Open House Picks 8/10/07: Six Months Later
The Cheever Place house is the only one from this batch that hasn’t sold; a few folks said the interior needed a lot of workthink the price chop sweetens the deal enough? Open House Picks: 8/10/07 [Brownstoner]
The Cheever Place house is the only one from this batch that hasn’t sold; a few folks said the interior needed a lot of workthink the price chop sweetens the deal enough?
Open House Picks: 8/10/07 [Brownstoner]
True, but are they as high in Clinton Hill? Cobble Hill 5 stories seem to list for over 3 million, so it’s the same calculation — even at high rents, it just doesn’t cover that much of your mortgage. And there’s no guarantee that rents will continue to rise steadily — they stayed stagnant for quite a lot of years between 2000 – 2004 or so in those neighborhoods.
11:17, it’s quite an exaggeration to say that the sold properties went for well under asking. Granted the absolute numbers are large but the average percentage difference between ask and sale price was only 6%.
Doesn’t smell like a meltdown to me.
FG: Ask – 1,899; Sale – 1,823; Diff(-4.0%)
SP: Ask – 849; Sale – 805; Diff(-5.2%)
BS: Ask – 790; Sale – 720; Diff (-8.9%)
The biggest ‘ah hah’ moment would be the comparison between pre-boom values to now. I suspect you will still find that the spread is significant.
Rents in Cobble Hill are now $2,300 – $2,400 per month for one bedroom + den apartments (700-800 sq ft). And speaking from my own experience last weekend renting one, there are no shortage of takers at that price point.
Hey 12:03, 11:57 here and I think you are wrong — I appreciate getting this info (although of course, I take anything posted on an anonymous board with a grain of salt, for who knows if it is true). He didn’t “berate” the sellers, just stated that they didn’t accept a good offer. You should read the post again before you start berating someone else (unless you are the seller/broker and are bummed out having lost a sale.)
Thanks, forgreenest. So, if you are willing to tell us, how do people in the market for $2 million plus houses do their pre-buy economic calculations? What kind of work do you do? I guess I’m just curious about who buys these expensive houses in my neighborhood — all my friends here who rent are completely priced out, even for smaller apartments.
well then clearly you didn’t want the house enough, 12:01.
i don’t think you need to berade the sellers for them not accepting your offer. it happens all the time.
it’s a little weird to announce it here on the site also.
Oops! sorry I meant to say that they countered with 2.275, for a 2.3 ask.
I agree with 11:22 (except that I don’t recall from college biology whether Drosophila have good memories or not.) Time was, offers regularly came in at ten percent less than asking. In fact, it was almost so formulaic that it was assumed that the asking price was padded to result in buyers offering what sellers really wanted, the ask less ten percent. Then, as 11:22 points out, the market got hot, hot, hot, and you had situations like when people would show up at open houses with their checkbooks and offer the asking price PLUS ten percent.
11:46am
Nice house, but it’s listed for only 2.3. Are you saying sellers countered with $400,000 higher than list price?
PS — still don’t understand who buys these brownstones for $2+ million? We bought ours when the income from rents covered a huge portion of the mortgage, but now it seems out of whack. Even at $2,000 per apt (which is more than the ad says you would get), that’s only about $1 million in mortgage covered — so renting 3 floors (or 3/5 of the house) doesn’t even cover half the mortgage. I’m just wondering how you do the calculation for wanting this kind of property.