Buy Now or Wait???

Wait a minute. You're bright enough to have amassed over $1MM in cash to spend on a downpayment but you are asking people on here to advise you on whether it is wise?

Re: Risks include price depreciation, interest rates rising and job security

I think you just answered your own question. Do you realize that if you hold onto your $1M cash, and rates rise as some expect, you will practically be able to RENT these places using only the interest on your savings?

and Kyle -- plenty of cash-flush young traders arent all that bright.

Hi i am a broker and no it is not too late I would be happy more than happy to help you find a great home.My name is Lisa Conway and i am a Senior Vice President with Halstead. I have been in the industry for more than 15 years. I believe you should buy now because property prices are going up and mortgage rates have started to climb.Take advantage of the market now.
Give me a call to discuss
Lisa Conway
917-750-3088
lconway@halstead.com
Lisa Conway.SVP Halstead Property

....or be priced out forever!

What To Do Now-one last comment, I am a downtown broker and resident. I know the downtown market very well. I have personally won 4 bidding wars in the last two months. This is a sign that the momentum in the market has really started to go back to the old days before it tanked.

What To Do Now-one last comment, I am a downtown broker and resident. I know the downtown market very well. I have personally won 4 bidding wars in the last two months. This is a sign that the momentum in the market has really started to go back to the old days before it tanked.

One last comment, I am a downtown broker/resident. I know this market extremely intimately. I have just won 4 bidding wars in the last 2 months. The market is getting back to the way it was before the decline.
Lisa Conway

sorry about the duplicates one of my home computers what i am typing on is going nuts
Lisa

wow. perfect broker speak. like right out of a book.

whattodo: I am in the same price range, also a cash buyer. i decided not to buy now because i think prices are currently too high for rather unremarkable inventory. My bet -- and plenty on this site would disagree-- is that prices will come down when rates begin to rise and govt stops incentives. There are many threads on SE about the advantages of having cash available when prices go down and rates go up. I also think there are people waiting to sell until the economy gets better. I believe there is a lot of shadow inventory. I believe there are still big developments that might belly up (there have already been a couple). As more and more resales of new condos lose money, that might also soften prices -- right now condo resales is a mixed picture (there is a thread following new condo resales).

In the meantime, I am renting an apt that is worth more than $2 million for $7000. It has a terrace overlooking Central Park and though it is a small two bedroom and not the perfect home for us, it is a much smaller monthly nut than owning a comparable apt. We are very happy, avoiding risk and awaiting opportunities that may favor cash buyers. If you don't have any real pressing reasons to buy immediately, you might just want to rent for a while and see what happens.

"Hi i am a broker and no it is not too late..."

Oh thank goodness! Seems like every broker with whom I speak says it is too late and I should wait for the next cycle. Finally a broker who can help me.

Have you seen all the new developments that are now in contract property is flying off the shelf.

Uh oh do you mean 20 pine, 15 williams?

They can't even rent out, not talking about selling units.

what about 101 Warren. REsales either lose money or break even after expenses. sponsor is selling up to 20% off. the resales on the market now have their asks positioned so they basically break even after expenses and some of them have been on the market in excess of 200 days. if they don't get their asking price they will lose money. not exactly flying off the shelf. i have a feeling there were brokers that told those poor unfortunates that they had to get in or be priced out.

"I have just won 4 bidding wars in the last 2 months."

I wonder what the definition of "won" is?

{insert old saw about arguing on the internet and the Special Olympics here}

"I have personally won 4 bidding wars in the last two months" - Ah. Well, you certainly are working on behalf of sellers, after all. But why would a buyer want to use your services? Have you managed to find any decent apartments that didn't require bidding wars to buy?

Many thanks to all for your comments, especially apt23. Have to agree on unremarkable inventory - would have thought there would be more options for a large/all cash buyer. And to lconway's point, the recent rise in pricing and "bidding wars" on not very spectacular units are only driving me further towards the sidelines. Currently seems to be more demand than supply - standard for NYC, but maybe a bit out of whack right now.

The other concern is that $7000 a month in rent would pay 75% of my mortgage, and if I can find something I want to be in for 5+ years, feel like I should consider it.

Don't forget you're going to live in it. I'd say keep looking until you find the place you want to live.

I have been sitting in a rental waiting for a) the right time OR b) the right apartment. I found what I wanted (sooner than I anticipated) at a price I could afford and got it over with. It's in Williamsburg, which I love way more than downtown, in a new building that completely sold out in a couple of months.

Full disclosure: I'm what Tina24hour calls a 'pathological owner" - not comfortable growing old in a rental.

How hard is it to "win" a bidding war? The buyer just pays more money. And why does that count as a BROKER "winning?" Anyone who wants to win can win so long as they pay more money. It doesn't take any discernable skill on the part of a RE broker that I can see, so perhaps this broker can help us undertand this more so we can fully appreciate her skill set. A little proofreading wouldn't hurt business either for this broker. If she won't put enough care into a couple of typed sentences to avoid errors, I can only imagine her attention to detail in the course of an enormous business transaction.

kylewest. Good point. The very warped perception of "winning" rather reminds me of the classic scene in one of my favorite black comedies, "The War of the Roses."

Danny Devito's character:
Why don't you let her have the house? There are other houses. And other women.
Michael Douglas's character:
No, no, no. l'm going to win because l've got her to accept the ground rules.
Danny Devito's character:
Oliver, there is no winning in this. lt's only degrees of losing.
Michael Douglas's character:
I got more square footage.

Re: How hard is it to "win" a bidding war?

make sure that each of your clients is the greater fool