Last Week's Biggest Sales: Bay Ridge on Top
1. BAY RIDGE $1,900,000 8025 Harbor View Terrace GMAP (left) In its listing, this 3,274-sf one-family house was described as being in “the Beverly Hills of Bay Ridge.” It was asking $2.3 million. Entered into contract on 6/28/09; closed on 9/18/09; deed recorded on 9/28/09. 2. BAY RIDGE $1,570,000 7801 Narrows Avenue GMAP (right) This…
1. BAY RIDGE $1,900,000
8025 Harbor View Terrace GMAP (left)
In its listing, this 3,274-sf one-family house was described as being in “the Beverly Hills of Bay Ridge.” It was asking $2.3 million. Entered into contract on 6/28/09; closed on 9/18/09; deed recorded on 9/28/09.
2. BAY RIDGE $1,570,000
7801 Narrows Avenue GMAP (right)
This house sold under foreclosure pressure, according to Property Shark. Two foreclosure auctions on the 3,074-sf, single-family house were scheduled this year. Entered into contract on 7/6/09; closed on 9/16/09; deed recorded on 9/30/09.
3. BAY RIDGE $1,300,000
120 85th Street GMAP
This 3,190-sf house was listed for $1.49 million. Entered into contract on 9/18/09; closed on 9/18/09; deed recorded on 10/2/09.
4. PROSPECT HEIGHTS $1,300,000
50 Plaza Street East, Unit 11 GMAP
Size of this unit, which is in one of Prospect Heights’ most prestigious co-ops, is unknown. Property Shark says the unit last sold for $960,000 in 2004. Closed on 9/3/09; deed recorded on 9/29/09.
5. PARK SLOPE $1,265,000
133 Sterling Place #5A GMAP
If StreetEasy’s info on this unit is accurate, it commanded far less than what the sponsor was fishing for: The 1,758-sf condo in the Vermeil was originally listed for $2,300,000 in January ’07 and last asking $2,100,000. Sale included a parking spot. Entered into contract on 3/20/09; closed on 6/4/09; deed recorded on 9/28/09.
Photos from Property Shark.
Prices were rising much faster than rents from 1995-2007, so I would bet we are at a much higher price/rent ratio than normal. I remember doing some calcs in the late nineties where it actually made short term financial sense to buy. I haven’t seen a calc that actually works in favor of buying at least 5 years, despite historically low interest rates.
This widening of the gap has been driven by expectations that both were going to keep going up and that owning would provide a long term way to fix costs (mostly). With price (and rent costs for that matter)sentiment split, it would makes sense that this gap will narrow, if not reverse. Perhaps rents will start to rise with recovery and meet prices in the middle. We’ll see.
5-10k sounds totally arbitrary. why don’t you use the actual monthly maintenance to get to real cash flow before you calculate. don’t forget to include your daily/annal tips!
also the real estate market is always made up of “the average real estate buyer,” right?
also also NY is always a high price/rent ratio environment even if you believe it will compress further, in absolute terms NY will be high price/rent.
so all you’re really saying is anyone buying now looks foolish. and that will be the case until volume returns.
or am i missing something?
Joe,
Here are the 3 most recent sales for 133 Sterling (these were sold after the one listed above) so I think it gives a pretty good idea of what’s going on at this development at least…(they are all 3 bed/2 bath with around the same square footage as the one above…)
09/04/2009 #4G $1,250,000
08/28/2009 #3B+ $1,209,000
07/10/2009 #2B $1,010,000
oh. thanks. you saved me a rant on how the average real estate buyer has no idea how to value any asset, and in a housing environment of historically high price/rent ratios, the greater fool theory explains nearly all of the buying participation, and here was an example of people paying an extra 40K to put a sign with their name on their spot, as if they were sponsoring a seat at the Met, etc. So ok, they are paying 20K for that sign.
There are some foolish buyers out there. the sterling place might not be that bad of a deal, but folks are believing that a single sale establishes “where the market is”. that’s only true if the normal level of volume clears the market. these sales are not good data. the market is too thin.
joe: that makes sense, relatively speaking.
J bummer, the 200/month is a limited time special – ie get some cash inflow vs. waiting for more nibbles on the 120k sales. 200 is a good price in tons of hoods and is ridiculously cheap at that developmt
if you can rent a space for 200/month then whoever priced them at 120K seriously needs to find a new career.
Since they have only sold about 5 spots at One Brooklyn by my estimation, I’m guessing they overpriced them. By the way, you can rent a space there for $200/month. One of the best values in the Heights.
Does anyone know anything about the Plaza Street place?