Plenty of strategies exist for many who desire to purchase NYC luxury property but don’t want to spend an exorbitant sum of money. One way would be to purchase a unit in a lower floor of a luxury building. A second floor unit can cost as much as 19% greater than a comparable unit on the initial floor. Another option is to seek units with higher maintenance or common charges monthly, as those often have lower asking prices. Alternatively, apt for rent in doral in a building can carry a higher price tag than others… for instance, 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 number of mortgage loan for which you are approved. Savvy sellers can legally tell their brokers to only show properties to buyers who are “bank-approved.” A bank qualification letter is not the same as an approval letter, and can not qualify one 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 pertains to among other things, how many days needed to close. For mortgage holders, it refers to your percentages for interest and also time needed to have the funds from the lender and transfer them in to the appropriate ESCROW account. In a real 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. Once you learn your terms inside and out, it will make it easier for your broker or agent to negotiate with sellers for you personally.
In line with 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 do some searching online. The importance to do 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 disadvantages, quirks and advantages. And not every real estate agent or broker is equal. You will need to some conduct some research as a way to stay ahead of YOUR competition – other ready, willing and able buyers. Which brings us to our next point…
You might have heard this adage before in 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 see it could snag it from under your nose. Similar fervor applies 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 go on it,” and cash buyers can close in less than two weeks. Know your own finances, and know precisely how quickly you are prepared to move on a house you like. The opportunity to quickly transfer to ESCROW will provide you with a significant advantage against other buyers.
Wish 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. This 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 walk away from the house if the inspector finds an issue with it. A reliable broker also won’t waste your time or their very own by showing you properties that are not satisfactory.
THE BRAND NEW York City market is really a market unto itself, much like none other in america. It plays by its own level of supply and demand rules. International demand for NYC luxury property continues to be one significant reason why Manhattan prices are so high in comparison to the areas. REBNY reported that 2012 was probably the most successful year (over $30 billion in property sales) for NYC property since 2008. REBNY also reported that broker confidence available in the market has been higher in January 2013 than in virtually 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. Understand that the NYC luxury real estate market is not depressed by any means and factor this knowledge into your approach to purchase.