What Lies Beneath?
Now that everyone’s had the weekend to digest last week’s insanity, how you feelin’ about ye olde real estate market here in Brooklyn? It’s been clear for a while that the some fringe areas are in for tough times, but how about the most blue chip ones like Brooklyn Heights and the choicest parts of…
Now that everyone’s had the weekend to digest last week’s insanity, how you feelin’ about ye olde real estate market here in Brooklyn? It’s been clear for a while that the some fringe areas are in for tough times, but how about the most blue chip ones like Brooklyn Heights and the choicest parts of Park Slope? How about some of those right in the middle like Clinton Hill? How far do you think they’ll end up falling from their peaks when all’s said and done?
Brooklyn Heights
Clinton Hill
Bed Stuy
Wall Street Reorg: Impact on Real Estate? [Brownstoner]
Photo by Gregory Taylor
“You’ll be on your own with those damn roof leaks and no landlord”
Oy, that’s something I won’t look forward to…
I can barely manage hanging a shelf (how the heck do you get stuff to not fall down when your wall is 1/2 inch wallboard over 90 year old brick!?).
But, yeah, after getting priced out of my Manhattan rental, I’ve had my fill of renting. I moved to Brooklyn with the intention of getting to know the neighborhoods and figuring out where I’d like to settle down.
I admit I’d be happy to see property costs come down so I can afford a nice place in the city to raise my kid and don’t have to look in the ‘burbs, and I think we are, sadly, in for some very tough economic times. If my wife and I don’t lose our jobs in the upcoming recession, we could be in a good position to buy.
But, were it up to me, I’d rather see the city and country avoid what is to come (even if it meant I was priced out of everywhere I’d really like to live), but I don’t think we will be avoiding what is to come.
Even if the government saves the stock market, it will greatly increase regulations (i.e., loans will be harder to get) and greatly increase our national debt — which, no matter what politicians say, we eventually have to pay off with taxes.
I will also say, however that in my neck of the woods, things do still seem ok. I keep up a bit, and I’m still seeing things selling at large prices. I have to assume that most of these people are not tied to finance or they’d be too nervous to buy.
I saw that a huge listing at the Vermeil went into contract recently, as did one or two places at the new 153 Lincoln (former brothel). The brownstones all seem to go pretty fast unless they are REALLY overpriced or just tired.
There are a lot of brownstone facades being replaced on my block (I think 3 right now, in fact and that ain’t cheap) and unfortunately a couple people have moved out in the last week due to rising rent (with those places already rented for the new higher asking prices…one in only one day). I know because I wanted a friend to move in to a nearby building, but the place had 40 people show for the craigslist post and it was gone in an hour.
I know it’s going to hit, but seems like we’ve been waiting for 2 years. I guess if there is a time it will hit, it will unfold in the not too distant future.
I am a homeowner (well an apartment owner) in Park Slope and I do think house prices will come down substantially, but I am not in the least bit worried.
I knew when I bought it that house prices go up and down over time. If you did not or do not know that, you really shouldn’t be investing in much other than slinky’s.
I bought my place because I could afford it, I love it and I plan to stay in NYC for the foreseeable future and am not someone who liked the idea of renting any longer.
I am 100% satisfied with my purchase at the price I bought it for or for 30% less. If I want to upgrade (which quite frankly I thought might be impossible when I bought in 2006 on my salary), my next place will be that much cheaper.
If not, my little place is heaven and it’s home.
Thanks wasder. Nice to have a fan.
i think one of the reasons the site has changed is that very few can afford to buy brownstones in bad shape for 1.5 mil and put 500k to fix them in 2008, where as in 2004 this was still a possiblity.
Slopefarm–great post. There is so much more to talk about than property values. I hope we can get back to talking about the ups and downs of ownership and neighborhoods here…
Lechacal=the most sensible poster on this site, regardless of the fact that he he sees the glass 24/25ths empty! (Just kidding Lech). You always have a way of distilling the issues down to their basics which I really appreciate.
It’s funny how this site has changed so much that someone can actually ask why homeowners bother to read it. Early on, it was largely a homeowners’ site — much more about us homeowners fixing up our houses and keeping an eye on our neighborhoods, including home values. Brokers and the other RE pros in the neighborhoods also chimed in. We homeowners would all be agog at some wacko flipper job, ooh and aahh at some great brownstone restoration before and after photos, wake up with night sweats and bad flashbacks after reading descriptions of someone else’s botched interior demo job, and snarl at the likes of Scarano. The pros would take issue with us and debate would ensue. Now it’s much more about markets, values, and predictions. There’s less for a mere homeowner to comment on when it’s all about guessing where values will be generally in B’stone Brooklyn. We still hang out on the forum pages, looking for a good selection of light fixtures, honest contractors and the right way to paint a heat riser (DIBS, it was nice to see you go all Brownstoner old school about marble countertops re HOTD this morning).
So Sebb, don’t look to me and my ilk for any market wisdom. I’ll tell you how my block is doing (still on the upswing with renos, but nothing’s for sale) but I’m not going to cheerlead the market for you, nor predict its demise.
NSR, once you buy, we’ll see you on the forum pages. You’ll be on your own with those damn roof leaks and no landlord, so I don’t expect you to disappear from this site. Your going to need us homeowners for the stuff we really know, and bad.
And lechacal, since I’m among total strangers, I will confide that I’m not selling anytime soon, but I am still looking for one more decent tick further down in rates to make a refi worthwhile, and hope the credit requirements won’t be ratcheted up so high that I won’t qualify. I also hope the appraisers aren’t too freaked out — I want my LTV.
I am a Home owner I am not worried at all about the price dropping. Why? because i put down a Large downpayment. Do I want prices to drop NO. But I really do not care. All I am trying to say here is i do not see prices dropping and the folks have been talking about this for 3 years now. Enough already. If you want to see price drops go to http://www.Miamiherald.com