Condo of the Day: 403 Pacific Street
We’ll give the developer points for keeping the original floor boards and the fireplace in this townhouse condo conversion at 403 Pacific Street in Boerum Hill; we’re less enthusiastic about the new closet doors and the somewhat awkward placement of the kitchen. The second-floor unit, a 700-square-foot two-bedroom, is asking $579,000, down from its April…
We’ll give the developer points for keeping the original floor boards and the fireplace in this townhouse condo conversion at 403 Pacific Street in Boerum Hill; we’re less enthusiastic about the new closet doors and the somewhat awkward placement of the kitchen. The second-floor unit, a 700-square-foot two-bedroom, is asking $579,000, down from its April debut price of $669,000. Getting close?
403 Pacific Street [Douglas Elliman] GMAP P*Shark
Sure, definitely a possibility. The people that would jump in that I know of are people who are currently renting and saving. I recognize that is anecdotal.
Watching this board i just get irked at the certainty with which many people express where the market is heading based on their opinion or their friends’ opinions, or simply what their interests are.
I think there is a lot more subtlety – i mean think of a hood like prospect heights, which i’ve watched change greatly over the past 3 years alone. Do prices there go back to levels of 5 years ago when the neighborhood was less desirable? I’m not sure I buy that.
Squaredrive – a return to prices at 2004-2005 (or even earlier) levels is a distinct possibility, given the unprecedented run-up of the last few years, and the unprecedented financial meltdown we’re living through. The problem with many people jumping in, even at these prices, is lack of ready cash and/or difficulty of selling smaller places. Eventually, the market will pick back up, but many think we’re in for several years of decline before the turnaround.
I’ve been watching prices at the low end (1BRs) since May and there has been little to no reduction in prices thus far and extremely limited inventory. In my observation reasonably priced places on the 1-2 bedroom side are still selling very quickly. Adam Dahill’s point is well taken – people at the low end will rent to cover costs in the short run rather than sell at a large % loss. There is much more demand to rent 1-2BRs than entire brownstones.
Only 35ish% of NYers own, and if you start seeing 2 BRs in Brownstone Brooklyn for $300-400K i think many, many, many, people will want to jump in.(including plenty I know) But hey, that’s just conjecture.
Agree with ontheparkway. I think the smaller 1/2 BR places (and especially studios) are likely to feel the most pain in a downturn. It is inescapable that the financial industry is going to be substantially smaller over the next few years than it has in the past, so there is one large group of buyers who are (1) selling to move to other places and (2) not being replenished with the vigor of the past. The downturn in the financial sector will hit all sorts of related businesses (law, advertising, etc.) and will dry up demand from foreigners, all of which will hit the smaller places first. Creative types will keep moving in, but they were not the ones pushing these prices up.
I also think there is significantly more new supply coming on line in the smaller sizes than in a brownstone/large family size.
It’s awesome how everyday on B-stoner someone breaks the news that real estate prices will be dropping. It’s even better when they give the exact % of reduction we can expect and about when we’ll hit bottom.
I know I base my financial plans on this constant stream of conjecture-presented-as-fact and I’m sure others do as well…I’m glad these people are around to enlighten the masses.
people still do not seem to realize that the NYC housing market has BARELY begun to feel the pain. take AT LEAST a 20% haircut from today and maybe you’ll see the bottom. i know we all seem to hope that Bberg will save the city’s finances but there is absolutely no way out of a city-wide financial catastrophe. sorry to break it to you all.
you may be right, adam dahill, but any evidence to support your contention?
I’ve heard many many people say the oppposite, that percentage price drops are likely to be much more severe at the lower end of the price spectrum.
That’s because stable-income families who are thinkign about buying a costly bigger apartment or brownstone may be more likely to think long term and buy . . .
but the 20 and 30-something singles fueling the lower end of the market will likely be afraid of losing their down payment and stay away from ownership.
ontheparkway–of course percentage-wise you are right but in psychological and practical terms you just can’t lose as much with this apt as you can with a whole house in a similar neighborhood.
Also agree that you need to put a floor plan in on EVERY LISTING.
I don’t get some of these realtors. I’m all for them making money, it’s a hard job… just do it right and give me my damn floorplan.