Plenty of strategies exist for those who want to purchase NYC luxury property but don’t desire to spend an exorbitant sum of money. One way is to buy 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. apartments in costa mesa Another option is to seek units with higher maintenance or common charges monthly, as those frequently have lower asking prices. Alternatively, some lines in a building can carry a higher price than others… for example, a unit line with windowed bathrooms will fetch a lot more on the open market when compared to a line whose bathrooms are lit only by fixtures.
If you need a home loan to get a NYC luxury real estate property, you will need to get yourself a mortgage approval letter from your own bank stating the volume of mortgage loan that you are approved. Savvy sellers can legally tell their brokers to only show properties to buyers that are “bank-approved.” A bank qualification letter is not the same as an approval letter, and will not qualify one to see a property under bank-approval requirements.
In the real estate industry, “terms” identifies the stipulations under which money is given. For cash-closers, this pertains to among other things, how many days needed to close. For mortgage holders, it refers to your percentages for interest as well as time needed to have the funds from the bank and transfer them in to the appropriate ESCROW account. In a genuine estate transaction, terms are equally as important as cash, since they dictate to sellers under what conditions they will reach recoup their original purchase price. If you know your terms inside and out, it’ll make it easier for the broker or agent to negotiate with sellers for you.
According to the National Association of Realtors, 88% of people start their property search online. In NEW YORK, home of the savvy shopper, over 90% of buyers and renters start their search online. The importance of doing your own research is 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 offer. Each area of Manhattan has its own disadvantages, quirks and advantages. Rather than every agent or broker is equal. You should some conduct some research so as to stay ahead of YOUR competition – other ready, willing and able buyers. Which brings us to your next point…
You’ve probably heard this adage before with regards to the NYC Rental market: bring a bank-certified talk with you and be prepared to close on a rental unit you like once you see it, because the next person to see it could snag it from under your nose. Similar fervor applies to the NYC buyers’ market, especially for luxury NYC property. International all-cash buyers are most 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 personal financial situation, and know just how quickly you are prepared to move on a house you like. The ability to quickly transfer to ESCROW will provide you with a significant advantage against other buyers.
Wish 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, evidence of water damage and mold, or piping and HVAC problems are just some of the problems one can find in any property. This is why it is integral that certain conducts a house inspection before signing on the dotted line. Most of all, make sure your contract for purchase carries a home inspection contingency, i.e. a statement that allows you to freely walk away from the house if the inspector finds an issue with it. A competent broker also won’t waste your time and effort or their very own by showing you properties that aren’t satisfactory.
THE BRAND NEW York City market is really a market unto itself, comparable to none other in america. It plays by its own degree of supply and demand rules. International demand for NYC luxury real estate continues to be one significant reason Manhattan prices are so high compared to the areas. REBNY reported that 2012 was 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 virtually any month of 2012. Sales numbers across most brokerages indicate the fact that we have been continuing to trend towards a sellers’ market, as sellers and co-op boards continue being able to pick and choose among a pool of possible buyers. Know that the NYC luxury real estate market is not depressed at all and factor this knowledge into your approach to purchase.
