Plenty of strategies exist for individuals who want to purchase NYC luxury property but don’t want to spend an exorbitant sum of money. One way is to purchase a unit in a lower floor of a luxury building. A second floor unit can cost as much as 19% more than a comparable unit on the first floor. Another option is to seek units with higher maintenance or common charges per month, as those frequently have lower asking prices. Alternatively, some lines in a building can carry a higher price than others… for instance, a unit line with windowed bathrooms will fetch much more on the open market than a line whose bathrooms are lit only by fixtures.
If you need a home loan to get a NYC luxury property, you will want to get a mortgage approval letter from your own bank stating how much mortgage loan for which you are approved. Savvy sellers can legally tell their brokers to only show properties to buyers who are “bank-approved.” A bank qualification letter is not exactly like an approval letter, and will not qualify one to see a property under bank-approval requirements.
In the real estate industry, “terms” refers to the stipulations under which money is given. For cash-closers, this relates to among other things, just how many days had a need to close. For mortgage holders, it identifies your percentages for interest along with time needed to obtain the funds from the bank and transfer them into the appropriate ESCROW account. In a genuine estate transaction, terms are equally as important as cash, because they dictate to sellers under what conditions they’ll reach recoup their original price. Once you learn your terms inside and out, it will make it easier for the broker or agent to negotiate with sellers for you.
In line with the National Association of Realtors, 88% of people start their real estate search online. In New York City, home of the savvy shopper, over 90% of buyers and renters start their do some searching online. The importance of doing your own research is usually to be ahead of your rivals – other ready, willing and able buyers. Each NYC luxury building has its rules for purchase and its own amenities to provide. Each section of Manhattan has its own disadvantages, quirks and advantages. And not every agent or broker is equal. You will need to some conduct some research as a way to stay ahead of Your rivals – other ready, willing and able buyers. Which brings us to your next point…
You might have heard this adage before in regards to the NYC Rental market: bring a bank-certified talk with you and be ready to close on accommodations unit you like once you see it, as the next person to view it might just snag it from under your nose. Similar fervor pertains to the NYC buyers’ market, especially for luxury NYC property. International all-cash buyers are likely your strongest competition in the NYC luxury market. They can walk right in and say “I’ll take it,” and cash buyers can close in less than two weeks. Know your own finances, and know just how quickly you are prepared to move on a property you like. The opportunity to quickly move into ESCROW will provide you with a significant advantage against other buyers.
Just because a property falls beneath the luxury umbrella, will not necessarily mean that it’s problem-free. Structural problems such as improper weight baring pillars and roofing issues, proof water damage and mold, or piping and HVAC problems are simply some of the problems one will discover in any property. This is why it is integral that one conducts a home inspection before signing on the dotted line. Most importantly, ensure that your contract for purchase includes a home inspection contingency, i.e. a statement that permits you to freely leave from the property if the inspector finds an issue with it. A competent broker also won’t waste your time and effort or their own by showing you properties that aren’t satisfactory.
THE BRAND NEW York City real estate market is a market unto itself, much like none other in america. It plays by its level of supply and demand rules. luxury apartments orange county International demand for NYC luxury property continues to be one significant reason why Manhattan prices are so high in comparison to other areas. REBNY reported that 2012 was probably the most successful year (over $30 billion in property sales) for NYC real estate since 2008. REBNY also reported that broker confidence in the market has been higher in January 2013 than in any month of 2012. Sales numbers across most brokerages point to the fact that we are continuing to trend towards a sellers’ market, as sellers and co-op boards continue being able to choose among a pool of possible buyers. Know that the NYC luxury real estate market is not depressed by any means and factor this knowledge into your method of purchase.