Basically, this. In most higher-end or up-and coming neighborhoods, within a few years, rents will likely go up to the point you can't afford to live there anymore, leading a never-ending move further out.
I agree that buying in New York makes little sense from a purely financial standpoint--but the New York market is unlike any other, and if you are a long-term resident not in a rent-stabilized unit who wants to stay in the same or similar neighborhoods, chances are that unless you are averaging 15-20% raises every single year (and you don't want to use that money for other things, like kids, or traveling, or just not living in a shithole anymore) you're either going to buy or slowly end up in Long Island or Jersey.
Personally, I'd never buy here, but that's because I won't stay here forever, and so I can take that tradeoff for a while.
Well, these are hindsight evaluations. Property prices keep going up until they don't... Good job being right on prices now vs. when you bought, but that wasn't riskless and may reverse.
Absent conviction in the direction of rents & prices (which many markets people would argue are stochastic/brownian), the relative favorability of the economics is best captured by the all in cap rate, which in NYC heavily favors renters.
But yeah, I guess if you put a big premium on removing the risk of being priced out in the future, OK...