Market Pulse: Bullish Words From a Broker
We thought readers would be interested to hear these thoughts on the Brooklyn market that a broker at a major firm shared with us via email a few days ago. The market truly is stronger than ever. It is really nutty in a good way now. There are almost constantly multiple bidders at or above…
We thought readers would be interested to hear these thoughts on the Brooklyn market that a broker at a major firm shared with us via email a few days ago.
The market truly is stronger than ever. It is really nutty in a good way now. There are almost constantly multiple bidders at or above full price now. Things are now routinely selling in a week to 10 days.
Obviously, a broker has a vested interest in perpetuating the perception that the market is strong, but it seems to be consistent with what we’re hearing anecdotally. Does this jibe with what others are seeing out there? Especially interested in hearing from brokers on this one.
From the article above:
“The average price per foot for a condo in the first quarter of 2007 was $1,169; for a co-op, $975.”
That’s a 16%+ price difference…ouch. As prices increase, this spread will only get worse for the coop owner…
10:19 — who pissed in your coffee this morning? yeah, this is about brownstone brooklyn, hence the name (not to point out the obvious, but you did do it first).
Why aren’t you posting on the web sites dedicated to the “other” brooklyn? Shouldn’t you be contributing to those neighbs with your wise words, instead of being stuck here, getting frustrating by all the “rich white” people commenting on their rich white real estate?
There are people I know, die-hard manhattanites who actually know the city, have always known and loved brooklyn but never wanted to leave Manhattan, who are now looking for places in brooklyn.
why?
Because Manhattan is losing its soul as fast as Brooklyn is gaining its cache.
It’s not just about Brooklyn being discovered, it’s also about Manhattan being destroyed by franchizes, overdevelopment, congestion etc. . .
Which of course is already happening to brooklyn, but not everywhere; some areas still have an ounce of soul and charm and peace left. for now . . .
10:06…the old saw about condos becoming ‘glorified college student dorms’ is just wrong. Condos have existed here in the city for a long time now (even through a downturn) and what you describe has never happened. I just ran comps for condos and coops in Soho…there’s a 30%(!) difference, on a price-per-square-foot basis, between condo and coop sales in that neighborhood over the last year. Granted, the condos are all new and some of the coops need gut renos, but still, even a 10% difference on a $3 million property represents $300,000. I wonder when coop owners are going to wake up and realize what their supposedly ‘protectionist rules’ are doing to their home values. Here’s a good article on coops you should read:
http://www.observer.com/2007/manhattan-co-op-endangered-species
I’ve been looking for a large 2 or smaller 3 bedroom in Brooklyn Heights/Cobble Hill and everything is expensive (1mm+) and gone very quickly. All co-ops. The condos I’ve seen in Dumbo tend to linger only because there are often near duplicates on the market at the same time and there isn’t the rush to sign. I know several people who bought into the Livingston Board of Ed condos, but I think those were smartly priced.
the “brooklyn” market is not hot. “Rich white brooklyn” is hot, for sure, and for 99% of people on this site that is all that matters, but I just want to point out that brooklyn is much MUCH larger than only the blocks within a short walk of a coffee shop staffed by myspace “keyboard activists” working part-time.
“fully 75% of all nyc housing are co-ops” – not quite more like 75% are rentals. Keep in mind that vast majority of NYers are renters not owners.
I went to open house on Bergen (B,Hill) other day to a townhouse. No shortage of lookers for sure.
People have been saying, “Wait a couple of months and you are really going to see price cuts” for six years Bklynboy.
Everyone has their own personal appetite for risk, but a lot of people just need a place to live and are tired of paying rent. That’s why people are still buying.
i’ve noticed in going to a few open houses lately in park slope, that they are packed with like 50 people on the sign in sheet. i don’t agree with the poster who said something about it only being with large apartments. these were small, studio and 1 bedroom places priced below 400K. Anything priced below around 300K or so is gone within a day or two, if it’s remotely good.
They have all been co-ops, btw. I don’t like the idea of a condo personally as I’m mainly looking at apts. in brownstones.
I do believe condo prices will go down at some point when all the development subsides and people begin to rent their places out. Once the residents see that their buildings have become free-for-alls, they will begin to crack down on some rules and we’ve already begun to see this with an article in the nytimes highlighting how condos are beginning to enfore more and more rules essentially becoming more co-oplike. think about a place like the novo park slope. if/when a downturn in the market takes place, that place will turn into a glorified college student dorm. i prefer something where i have a say in how my residence is operated.
keep in mind that fully 75% of all nyc housing are co-ops. they are not going away anytime soon.