Last Week's Biggest Sales
Fort Greene, South Slope dominating. 1. BOERUM HILL $3,175,000 209 Dean Street GMAP (left) This house last sold for $1,840,000 in mid-2005 and was asking $3,250,000 when we had it as an open house pick in February. 3-story, 1-family, 3,584 square feet in all. Deed recorded 6/23. 2. FORT GREENE $3,055,500 275 Adelphi Street GMAP…
Fort Greene, South Slope dominating.
1. BOERUM HILL $3,175,000
209 Dean Street GMAP (left)
This house last sold for $1,840,000 in mid-2005 and was asking $3,250,000 when we had it as an open house pick in February. 3-story, 1-family, 3,584 square feet in all. Deed recorded 6/23.
2. FORT GREENE $3,055,500
275 Adelphi Street GMAP (right)
Asking $2,995,000 when we had it as a House of the Day in January. It’s a five-story, three-family house that was purchased for $1,300,000 in 2003. Deed recorded 6/23.
3. SOUTH SLOPE $2,000,000
419 13th Street GMAP
This baby was asking $2,100,000 when it was listed in March, according to StreetEasy, and it went into contract in May. 3,000-square-foot single-family. Deed recorded 6/27.
4. SOUTH SLOPE $1,950,000
444 12th Street, Loft A GMAP
Deal here was for a loft condo plus parking space in the Ansonia Clock Works building. This unit is 2,035 square feet, according to Property Shark. Deed recorded 6/23.
5. FORT GREENE $1,900,000
136 Lafayette Avenue GMAP
Three-family, 3,528-square-foot house was originally listed for $2,350,000 last fall, according to StreetEasy. Deed recorded 6/24.
Photos from Property Shark.
10:38 AM,
Uh…
“No one would have called yesterday’s HOTD a historical brownstone 10 years ago.”
Sorry to break to the news, but many would probably not call yesterday’s HOTD an historical brownstone today.
Prime is prime. Most people buying know the score in Brownstone Brooklyn.
10:38 AM,
Uh…
“No one would have called yesterday’s HOTD a historical brownstone 10 years ago.”
Sorry to break to the news, but many would probably not call yesterday’s HOTD an historical brownstone today.
Prime is prime. Most people buying know the score in Brownstone Brooklyn.
No jumbos means the lawyers join the artists, professors, etc: priced out. Now it’s just best-sellers and movie rights driving the market.
historical brownstone prices march in lock step with condo prices, usually somewhat behind them on a psf basis.
And while the supply may be limited in some metaphysical sense, in the bubble years it has increased rapidly through (1) conversions from rentals and (2) expansion of neighborhood boundaries. No one would have called yesterday’s HOTD a historical brownstone 10 years ago.
So increase condo supply and increased “brownstone” supply should have the same effects on prices. They’ll keep their value just as they did in e.g., 1930-1950; 1968-1978; 1988-1995.
No bubble here. Everything is just peachy. Roses and Sunshine!
Good Luck.
Get A Clue.
As usual, it shows that real estate is LOCAL! Credit crunch, mortgage crisis and housing slump don’t mean a thing in NYC where salaries are high. It means something in Miami, Vegas, California, Texas where people with low income have been trying to speculate and got burnt.
People who buy townhouses or brownstones usually intend to live in it and are not speculators.
There are not many beautiful historical browstones on the market and these will always keep their value. It’s pretty simple. Historical brownstones supply is limited. 1BR/2BR new condos supply is unlimited.
Here is an interesting chart showing the collapse of the securitization market. http://www.nakedcapitalism.com/2008/06/death-of-securitized-mortgages.html
Why is that relevant to PS?
1. Securitization has been a big source of Wall St profits, and Wall St profits directly and indirectly (via Manhattan sales) drive a good deal of the demand in our market. No securitization means fewer bonuses means fewer bankers buying 2 BR coops for silly prices means fewer cashed-out Manhattanites buying overpriced brownstones.
2. No securitization means that banks that make big mortgages need to hold them rather than sell them. Which means they need to have equity reserves to support the loan. But they don’t. So, it’s going to be hard to get jumbos and harder to get superjumbos and impossible to get no-income verification loans. Which means that professionals trying to compete with the rich by borrowing aren’t going to be able to.
Reduced demand plus increased supply — prices are going up, up, up. At least once securitization resumes, when investors figure out how to price these things. Jumbos should come back relatively soon, say within a few years of a clear real estate market bottom. Liar’s loans/Alt-As–not so clear.
for 7:22 who hasn’t heard any predictions of price declines this time around that resemble the ones in the early ’90s: try reading this blog, or any other real estate blog, or just look at the Case-Shiller indices and extrapolate the curves back to trend.
And remember to add in inflation. If the whole process takes 5 years, and inflation is running at 4%, even flat nominal prices will mean a loss of close to a quarter.
for 7:22 who hasn’t heard any predictions of price declines this time around that resemble the ones in the early ’90s: try reading this blog, or any other real estate blog, or just look at the Case-Shiller indices and extrapolate the curves back to trend.
And remember to add in inflation. If the whole process takes 5 years, and inflation is running at 4%, even flat nominal prices will mean a loss of close to a quarter.