Mystery Downtown Development Going Affordable
The New York Post ran a story yesterday mentioning two luxury condo buildings in talks with the city to unload their unsold units as affordable housing. One building is in Harlem and the other in Downtown Brooklyn, according to the article, but officials cannot reveal where the properties are while negotiations are still occurring. Any…
The New York Post ran a story yesterday mentioning two luxury condo buildings in talks with the city to unload their unsold units as affordable housing. One building is in Harlem and the other in Downtown Brooklyn, according to the article, but officials cannot reveal where the properties are while negotiations are still occurring. Any guesses, readers? The article says that the city is in negotiations with “banks that have foreclosed on the properties,” and that the Brooklyn development is in Downtown. The leading guesses in the Forum are Forte and be@schermerhorn (above). What do you think?
City Dealing to Make Luxe Condos Cheaper [NY Post]
Lechacal:
This seller seeks a cash buyer. Translation…There is something that is wrong with this property. After numerous appraisals, that came in lower than we anticipated because of a downward moving market, previously unreported deficiences we refused to budge from our pie in the sky price. We, the sellers want to skip the nuisance that comes with the appraisers banks insist upon.
well I would imagine that any normal bank will look at the debt you have, at the value of the apt you “own” and then decide if you can borrow. If you owe 850kon a 500k apt you owe a lot of money you don’t have. Why would any bank lend to you, and who would refi that mortgage. No sane bank would. Your FICOmay be fine, but you ability to borrow is still massively impaired. Oh and BTW when your existing guy realises that you are trapped in the mortgage you have wait to see the crap treatment you get from servicers etc, because they know you can’t re-fi away from them.
If you default, you get put in the penalty box for 7 years and then all’s fine, as far as I understand it. So default, rent and save for 7 years and then you can borrow again or carry on paying a multiple of what your property is worth for 30 years and hope prices come back. Seems like an easy decision to me.
“What, why don’t you take the first “crack” at answering this one.”
Oh forgot one thing! You can deposit in the bank the million and live “Rent Free” in Park Slope!!!
The What (Refute that!)
Someday this war is gonna end..
“On a different note, I ask you: how big a bag of crack would you have to smoke before buying this place all cash for a million dollars? What, why don’t you take the first “crack” at answering this one”
Lechacal you smacked it out of the park! This one of the reasons I’m not in Real Estate anymore! People forget Time=Money and every offer you turn down the expectation decreases. The Psychology is astounding and like I said this period of time will be someone’s Doctoral Thesis.
This says it all..
“Bring your ideas and your architect. THIS SELLER SEEKS A CASH BUYER ONLY. ”
God help us.
The What
Someday this war is gonna end..
bklyn rntr…you can’t walk away from a mortgage and expect to get another one. Come on.
Additionally, your credit rating has nothing to do with your loan-to-value ratio or what it has become. Your credit standing only has to do with whether or not you pay on time.
Your thinking has some major logical flaws.
I think I was pretty clear for a long time that new construction condos are very high risk.
How many lowball offers did the developer/realtor turn down – offers that could have saved the development if they had been accepted?
In a falling market, always price below the last trade, not above, and never hire a realtor who mocks people for making low bids rather than working with them.
On a different note, I ask you: how big a bag of crack would you have to smoke before buying this place all cash for a million dollars? What, why don’t you take the first “crack” at answering this one.
http://corcoran.com/property/listing.aspx?Region=NYC&ListingID=1554777
well if your mortgage is worth a multiple of the value of the house and you are not loaded (i.e. you can’t cover the difference from savings) what happens to your credit standing? you are not getting another mortgage anyway so you are essentially paying a huge premium to live in public housing!! I’d say for most people that you are economically better off to walk away and find a place in a nicer building to rent, at possibly less than your mortgage payments. Your credit is toast for like 7 years, but you effectively can’t borrow anyway if you are overleveraged on a house
A few years ago these Jackasses was smug and “smart”! Everyone was doing Real Estate and it damaged this nation as a whole and now we should feel sorry for them????????? Are you F*** kidding me????!!!
The What
Someday this war is gonna end…
Posted by: Return of The What at August 25, 2009 9:49 AM
By your own admission, you were a broker then too.
GOD KNOWS HOW MANY LIES YOU SPEWED AND WHAT DAMAGE YOU DID.
“I feel really sad for anyone that bought into these buildings. They are so screwed and forget about re-financing. Seems to me the best option for those owners is to walk away from their mortgages, because they’re credit is finished anyway.”
How many tears do you want? A few years ago these Jackasses was smug and “smart”! Everyone was doing Real Estate and it damaged this nation as a whole and now we should feel sorry for them????????? Are you F*** kidding me????!!!
The What
Someday this war is gonna end…