Last Week's Biggest Sales
1. BROOKLYN HEIGHTS $3,200,000 32 College Place GMAP (left) A 2,820-square-foot, single-family house, according to Property Shark. Entered into contract on 12/9/08; closed on 2/11/09; deed recorded on 3/20/09. 2. COBBLE HILL $2,300,000 17 Cheever Place GMAP (right) This 2,488-sf two-family hit the market in June, listed at $2,750,000; the price was subsequently decreased to…
1. BROOKLYN HEIGHTS $3,200,000
32 College Place GMAP (left)
A 2,820-square-foot, single-family house, according to Property Shark. Entered into contract on 12/9/08; closed on 2/11/09; deed recorded on 3/20/09.
2. COBBLE HILL $2,300,000
17 Cheever Place GMAP (right)
This 2,488-sf two-family hit the market in June, listed at $2,750,000; the price was subsequently decreased to $2,575,000. The house had been “meticulously gut-renovated to perfection,” according to its listing; the sellers bought it for $1,130,000 in early ’06. Entered into contract on 11/10/08; closed on 3/6/09; deed recorded on 3/16/09.
3. PROSPECT HEIGHTS $2,000,000
210 Prospect Place GMAP
This 3,633-sf, single-family townhouse was first listed for $2,495,000 last summer; the price was dropped to $2,250,000 in October. As noted in a House of the Day post, its owners gave it an extreme makeover. Entered into contract on 2/5/09; closed on 3/10/09; deed recorded on 3/19/09.
4. PARK SLOPE $1,620,824
520 8th Street GMAP
This 3,000-sf, three-family last sold for $999,999 in late 2007, according to Property Shark. Entered into contract on 3/6/09; closed on 3/6/09; deed recorded on 3/18/09.
5. CARROLL GARDENS $1,575,000
356 President Street GMAP
This 4,500-square-foot house was listed for $1,820,000 when it got House of the Day treatment last November. Entered into contract on 1/19/09; closed on 3/10/09; deed recorded on 3/18/09.
Photos from Property Shark.
1929, I’m desperately trying to buy a place so I’ll have a backyard to grow potatoes in when the apocalpyse comes. (Any minute now.)
“They are convinced as first time buyers that they well never get into a prime property in the slope/heights/hill/gardens/greene etc….”
We certainly feel this way. We can never afford more than $200,000 per person/$300,000 for the two of us/$500,000 for a two-family/$600,000 for a three-family. The only areas that might slip into our price range are Greenwood or Stuyvesant Heights.
We’re lucky, though, because Bushwick is our first choice. We don’t want to live in “prime” Brooklyn.
“There are opportunities in subprime Brooklyn and you will see the beat up multi-fams get snatched up when they hit around 300k for a 4 floor.”
Prices are already pretty good. It’s not entirely a question of price. People have to believe in the area, rental demand must be steady, and they must also have income they can count on. Another issue is that many of these places are wrecks.
I saw a three-family the other day in excellent condition in a great location for $620,000. At that price, you could practically live rent free. I am not sure but I think I saw the same place listed again for more money. (Not swift.) I’m starting to see listings for two-families in the 300s. They need work, but at that price, you could take out an 203K loan and gut the place and still come in under current market price. Most of the places I see are in terrible condition. If people are looking for original detail, as I am, or they don’t have the cash for repairs, that’s a problem.
Dear Team Bear and Team Bull,
You can pontificate all you like. The nuances you are debating are meaningless. Real estate prices are in the toilet, the economy is in the toilet. Get ready to grow potatoes in your backyard. 35% loss in RE values btw ’88 and ’93, and no one even remembers that teeny blip on the economic radar. This is so much worse. We ain’t seen nothing yet. The What was right all along.
Yours truly,
The spirit of 1929
Sebb – all we need is ONE house and we are sure we will find it at a big discount sometime in the not-too-distant future, but if it takes 1-2 years, that’s fine by us too. Your assertions are as gravity defying as the prices of the last few years, and you are in a crowd of one, it seems. Even the bullest of the bulls on this are resigned to significant price cuts. I too could regale you with a huge list of homes that have had price cuts lately. I wish you luck.
I don’t know Muffett, but i have seen a lot of houses sell for asking close to it or even above the prices in the last 2 months. Unless you have been living in a hole with a groundhog not looking , then you must agree.
If you tell me i am wrong i will give you all of the evidence tomm as i am very tired.
P.S. Sebb – the house I was referring to was in prime Brownstone Brooklyn, as are the other properties I’m seeing price cuts on. You must have blinders on not to see this starting to happen or to think that it won’t continue.
But Sebb, what you don’t get – and I can’t fathom why not, other than you don’t *want* to get it since you are in such deep denial – is that by waiting, I’m **saving** money. And lots of it. There was a house that we were interested in last fall that came on the market at what we thought was a high price. We offered 20% below, and the owner would not deign to counter-offer. But since then, not only have they begged us to buy at our original low offer, but they have reduced the price several times, and we now hear the owner is considering an offer way below what we offered. Because the house needs so much work, and because we’ve lowered our budget period (due to losses in our retirement and college savings, which now need injections from our “house cash”) we no longer want this particular house. But had we still been interested, then by now, this house would be hundreds of thousands of dollars less than what we would have been required to pay mere months ago. That said, this house is the exception, not the rule, as the seller is clearly motivated, whereas many sellers right now seem to be in denial (perhaps they are like you).
But with every week that passes, I see more properties getting price cuts – although so far, we have not found anything we love at a price we think makes sense. Given that the market is only going down further, we are convinced that we have nothing to lose, and everything to gain, by being patient and waiting. For the hundredth time, the rent and tax savings we are “throwing out the window” are dwarfed by the price cuts we are only starting to see and that we will continue to see. Even if we spend 100-200K on rent/”lost” tax savings, we will surely save much more than that for the kinds of properties we are looking at.
pierre de taille: What i have been saying all along is that she keeps siting on the sidelines waiting and waiting. With her finger up her A$$ but guess what prices are not going down in brownstone Bklyn. Look at the selling prices.
Plus add in the tax savings and the rent she keeps throwing away. Okay Buddy.
Lechacal for the 100th time we cannot help but agree with you.
Not sure what some folks are cheering about given the massive reductions some of these homes have required to sell i.e $300 to $500K. Remember in that distant year of 2006 these would have sold at or above asking…oh well let lying dogs lye…Denial never ceases to amaze us.
DIBS did you actually read the sales price in relation to asking? Remember these are the biggest sales in Brooklyn’s best areas and they’ve still required significant price cuts in the 20-25% range. Do you think a sample of mid-range to poor neighborhood sales will reflect less declines in prices? Absolutely not dude! In fact we know the general range is 35% to 40% off peak prices in BS & Bushwick…can provide data but your first comment makes it seem as if you don’t believe in data anymore….surprising for a Hedge-fund manager.
Snark we were thinking the same thing when we read DIBS comment. “20-25% price drops all around.
Keep clapping, DIBS, but I think the bears are winning here”.
“Miss Muffett: Looks like you are still losing money. Keep the faith”.
Sebb can you please explain what you mean by the above statement? Are we missing something else you seem to know? Or was that just a pediatric jest on your part. Her explanations and reasoning makes a lot of sense and not only to her individual situation but also that of most logical people….
NB: Idiosyncrasies are always forgiven if indeed you happen to be an adult.