit activity increased, builders completed fewer units in 2019 compared to 2018, but this overall level was higher than completions in the first half of the decade. Of the 24,566 new units completed in 2019, more than half were located in six Sub-Borough Areas in Manhattan, Queens, and Brooklyn. New units added made up less than one percent of the city’s housing stock. The City also designated five historic districts in 2019, extending protections to the highest number of lots since 2015.
News & Events
Insights into the Proposed Changes to the Community Reinvestment Act
On March 3, 2020, the NYU Furman Center hosted a policy breakfast titled, Insights into the Proposed Changes to the Community Reinvestment Act. The panelists brought a diverse set of experiences in mortgage lending and community development to discuss the importance of the CRA in low- to moderate-income (LMI) communities, the needs of LMI communities, and what the proposed changes mean for lenders and borrowers.
COVID-19 Cases in New York City, a Neighborhood-Level Analysis
As of April 8th, New York City had over 80,000 cases of novel coronavirus. These cases are not evenly distributed across the city, nor is mortality from the disease. Neighborhoods with higher rates of confirmed COVID-19 cases have lower median incomes, higher shares of residents who are Black or Hispanic, and higher shares of residents under the age of 18 relative to less affected neighborhoods.