NYC Market Realities


1123423-2_lWith regards to the New York City Real Estate market, this is a very busy time of year.
Rentals in prime locations are going within hours and sales are going in weeks.

There is very little inventory across the board, no matter the budget.
From the entry level starter studio on the rental side, up to the uber-luxury penthouse on the sale side.

Vacancies are slim and many are staying put for another year.

Come prepared and have your game face on!

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So what does it REALLY cost to live in Manhattan?


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It really works too!

This is a post that will create a ton of discussion. There are many areas to live, but the ideal areas for most are anything below midtown. A great deal of people will also look along Central Park on either the Upper West or East side.

No matter the area, after many years and seeing thousands of apartments, there is a magic number that must be considered the starting point for anyone looking to avoid crossing 110th Street.

While the last two years have happened and prices did correct themselves a bit, there is no way to keep prices down for a rare commodity for too long. You can argue all you want about what you may read in the papers pertaining to NYC real estate, but the fact is, more people move here each year. New hires, graduates, summer interns, vacationers and people downsizing or upgrading due to divorce and expecting children. The cycle never ceases, if anything it only increases.

Pay close attention, wait for it, here it comes…The one common thing that I have noticed since 2005, for a wide offering of what is out on the market, $1700 per person is the benchmark. You may find some things on the market for less. 95% of what is out there is sub-par and will waste your time.

I have found some rare gems on the market for less. There is this one number that really sticks no matter who or where you look. If you are looking for a simple studio in a great area, this is the starting point. If you are looking for a share in a doorman building, this is the point of entry. You can always try to find a needle in a haystack, or you can come prepared with realistic expectations of how much hay you are looking through. FYI-The fireplace is in a true one bedroom on Irving Place for $4100.

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The Feeding Frenzy Begins


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Rental season here in NYC is a crazy time of year. There are always more people than there are apartments to rent. People come here during this time, expecting some super deal that rarely exists during the slow seasons. There is a virtual turning back the clock to that move Gangs of New York. The entire island of Manhattan becomes the five points and it’s survival of the fittest. Those who are prepared, both in having REALISTIC expectations and also in having all documentation readily available, have the “luck”. Those who are ill prepared, are unlucky.

We have found that the people who stretch a bit beyond their means and get help from elsewhere, are the ones who come here, secure a place in the target area, do the job assignment and then move on. They have clear cut goals and will make whatever adjustments as needed to achieve them. There are few if any “deals” in the solid areas like Gramercy and the West Village. These areas are the most in demand and as a result, they are some of the higher rents in the city. Should you find one below market rate place, making a swift decision is crucial. There is always great competition for them.

This is a yearly trend even in the past two “down” years. The rental market in Manhattan is an aberration to the housing market nationwide. Even four years ago, we were encountering the same issues we have here now. This is a city with a ton of disposable income. People come here to live more, which in turn makes them spend more, but the whole point is that by living here, you MAKE more. As a direct result, this year there are higher end luxury offerings. Contact us for a viewing as the higher the rent, the more likely the landlord will pay us directly for you!

If you factor in the average rental of $2,000 and the qualification of 40-50 times the monthly in annual income, we are talking about a city where the average person has to earn $80,000-$100,000 per year just to sign a lease without a guarantor. For places under $2000 below midtown, there will often be multiple brokers with clients racing to see the same place. Then the race for paperwork begins. If you see a crowd at an apartment it is likely a good deal and people are already conferring about what decision to make.

The time of year is a mad dash for suitable housing. Actually, it’s a all out war with collateral damage in the form of sacrificing in the size of space, quality or location, if not the budget. The market will make that decision for you and we will never push you in that direction. We will take time to educate you on the market realities in the swiftest time period possible due to advanced product knowledge.

Come prepared and be ready to make a gut decision. If you can SEE yourself living there, you should go for it before the person who saw it an hour before you does. When it’s meant to be it just feels right!

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