urban loft on HGTV

What is the afiliation of HGTV to the real estate industry. The whole channel feels like one big infomercial.

it is not just real estate, but also decorating design, construction, garden, selling. etc. it is everything HOME & GARDEN. i love the channel for it's ideas, creativity, and entertainment. this particular show is not necessarily real estate but more of a contest to win a home. HGTV gives away a home every year in various locations. but like all of these game show contests, of course you'll have to maintain your RE taxes and other expenses.

small space, i was shocked how much stuff they jammed into the place and seemed like a mush mash of design.
a few nice touches (ie the tiles in the bathroom) but not my taste at all.. the wall behind the bed was horrible (imo)
gorgeous views!

Okay, if a NYC resident wins this condo and car, they get a 1099 from Scripps Networks for $1.5 million in prize value that they owe 2010 income taxes on. Say $50k of the value is for the car. Since the hypothetical NYC winner pays top income tax rates, approximately 48%, or $696k to win this condo. The "A" line has 799 sf, so the hypothetical NYC winner would be paying $871 psf for a unit in a luxury building/hotel that some predict is only 20% sold and may be headed for financial distress. Winning is one chance out of millions, but it doesn't sound that great when you think about it, does it?

I entered the contest because you can also take the prize money which is about $850k...i see a studio on my horizon.

RE2009, i didn't like most of the decor!,the appliances were not streamline, and the decor was just not great at all. any apartment will look big with a lot of furniture, but i just didn't get the stone lions and such, nor covering the entire wood floor with red carpet! i guess you can change all the furniture but that is one big expense in NY

Take the apartment, trash most of the decor, then you will have yourself a nice more spacious place to live, or to sell.

say you own an apartmant already, mortgaged maxed to your income level, and don't have any liquidity to afford this apartment. If you win this sweepstake, can you still get a loan (for investment property) with this apartment as collateral, to pay for the 48% tax due on April 2011 for winning this property? How will that work? I assume you can get renters in there to cover the monthly costs with corporate renters...

As Julia said, you can take cash instead of the condo and car. Their site says it's $906K.

Poong, an investment property rate would result in a mortgage payment close to $4,000. That plus the $1402 carry, which rises with the expiring tax abatement, plus insurance would mean a monthly nut of $5,400 or more. The tax depreciation would be substantial to someone who is eligible for losses. Otherwise, I don't see many investors earning positive cash flow. Maybe in a few years if the W Downtown New York becomes a really hot place to live.

This owner tried to get $5,200 per month rental for the same line, and is now asking $4,900:
http://streeteasy.com/nyc/rental/689233-rental-123-washington-financial-district-new-york

thanks, wasn't a specific question to this property though, as the chances of one winning a sweepstake is slim to none, mind all of you! Am just curious about getting loans for investment properties. I assume the banks will be willing to lend based on the value of the property as long as you own the title to it? If so it makes me wonder why previous dream home sweepstake winners couldn't AFFORD to keep the house, if you could get a loan from the bank based on the value of the property to pay off the income tax for winning?

Only a couple of winners have held onto the sweepstakes homes is my understanding. The network very responsibly offers financial guidance to the winners. One of the prior winners that was determined to live the dream and keep a giant home eventually filed bankruptcy, but his family likely had a great time living large for a few years.

poong, there are likely lenders for investment loans, but they are looking for income coverage, equity, and sometimes other liquid collateral.

@NWT
$906,905 is the ARV of the Grand Prize if the winner opts for the $850,000 cash, in lieu of the condo.

the sculpture in the bathroom looked like it was going to dive into the toilet