Williamsburg Edge v. Toren (Downtown brooklyn)
Ok so I know that lots of people will say this choice depends on the individual and their preferences, but to be honest, all else being equal, we love both buildings and so are thinking about this in terms of which is the better investment. We would be living in this apartment for about 5…
Ok so I know that lots of people will say this choice depends on the individual and their preferences, but to be honest, all else being equal, we love both buildings and so are thinking about this in terms of which is the better investment. We would be living in this apartment for about 5 years and would then look to sell, so potential resale value in that timeframe is a huge consideration for us.
Each building has pros and cons and much of this decision will come down to location. The Williamsburg area is already “past its prime” with regards to investing, from what people say, though the waterfront area seems to just be getting a facelift now due to rezoning (I believe). On the other hand, the downtown brooklyn area, though not so amazing right now will likely improve dramatically in the next five years or so.
Asides from location, the Edge has fantastic amenities (though the Toren also has good amenities, they are not as nice). However, transportation is better in the downtown brooklyn area as it is a major subway hub.
Any thoughts/advice/further questions? Thanks in advance for the help!
I wouldn’t wait if your goal is to find a home that you can legitimately afford and imagine yourself living in for many years. There are tangible benefits to owning that are not about the market: your tax situation might drastically improve, for example. Or you could lock yourself into a neighborhood instead of getting gentrified out as renters do.
You stand an excellent chance of facing the same negative equity problem most people posting on this board are probably facing right now, myself included. But this only matters if you find yourself forced to sell.
Your home’s value is very conceptual until you want or need to cash in. If you seriously don’t imagine cashing in and are motivated to buy for non-market reasons, then there is nothing wrong with buying.
Just don’t think that you are going to be making an investment and don’t stretch one dime past your budget.
you should wait because missing the absolute bottom in real estate is not nearly as painful as catching a falling knife. This is the greatest financial crisis since the great depression, and the effects will not be known for years. In 1929, after the crash, things shambled along for a few months and then fell out of bed in 1930.
Our market, real estate and otherwise, just caught a left hand jab square on the nose. We’re in the dizzy handful of seconds after the punch is landed and before resisters as painful. That, and there may be an uppercut in the offing. Wait it out, what you might lose in being too late pales in comparison with what you might lose in being way too early.
The air is going to get sucked out of the entire NY market in the next 12 months. Prices have just started falling and are not even close to bottoming. Even properties with a compelling long-term story (such as Toren) are a major risk in the next couple of years. If you are really doing this for investment, then wait. If you just want a place to live, then decide where you want to live and buy there, and accept that you are probably making a terrible “investment.”
This will be a long slide to the bottom. There will be a lot of people like yourself who think that a few percentage point drop means it’s time to buy. In a few years almost all of these people will be wishing they had more patience.
The air is going to get sucked out of the entire NY market in the next 12 months. Prices have just started falling and are not even close to bottoming. Even properties with a compelling long-term story (such as Toren) are a major risk in the next couple of years. If you are really doing this for investment, then wait. If you just want a place to live, then decide where you want to live and buy there, and accept that you are probably making a terrible “investment.”
This will be a long slide to the bottom. There will be a lot of people like yourself who think that a few percentage point drop means it’s time to buy. In a few years almost all of these people will be wishing they had more patience.
I’d go with Toren.
The Edge is in an already gentrified neighborhood (I know…hard to beleive considering how hideous most parts of Williamsburg still are) but Downtown Brooklyn still has tons of potential for growth, I think.
Plus the addition of 20,000 new condos in Williamsburg over the next couple years is going to really depress prices there for a long time to come. Think Miami…
I wouldn’t be thinking about real estate in terms of investment right now.
Too many unknowns, too much potential for future disappointment.
I would think about this decision only in terms of where I want to live, transportation, etc.
jik118, if you make your financial decisions based on anon blog posters, you’re in for a tough time. THe fact is that no one can predict the future. If you need a home, buy one. If you’re buying as an investment over five years, maybe you’ll make out, maybe you won’t.
Now, I’ll forget to take my own advice and suggest that Downtown Brooklyn may or may not ‘improve’ in the next five years, if by ‘improve’ you mean substantial development. Even if AY happens, it ain’t gonna be done in five years. And not much else is gonna happen either. But see para 1 re anon blog posters!
Thanks for the comment, but I actually thought this might be a good time to buy considering the market is depressed and prices seem to be at a low point. Why do you think its necessary to wait a year? Thanks again.
Thanks for the comment, but I actually thought this might be a good time to buy considering the market is depressed and prices seem to be at a low point. Why do you think its necessary to wait a year? Thanks again.