Last Week's Biggest Sales
1. PARK SLOPE $2,550,000 418 4th Street GMAP When this 2,748-sf, 2-family brownstone was House of the Day last May, the seller was asking for $2,950,000—after paying $1,865,000 for the place less than a year prior. The renovation didn’t charm us, but according to its listing on StreetEasy, the house’s top-to-bottom update “gracefully combines 19th…
1. PARK SLOPE $2,550,000
418 4th Street GMAP
When this 2,748-sf, 2-family brownstone was House of the Day last May, the seller was asking for $2,950,000—after paying $1,865,000 for the place less than a year prior. The renovation didn’t charm us, but according to its listing on StreetEasy, the house’s top-to-bottom update “gracefully combines 19th century styles with contemporary designs. The garden rental duplex overlooks a magnolia and weeping cherry tree. The upper triplex has 5 bedrooms and 3.5 renovated bathrooms with fine fixtures, custom cabinetry and glass tile.” The Average Reader Appraisal for this place was $2,146,765. Entered into contract on 2/26/10; closed on 3/31/10; deed recorded on 4/8/10.
2. CARROLL GARDENS $2,200,000
28 Second Place GMAP
This brownstone was another House of the Day in July ’08. We noted that it’s 34 feet (and four windows) wide, double the width of many buildings—giving it 5,000 square feet of space, with an additional 3,300 square feet of air rights. We also noted that the asking price was a whopping $3,900,000. (No widget for this oldie HOTD.) Entered into contract on 2/22/10; closed on 3/17/10; deed recorded on 4/9/10.
3. PARK SLOPE $1,800,000
318 First Street GMAP
This 2-family, 2,670-sf Brownstone was yet another House of the Day way back in November ’08, when it was listed at $2,099,000. Its most recent listing on StreetEasy had it priced at $1,875,000. (This one doesn’t have a widget, either.) Entered into contract on 12/8/09; closed on 3/17/10; deed recorded on 4/8/10.
4. BROOKLYN HEIGHTS $1,582,360.50
360 Furman Street, #734 GMAP
This 2,162-sf condo with 2 bedrooms and 2 bathrooms is located in One Brooklyn Bridge Park. According to its listing on StreetEasy, it was priced at $1,875,000. Entered into contract on 1/18/10; closed on 3/25/10; deed recorded on 4/1/10.
5. CARROLL GARDENS $1,360,000
130 Summit Street GMAP
When this 3-family home with lots of charm was House of the Day in October ’09, it was listed at $1,350,000. Seemed like a great deal before we read the fine print: The 3rd floor apartment had a rent-controlled tenant paying $325 a month. Can’t say how the tenant situation panned out, but the building sold for $10K over the asking price—and nearly $260K over the Average Reader Appraisal of $1,101,167. Entered into contract on 1/11/09; closed on 3/29/10; deed recorded on 4/6/10.
Photos from Property Shark.
bears: don’t you think you should consider some other factors other than the gross/net price paid/achieved.
for instance:
* forced savings on a 80% LTV over five years = $180K
* tax savings from deductible interest = $140K
mortgage would’ve been about $4300.
how much would the house have rented for over that time?
I saw 4th street. It was done really nicely. Total gut renovation, great outdoor space too.
Nicely said, doppelganger.
Miss Muffet,
I stopped looking in mid 2003 after I signed a contract to buy a home. Just before that, I was close to buying a house on 2nd place (between court + Clinton) that was asking $1.2. It required a reno and would have offered an owner 4 floors with one rental. That would have been almost 7 years ago (a little more than the 5-6 I referenced in my post) I think 2nd place is better than 2nd street, How much did the market move from mid 2003 to 2005 when 2nd street property sold?
The point that I was making, is that people like BHO are looking at real estate like stocks. A Brownstone needs to be looked at as a combination of ahouse that you use and a long term investment. BHO made the comment several weeks back that he’d been looking for 6 years. Really, what’s the point in that? He’s looking to market time a real estate purchase rather than find a place to live for the long term. That just doesn’t seem credible to me. From my perspective, if you by a house that you can afford and live there for enough (10+ years), the odds are that owning will work out for you.
Actually BH, 1st street cost pretty much what it cost 5 years ago -sold for 1.775 in 2005 and sold for 1.8 in 2010, so recent seller surely lost money between closing costs, reno etc. I would say they overpaid in 2005, since 1.8 is a lot of money for this house and that seller should be happy he did not lose more.
BHO,
You’re too fixated at peak to trough. All these house still cost 1.5x-2.0x than they did 5-6 years ago. I don’t see what drives price appreciation over the next few years, but that’s not the way I think people should look at their house. If you can afford the payments and you plan to own the house for 10+ years, the case for buying is sound.
28 2nd Place was on our radar as a potential redevelopment opportunity – our survey here: http://bit.ly/60tjgp
I took a look a few months back and expressed my opinion about scope of work and potential rehab costs here – http://bit.ly/6iihRq
As our end-user pricing was indicating an average $596 per sq ft tough to compete with a going-in price of $367 per sq ft. Negative margin if rehab costs (hard, soft, interest, etc.) run over $230 per sq ft, which is highly likely for a building in this condition.
Buyer most likely a owner-user as they will pay a premium over developer. Last I heard seller would not accept less than $2.3M. Either buyer is a good negotiator or seller threw in the towel. Crickets on other offers.
Love the comments comparing avg widget price to the final sale price.
Re 4th Street, at least ten percent of appraisals came in over $2.5m so not surprising that the seller could find just one buyer who thought it was worth what at least ten percent of brownstoner appraisers thought it was worth.
Re Summit Street, again, at least 10% of brownstoner appraisers thought this house was worth at least $1.35m. Why is it so surprising that the house traded in this area in the real world?
Now if the highest appraisals had come in below actual sale price, that would be something to talk about.
I sold 130 summit after restoring it myself and yes my rent controlled tenant stayed in place. I love that house. I bought 28 2nd place and hope that it doesn’t prove to big of a project for me!