Plenty of strategies exist for those who desire to purchase NYC luxury real estate but don’t want to spend an exorbitant amount of cash. One way is to buy a unit in a lesser floor of a luxury building. Another floor unit can cost up to 19% greater than a comparable unit on the first floor. Another option is 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 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 purchase a NYC luxury real estate property, you will want to get a mortgage approval letter from your bank stating the quantity of mortgage loan for which 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 visit 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, just how many days needed to close. For mortgage holders, it identifies your percentages for interest as well as 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 purchase price. Once you learn your terms inside and out, it’ll 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 do some searching online. The importance of doing your own research is to be ahead of your competition – 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 should some conduct some research in order to stay ahead of Your rivals – 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 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, specifically for luxury NYC real estate. International all-cash buyers are most likely your strongest competition in the NYC luxury market. apartments orange county They are able to walk right in and say “I’ll take it,” and cash buyers can close in as little as two weeks. Know your personal financial situation, and know precisely how quickly you are prepared to move on a property you like. The opportunity to quickly transfer to ESCROW will give you a substantial 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 for example improper weight baring pillars and roofing issues, proof water damage and mold and mold, or piping and HVAC problems are simply a number of the problems one will discover in any property. This is why it is integral that certain conducts a home inspection before signing on the dotted line. Most importantly, make sure your contract for purchase carries a home inspection contingency, i.e. a statement that permits you to freely leave from the house if the inspector finds a problem with it. A competent broker also won’t waste your time or their own by showing you properties that aren’t satisfactory.
THE BRAND NEW York City real estate market is really a market unto itself, much like none other in the United States. It plays by its degree of supply and demand rules. International demand for NYC luxury property is still one significant reason 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 virtually any month of 2012. Sales numbers across most brokerages indicate 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.