Plenty of strategies exist for many who want to purchase NYC luxury property but don’t desire to spend an exorbitant sum of money. One way would be to buy a unit in a lesser floor of a luxury building. Another floor unit can cost around 19% greater than a comparable unit on the initial floor. Another option would be to seek units with higher maintenance or common charges monthly, as those often 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 purchase a NYC luxury property, you will want to get a mortgage approval letter from your bank stating the amount of mortgage loan that you are approved. Savvy sellers can legally tell their brokers to only show properties to buyers who are “bank-approved.” A bank qualification letter isn’t the same as an approval letter, and can not qualify you to see a property under bank-approval requirements.
In the true estate industry, “terms” identifies the stipulations under which money is given. For cash-closers, this relates to among other things, how many days needed to close. For apartments for rent in doral , it identifies your percentages for interest and time needed to have the funds from the lender and transfer them in to 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 purchase price. If you know 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 individuals 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 usually to be ahead of your competition – other ready, willing and able buyers. Each NYC luxury building has its own rules for purchase and its particular amenities to offer. Each section of Manhattan has its disadvantages, quirks and advantages. Rather than every agent or broker is equal. You will need to some conduct some research in order 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 ready to close on a rental unit you like as soon as you see it, because the next person to see it might just snag it from under your nose. Similar fervor pertains to the NYC buyers’ market, specifically 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 as little as two weeks. Know your own financial situation, and know just how quickly you are prepared to move on a property you like. The ability to quickly move into ESCROW will provide you with a significant advantage against other buyers.
Just because a property falls beneath the luxury umbrella, does 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 simply some of the problems one will discover in any property. That is why it is integral that one conducts a home 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 a problem with it. A competent broker also won’t waste your time or their very own by showing you properties that aren’t satisfactory.
THE BRAND NEW York City market is really a market unto itself, much like none other in the United States. It plays by its own level of supply and demand rules. International demand for NYC luxury real estate is still 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 available 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 to be 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.
