Plenty of strategies exist for those who want to purchase NYC luxury property but don’t want to spend an exorbitant amount of cash. One way is to purchase a unit in less floor of an extravagance building. Another floor unit can cost around 19% more than a comparable unit on the first floor. Another option would be 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 an increased price than others… for instance, a unit line with windowed bathrooms will fetch much 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 need to get a mortgage approval letter from your own bank stating the volume 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 isn’t the same as an approval letter, and will not qualify you 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 pertains to among other things, how many days had a need to close. For mortgage holders, it refers to your percentages for interest in addition to time needed to obtain the funds from the lender and transfer them into the appropriate ESCROW account. In a genuine estate transaction, terms are just as important as cash, since they dictate to sellers under what conditions they’ll reach recoup their original purchase price. Once you learn your terms inside and out, it will make it easier for your broker or agent to negotiate with sellers for you.
Based on the National Association of Realtors, 88% of individuals start their property search online. In New York City, 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 provide. Each area of Manhattan has its own disadvantages, quirks and advantages. And not every real estate agent or broker is equal. You will want to some conduct some research as a way to stay ahead of Your rivals – other ready, willing and able buyers. Which brings us to our next point…
You might have 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 could 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 personal finances, and know just how quickly you are prepared to move on a house 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 is 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 a number of the problems one can find in any property. That is why it is integral that certain conducts a house inspection before signing on the dotted line. Most importantly, ensure that 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 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 New York City market is a market unto itself, much like none other in america. It plays by its degree of supply and demand rules. International demand for NYC luxury property 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 any month of 2012. タワーマンションなら 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 choose among a pool of possible buyers. Understand that the NYC luxury real estate market is not depressed at all and factor this knowledge into your approach to purchase.