14 Comment

  • mildredfierce

    618 E 5th Street is not is Ditmas Park by even the most generous expansion of the neighborhood boundaries. That’s Kensington.

    • adam_dahill

      Agreed. It’s still a good area though I spy 4 kitchens in that 2 fam house. Will have to remove 2 of them to get mortgage financing.
      Who says you can’t afford to live in Brooklyn? That place will clean up nice and with rental income seems like a good deal for a family.
      People need to stop complaining that they can’t afford to live in Brooklyn. There is tons of affordable homes in Brooklyn, just maybe not in the trendy hoods.

    • Cate

      You are absolutely right. I must have misread the map. What I thought I saw was between Flatbush and Coney Island Avenue. So sorry, my mistake!

  • The broker listing the East 5th street house evidently doesn’t know Brooklyn. Ditmas Park is the historic neighborhood between East 16th Street and Ocean Avenue and it’s Northern boundary is Dorchester Rd. They’re only in error by 12 blocks. Cortelyou Rd. between East 5th and Dahil Rd has little to offer other than a couple of small grocers and a matzah bakery.

  • Affordable? It’s 999,000, not exactly peanuts. It looks like it’s got some serious linoleum floor action, and un-pictured baths and second kitchen, so let’s assume you put at least 50k into minimal remodeling.
    So the buyer has 250k sitting around and something like 150k of yearly income. Remember that teacher’s salaries start at 45k a year.
    Yes, I know, there are many people who have those finances ready to go. You are the mortgage broker, so you know more than anyone. But affordability is all relative.
    The Canarsie listings look a little more affordable.
    On the other hand, as to the poster who says this stretch of Cortelyou has “little to offer”, it has to offer a house about 500,000 less than the “historic” stretch of Cortelyou. Kensington is not so shabby. Actually there is a terrific bakery (Uzbek I think) on Ditmas right near this house.

    • adam_dahill

      Agreed on relativity. This doesn’t work for everyone This is a big house with rental income. But I don’t think it will go for over ask. I don’t claim to know everything but it’s def doable.

      Let’s use this as an example
      1mm purchase
      20% down
      800k loan
      Taxes are $4909 per city’s website
      Est Annual Insurance $1800

      30yr fixed at 4.25% $3,936 +$559 Tax/Ins = $4,495
      Let’s say you double duplex the place with a 3 bd rental at $2,500
      You are now at $1,995 put of pocket per mth for your own duplex with yard, driveway, garage etc..
      You can knock another $200 per mth off by taking a 10yr ARM at 3.875%

      Of course you have incidentals like heating electric etc… but 2k per mth for this house by doing a little landlording isn’t a lot to ask.

      My wife is a NYC high school teacher. Yes they start at 45k but that was when she was 22 yrs old. She’s 35 and at over 80k per year. 22 yr olds are not buying 2 fam houses in Kensington but a 35 year old couple both teachers making a combined 160k per year equates to 13.33k per mth. With a 43% back end debt to income ratio you can qualify for a total payment as high as $5,733.

      Yes you need the 200k plus closing costs which isn’t easy to come by but it’s achievable. Remember again this is large house. Condos and Coops in this area are much cheaper and affordable. I just think a rental income is the way to go if you can swing it.

      • You forgot the untilty and water expenses. I assume there’s one boiler and 1 water meter, and seperate electric meters which would add at least $500-$650 a month for the owners costs..

      • You are right about teachers, and of course, you are right about the monthly payments.
        I’m not sure this will sell for under ask, with the way Kensington has been going. I’m also not sure if whoever buys it will only put down 20%. Plus pretty sure that whoever buys it will end up paying at least 100k in repairs before moving in – you told me how contractors were gouging everyone.
        We bid on a house next door a few months ago. We were outbid buy an all cash buyer.
        So yes, the two hypothetical teachers can afford the monthly payments, but are they starting with 200k? or 300 or 500k? What do they need in reserve in addition to that?

        • Up to a few months ago, we fit the profile of your buyers almost exactly and we were convinced we could get something like this in Kensington. We bid on a house on this same block, very similar, at a similar price. We were outbid buy all-cash buyers (more than one, I believe).
          Also bear in mind that in these Victorian two families, the larger unit is the top duplex. The top floor is an attic, with lower ceilings, which doesn’t lend itself to being an independent apartment like a row house top floor does. The ground floor level is a 1 or 2 bedroom, about 800 – 1000 sq ft, but with good light. If you want more room you have to finish the basement and put in an illegal bedroom. Living in the top duplex means cutting off access to the yard. So you are paying almost 1 million to have a relatively small apartment, albeit with good rental income from the large upper unit. Not everyone’s cup of tea.
          Many orthodox families are getting squeezed out of Borough Park and are moving eastward into Kensington (which always had an orthodox presence), putting even more pressure on the low inventory.

  • When you say “little to offer” not sure what you mean. That side of Cortelyou and Ditmas (there are two main drags) have perfectly serviceable food stores with tons of fresh fruit and vegetables, good liquor stores, pharmacies, two bakeries, some great Central and South Asian food and it’s a perfectly easy walk to the Ditmas Park section of Cortelyou with it’s great bars and restaurants. The neighborhood is safe and interesting.

    And, it’s $600k cheaper than a house on the other side of CIA.

    “Little to offer” to mean would mean the endless streches of eastern bed-stuy with nothing but crappy corner stores junk food and the odd chinese takeaway.