Forum
« Grass in Backyard 100 k--how far can this go »
February 20, 2008
house cost per square foot?
We are looking into buying a small (16.5 x 40, 3 story) brownstone in prime PS - near park, great school, etc. The purchase price is pretty low but once we factor in renovation, it might wind up being close to 1.7-1.8, or about $850-900 per square foot. Does this seem expensive for a house renovated to our taste? Note that, from the renovation quotes I've gotten, we can't afford to do a fancy renovation, nor do we want to, so it will probably be simple clean finishes with not a lot of detail (leaning more towards contemporary than traditional). Looking at comps is confusing - it seems that the bigger houses wind up costing a bit less psf but the smaller ones do seem pricier psf. The fact is, we can't afford one of the bigger houses that cost 2-3 million so 1.7-1.8 is the best we can do. But is it crazy to spend this much per square foot? I know the market is supposed to be softening, but based on the incredible demand for our 3BR/2BA prewar apt, it seems that the demand for prime properties is still as strong as ever...
Comments
Downtown Brooklyn has not really dropped off at all. It mimics Manhattan to a certain degree. Also, comps in BK tend to be all over the place because the quality of homes can be so vastly different.
What program did you use to do your comps?
Posted by: evperry at February 20, 2008 7:54 AM
For comps, I just looked on Property Shark - poking around at what various houses in PS sold for in the last year. Is there a better way to get comps?
Posted by: housesearcher at February 20, 2008 8:15 AM
go to
http://www.nyc.gov/html/dof/html/property/property_val_sales.shtml
Download the 2007/2008 New York City
Sales Data
Posted by: guest at February 20, 2008 9:37 AM
Housesearcher, buy it or don't. You are posting every day. You have the info and just can't make up your mind because you are not a decisive person. This will not change either way. If you buy it, you'll wonder if you could have found something else. If you don't, you'll wonder if you should have. You are going to feel this way no matter what. It's you, not the house.
Posted by: guest at February 20, 2008 11:11 AM
11:11 - Actually, I am decisive and have a high-responsibility job where I make decisions, quickly, every day. We have also considered many other houses, and very decisively opted NOT to buy them. But buying a house - and especially this one, which is at the very edge of what we can afford - is an extremely important decision and I am just doing as much due diligence as I possibly can. I did the same when we purchased our apt which at the time seemed very expensive - so I also did tons of research and ultimately decided to buy it. I don't see how doing a lot of research is a problem. And it seems that the threads I've begun have yielded discussion that is hopefully helpful to others. As I become more knowledgeable from this process, I of course hope to share what I learn so as to be helpul on this list. The frequency of my posts of late is simply since the time frame to make this decision is very telescoped. So, others, I would still love to hear your thoughts on a reasonable cost per square foot on a house in PS. Thanks.
Posted by: housesearcher at February 20, 2008 12:17 PM
Exacly right, Housesearcher (OP), the answers to one person's questions definitely help others. I get a good education from reading other peoples' posts and the answers people here provide them.
I've never seen anybody on Brownstoner get critical of $850-900 per square foot for a Park Slope house on the market. It's only when places get near $1,000 per square foot that you start to hear people pointing it out and calling it crazy. For a prime Park Slope area, even if $850-900 PSF is a tad over the comps, you are going to do a big gut renovation and that sets your property at the top of the food chain. The similar recent comps you'll find are mostly for properties NOT renovated.
Buy it! That's my vote. You sound like you really want the place, you always have, but you're just doing due diligence and the research which is good.
Posted by: guest at February 20, 2008 12:39 PM
Find out if the house has any FAR - it adds to the value if you can add a floor or extension...
Posted by: guest at February 20, 2008 4:48 PM
Yes, house does have FAR left over. In fact, only about half the FAR is used by the current house...
Posted by: housesearcher at February 20, 2008 5:30 PM
You seem to be looking for rules, when there really are no black & white answers. The $/sq ft is only relevant if you are considering the specific blocks around you, width of house, and quality of finish. The numbers can vary drastically block to block, and house to house. No matter how much research you do, it's going to be very difficult to ascertain what the interior finish and mechanicals are on the houses you're looking at as comps -- so you may not know what's driving those numbers.
You should be working with a qualified broker that you trust. (NO, I'm not a broker.) They can pull comps and canvas colleagues in the neighborhood for comps. And give you a sense of the overall housing stock -- i.e., should you hold out for something better.
If you're not sure, you should wait. We almost convinced ourselves that we really wanted one house (narrow, great street, not 321), then ended up going with one we're much happier with (wider, 321, slightly less desirable block). Figure out what your highest priorities are -- if it's location, then you're going to have to give on price. If it's price, then you're going to have to invest much more in renovation. If it's being really close to your friends, then you should reconsider your priorities -- these neighborhoods are not big enough for that to be a relevant selection criterion.
You will not get the answer from Brownstoner, as good as these debates can be. No one but you and your family know exactly what your finances, nerves, and relationships can stand.
Posted by: guest at February 20, 2008 10:38 PM
Post a comment
Please be patient while your comment is published. It may take a moment.