Last Week's Biggest Sales
As is often the norm with the week’s biggest sales, Gravesend and Park Slope have entries. 1. GRAVESEND $3,600,000 1800 E 4th Street GMAP (left) 3,910-sf house built circa 1920. Deed recorded 4/11. 2. PARK SLOPE $1,890,000 746A Union Street GMAP Detached 2-story, 1,480-sf 1-family house built circa 1920. Deed recorded 4/8. 4. DUMBO $1,570,000…
As is often the norm with the week’s biggest sales, Gravesend and Park Slope have entries.
1. GRAVESEND $3,600,000
1800 E 4th Street GMAP (left)
3,910-sf house built circa 1920. Deed recorded 4/11.
2. PARK SLOPE $1,890,000
746A Union Street GMAP (right)
4-story, 3-family brownstone built circa 1892. Last listed with Aguayo & Heubner for $1,985,000. Deed recorded 4/10.
3. GRAVESEND $1,650,000
1791 East 3rd Street GMAP
Detached 2-story, 1,480-sf 1-family house built circa 1920. Deed recorded 4/8.
4. DUMBO $1,570,000
30 Main Street GMAP
Sale was of unit 10H in the Sweeney Building. Deed recorded 4/8.
5. FORT GREENE $1,550,000
221 Cumberland Street GMAP
5-family house brownstone with $95,000 income, according to Fillmore ad on StreetEasy. Listed for $1,799,000. Deed recorded 4/7.
Photos from Property Shark.
I agree with 1:24. A building near me, 406 2nd street sold for 1 million in 2003 and it’s now for sale at 2.7 million. That’s a ridiculous price appreciation in just 4 years. If it sells 20% less than ask, it would still sell for about at about 2 million or 100% more than it was bought for just 4 years ago. A 20% drop from today’s prices is not shocking when you calculate how much prices have gone up in just the last five years.
1:24. You know more than the facts, right?
“Overall sales in upper echelon neighborhoods like Park Slope and Brooklyn Heights remained strong in the first quarter of 2008, the report shows. Prices rose for Park Slope single- and multi-family homes, as well as for co-ops, but Park Slope condo prices fell 32 percent, dragging down the neighborhood average home price.”
I also saw the Union Street house and passed on it, because the price was too high, then saw it again at discounted price and still passed. I think they should feel lucky they got their final price which is a significant discount from initial ask. Proof that even “prime” properties are coming down. New York magazine recently published a graph showing that Park Slope real estate was down for 2008 so far – the canary in the coal mine for the broader NYC real estate market. Look, I own now already, and am looking to trade up, so I’m no bitter renter, but I see the writing on the wall and I don’t see any price gains forthcoming anytime soon – maybe prices will stabilize/stagnate, and of course, I still think that if you find your dream property, go for it (in the long run, you’ll probably be fine) – but I would be in no rush to buy now. Given lending tightening and changing psychology, plus recession, there will have to be downward pressure on prices – maybe not a complete tank but a 10-15% decline does not seem unreasonable, maybe even 20% (esp given run-up of last few years).
1:07 are you saying the historical cap rate on rental buildings is 10%? Has that been true in NYC?
based on the rent roll on that house in Fort Greene is worth 1 million. That is based on historical norms.
cap rate is the rate of return on your investment.
The issue with the 5-family is that it is not an owner-occupied type of 2 or 3 family. The higher prices on 4-story rowhouses usually happens with houses that already have or can be configured to an owner duplex or triplex.
A building with 5 existing tenants may be less attractive b/c it is simply an investment, not a home. People who can afford to have a swank (ish) home will pay more for a house. The property in question on Cumberland had a different market.
Though, if the apartments are vacant, a condo/coop conversion could happen…
Pardon my ignorance, but what does 6% cap rate mean?
6% cap rate and inflation is about 7 percent now based on this mornings PPI #s. That is what I call some bad math. The numbers dont work on Fort Greene with that price. Does anybody get it yet?