Open House Picks: Six Months Later
Comment: Other than Stratford Road, pretty dismal. Open House Picks 7/11/08 [Brownstoner] Previous Six Months Later Posts [Brownstoner]
Comment: Other than Stratford Road, pretty dismal.
Open House Picks 7/11/08 [Brownstoner]
Previous Six Months Later Posts [Brownstoner]
Ah. I’m not sure Crown Heights is subprime either. Maybe it’s like Bed Stuy. It looks to me like there are scattered places going into foreclosure, but the whole neighborhood is not on sale.
I have a theory: Bed Stuy was already a neighborhood of homeowners, with houses in the same family for generations. They’d be more likely to fall victim to real estate fraud or take out HELOCs than to buy with ARMs in the last three years.
I don’t know why it is the case, but Bushwick and apparently Flatbush and parts of Queens are full of places purchased in the last three years with ARMs that reset or other problems.
FWIW, the prices I have seen for brownstones in Bed Stuy are considerably less than what you describe. I haven’t looked in Crown Heights at all.
Also, I don’t know about you, but foreclosed properties sound troublesome. I’m not sure you can inspect them, don’t know about auctions, and don’t they require all cash? Short sales seem promising. They’re basically the same as a normal sale but you wait longer for the bank to OK it.
I think I omitted something from the earlier post.
I don’t really see any huge movement on the lower end brownstones / buildings in the areas I’m looking at. I’m not sure if Crown Heights is subprime or not.
I’ve seen a few scattered declines. But not whole sale. People are still trying to get $700-800k for old brownstones that need to be renovated. Those prices don’t seem to be coming down, except for slightly at the margins. (One place did foreclose for like $450k, which I posted on this site). Honestly, while I might make an offer that is 10% off asking price, it’s not even worth it at these prices. I know we have nothing to lose by making a low ball, but it’s got to be a low ball that I feel has a chance of going forward. I’m starting to learn more about finding foreclosed properties.
The weird thing is that there are not many new listings these days where I’m looking.
Actually one of Orrichio’s Stratford listings came off the market this week – no bites, no sale.
theandrewlee, we’re looking at two families in subprime areas, not condos. Actual sale prices and numbers owners will agree to are down 40 percent from height of the market. It makes sense that condo developers aren’t free to negotiate. But you can always make a low offer and see what they say. You have nothing to lose.
@mopar and cw:
Who are in the same boat as me, I think…
New condos in the 500k to 900k range don’t seem to be going down. Street Easy gives the closing prices, and the most they come down in a building is like 3-5%. Someone explained that the newer condos cannot offer huge price cuts without angering those who bought pre-bust.
Old condos — some are going down. But it’s spotty.
But yes, the lower end market has not declined like the high end market.
We wait and see.
Plus I know what a few places are in contract for.
cw, are you basing this on list or have you made offers and they’ve refused? Because lists haven’t changed much where I’m looking but actual prices — are waaaaay down. I know because the real estate agents run after us as we’re leaving and beg us to take it for such and such amount. It’s actually horrible.
cwb we know what you you mean but just be patient you will see massive reductions in the condo market as well especially with the dropping rents. There are simply too many condos for the rental market to absorb significantly.
Yep Mr B 6th avenue house has been HOTD recently as pointed out above. BTW that place will sit for a while longer except if the price is reduced further to around $1.2m.
You are correct, Miss Muffett, the 6th avenue house was HOTD on December 30th. It’s still listed with C21, at $1.395M.
http://www.brooklynproperty.com/content/ProDetails.aspx?pid=34