Last Week's Biggest Sales
1. BROOKLYN HEIGHTS $3,895,000 80 State Street GMAP (left) This 4,550-sf, 2-family was first listed for $4,950,000 in late 2008, according to StreetEasy, and the price was cut a number of times until it was asking $3,895,000 last September. Ad said: “Rare opportunity to own a 25-foot-wide Gothic Revival 1850’s Brooklyn Heights townhouse with original…
1. BROOKLYN HEIGHTS $3,895,000
80 State Street GMAP (left)
This 4,550-sf, 2-family was first listed for $4,950,000 in late 2008, according to StreetEasy, and the price was cut a number of times until it was asking $3,895,000 last September. Ad said: “Rare opportunity to own a 25-foot-wide Gothic Revival 1850’s Brooklyn Heights townhouse with original details intact. Grand double parlor with exquisite moldings and original pocket doors, three wood-burning fireplaces, and rooms flooded with superb Southern-facing light…” Its seller bought it for $3,300,000 in 2005. Entered into contract on 10/1/09; closed on 1/5/10; deed recorded on 1/27/10.
2. COBBLE HILL $3,200,000
243 Kane Street GMAP (right)
As covered last week, this renovated townhouse was originally asking $2,950,000 in ’07, but the price was raised to $4,075,000 in mid-’08. As it lingered on the market, the price was reduced several times until it was last asking $3,500,000 as of mid-’09. Its seller bought it for $1,802,000 in 2007. Entered into contract on 1/15/10; closed on 1/15/10; deed recorded on 1/28/10.
3. BROOKLYN HEIGHTS $2,995,000
20 Grace Court Alley GMAP
As previously noted this 2,550-square-foot brick house was originally asking $3,300,000 and the widget appraisal came in at $2,766,135. Its sellers bought it for $2,675,000 in ’05. Entered into contract on 11/17/09; closed on 1/15/10; deed recorded on 1/28/10.
4. PARK SLOPE $2,125,000
524 2nd Street GMAP
When this 2-family was a House of the Day in October, it was listed for $2,375,000. The reader widget guess on it was $1,952,045. Entered into contract on 11/5/09; closed on 1/11/10; deed recorded on 1/26/10.
5. FORT GREENE $1,870,000
119 Fort Greene Place GMAP
When this brownstone was a House of the Day in November, it was listed for $1,995,000. The reader widget appraisal clocked in at $1,615,042. Entered into contract on 11/25/09; closed on 1/7/10; deed recorded on 1/27/10.
Photos from PropShark.
“I dont know how you do 10×2700 and come out with 324K”
10x annual. 10 x 12 x 2700. Don’t be embarassed – It happens to the best of us.
***Bid half off peak comps***
11217 @ 3:09. That was pre-Madoff. Why are we down -30% if all this money is growing on trees? Why aren’t we up +30%?
***Bid half off peak comps***
“Correction: 324-408k”
-using what math (10X what)
Ok – so you think that prices are going to fall by 1/2 (or more since I dont know how you do 10×2700 and come out with 324K) and the Rental is going to stay the same price??? because as the rent falls so does the 10x purchase price.
Wow–that is almost exactly my deal too Dave in both square feet and monthly nut.
Posted by: wasder at February 2, 2010 3:08 PM
And you’ve seen my house. You think it’s worth it???
“Bottom line, I live in 1,600 sq ft for $1,500 a month after my mortgage, rental income, taxes & utilities are accounted for…and that’s pretax!!!”
No money down? If so, you’re guaranteed to get it back?
***Bid half off peak comps***
“Think about it – what does a 900 sq ft 2br condo rent for in PS 2,700-3,400? You think they are going to be selling for 270-340K”
Correction: 324-408k.
Not far fetched at all. That’d be half off.
The emotions that would make you pay 15x for your unit could easily turn into fear as the market capitulates. And then the bank has to sign off on the other 80% of the price.
“when I buy a property for investment, I dont give a flying f if the stairs are too steep for my geriatric dog or if the bathroom tile is my wife’s taste – I just care what it will rent for and what my return will be after financing (and the financing amount will be based on the RR)”
This is the perspective of your lender on that 80%. Your dream is an investment to them. They only look at the risk/reward.
The market oscillates between overvalued and undervalued in a cycle. The fear (the overshoot through the bottom) that will undervalue RE will easily take even owner-occupied units back down to 10x.
You’ll see.
***Bid half off peak comps***
Infinite:
It was my first job in NYC at a not for profit in Brooklyn Heights where I truly learned about the wealth of some of those in this city. I oversaw the development department and did a lot of schmoozing with some of the donors.
Some people on this blog don’t really have any idea. We had a handful of people who EACH YEAR donated 1 million dollars to Carnegie Hall, MET Opera, MOMA, etc.
And that was one donation of many. These were mostly people who lived in Brooklyn Heights/Cobble Hill/Park Slope.
I mean…if you are DONATING millions per year, you can afford to spend 3 million on a house without blinking.
And certainly without getting out a calculator and figuring out the rent roll.
The old money contingency in Brooklyn Heights is impressive. Most are very understated too…you’d have NO IDEA if you met them that they’re worth 50 million smackers.
“Bottom line, I live in 1,600 sq ft for $1,500 a month after my mortgage, rental income, taxes & utilities are accounted for.”
Wow–that is almost exactly my deal too Dave in both square feet and monthly nut.
GRMs & Cap rates….OK, Well they have nothing to do with a home I live in as a primary residence but, here’s what the kicker was that was more important: Brooklyn brownstone vs. manhattan condo.
Manhattan Condo had $6,840 in CCs and $5,200 in Taxes.
Brooklyn 2 family has $2,000 in Taxes and +$14,400 in rent from the garden level. I just did the calculations on Common Area electricity & gas and they addded up to $2,300 TOTAL for C2009.
Sometimes when you buy a house to live in as your home, it’s never about 10x or 15x GRM or anything like that. This is what BHO never seems to understand.
Bottom line, I live in 1,600 sq ft for $1,500 a month after my mortgage, rental income, taxes & utilities are accounted for…and that’s pretax!!!