New Yorkers Buying Bigger Homes, Prices Stable

but what about the crash? i know its here somewhere.

W67th was hoping this would be the year that he moved out of his mom's basement. his lemonade stand in harlem had a stellar summer. profits jumped 15% to $236. he was going to use that money as a down payment on a 3 bedroom in the west village, if only, well you know, that crash he was talking about actually came to fruition. maybe next year...

Its a bull market!!! lol..j/k

Ekartash. (reuters) "In a normal market you're looking at foreclosure sales accounting for low single-digit percentages, probably less than 5 percent of all sales," said Sharga. For the next few years, "it's probably going to be somewhere between one-quarter and one-third of all sales."

Flmaoz. Fking foolz. The $500psf nyc re is baked in, the timer just needs to go off, but can you smell it?!!!!! So awesome! With a hint of nutmeg.

idiot. they are talking about the whole country. what percentage of all sales in manhattan are foreclosures? i would be its low single digits.

No you are idjiot. The banking bonuses that drove nyc re to new heights was based on debt securities bundled from only nyc? Oh no, you fking idjiot. That's right, nyc is the center of leverage creation and finance, which is decreasing so rapidly that Bernie is worried about a full blown deflation. Hence monetary easing. 0% interest rate, yet ppl continue to walk from 'homes' and noone is buying short sales anymore? With free money and 3% down, ya still got a clogged foreclosure process, imploding upon it's own weight.

Ya I'm the idjiot?

There's a lot to chew on here, not just with regard to product mix, but also with regard to the imperfection of purchase price itself as a measure of market valuations. Take this quote, for example:

"Buyers are purchasing larger apartments with more bedrooms," wrote Corcoran CEO Pam Liebman in her company's report. "With mortgage rates at their lowest levels in over thirty years, buyers are able to afford more expensive apartments for less money."

I think the key point Liebman makes (whether she meant to or not) is that buyers are able to afford bigger, nicer apartments for roughly the same monthly payment. But if you can afford a nicer property for the same amount of money, doesn't that generally mean the market is declining?

Which is the more meaningful measure of market strength: the purchasing power of a dollar of nominal price, or the purchasing power of a dollar of monthly outlay? I honestly don't know. It's interesting to consider that the two metrics may be pointing in different directions.

as an owner who may have to sell in the future, which of the two metrics can you control? i think that's the answer to your question.

Yes, w81. We are comparing 1bdrm in 2007 to 2bdrms now (mix) and if we had a 20% decline in mortgage payments in 2007, prices for nyc re would have been up 20+ % .

So I am of the mkt did not have a follow on crash in 2010, bc of mkt manipulations by Bernie/Obama. IMHO, it is just a delay in the final outcomes.

Does anybody who is reading these reports still believe that the home buyer tax credit did not have an effect on Manhattan? Please, make the argument again in the face of statistics that say volume for lower priced units dropped sharply while every other category went up.

So now what happens when you can't sell your 1 BR after the kid comes because all the buyers done bought? And you can't buy that 2 BR you have had your eye on?

"No you are idjiot. The banking bonuses that drove nyc re to new heights was based on debt securities bundled from only nyc? Oh no, you fking idjiot. That's right, nyc is the center of leverage creation and finance, which is decreasing so rapidly that Bernie is worried about a full blown deflation. Hence monetary easing. 0% interest rate, yet ppl continue to walk from 'homes' and noone is buying short sales anymore? With free money and 3% down, ya still got a clogged foreclosure process, imploding upon it's own weight."

we had the financial meltdown of 2007 and nyc re market still did not crash. people like you have been beating the drum for 3 years now. instead of seeing further declines, we are seeing a rebound in prices. even with the financial sector being nowhere near as strong as it was prior to 2007. 3 years later and price per square foot is still over $1,000. you really think its going to $500? good luck to you. not that you could even afford a place at $500.

gee, this is tedious. On and on, and on, and on. Let's all agree:
* average price is a ridiculous way to gauge the market, since the mix varies too much from quarter to quarter;
* financial policies (low mortgage rates, Fannie Mae support, rebates) are artificially supporting the market
* prices have been more or less flat since the big crash of 10/08-6/09
* no-one knows what the future will bring.

* prices have been more or less flat since the big crash of 10/08-6/09

NYC did not experience a crash.

"NYC did not experience a crash."

Did NYC experience a bubble?

i dont know. remains to be seen. perhaps new york was just very undervalued in 2003. maybe its equilibrium is in the prices we are seeing now.

ekartash - equilibrium? as compared to what? tulips? get a clue.

"...i dont know. remains to be seen...."

Too fvcking funny! With NYC median income @ $50K and average asking price for housing at $870K you really don't think we've experienced a bubble? Hahahaha! You just won the 2010 price for the most delusional Newyorker of the year!

amazing how many of these people with 50k a year income are able to purchase 870K apartments in todays market. this isnt 2007. its very difficult to get a mortgage unless you have sufficient income and assets. if your debt/income ratio is higher than 36%, you are not getting a mortgage. either all of these people have 500k to put down, or most people who buy in manhattan make a hell of a lot more than 50k a year.

so while the rest of you are on the sidelines, constantly posting about the doom and gloom, and wishing that prices would come down to levels you could afford, i am out there buying and living.

you go girl! call up your friends. someone (fool) has to be on the other side of the trade.

you should have bough some property when the rangers won the cup. but dont wait another 54 years. get in the game sooner.

"Yes, w81. We are comparing 1bdrm in 2007 to 2bdrms now (mix) and if we had a 20% decline in mortgage payments in 2007, prices for nyc re would have been up 20+ % ."

What should be tracked is median price per square foot but it is not. This study means nothing.

"* average price is a ridiculous way to gauge the market, since the mix varies too much from quarter to quarter; "

I agree, but isn't it funny that folks that spend time disproving shitty metrics when the market is solidifying were the same folks lapping up these shitty metrics when the market was softening? w67th, what do you think of that?

w67thstreet
about 4 hours ago Yes, w81. We are comparing 1bdrm in 2007 to 2bdrms now (mix) and if we had a 20% decline in mortgage payments in 2007, prices for nyc re would have been up 20+ % .

So I am of the mkt did not have a follow on crash in 2010, bc of mkt manipulations by Bernie/Obama. IMHO, it is just a delay in the final outcomes.

67, isn't it tiring swimming against the current all the time? you really don't know when to just shut the fuck up and admit you don't know a goddamned thing

Oh give us a break.

You are a graduate of the university of nowhere.

Xmas 2028 @ jimnutz.

'honey, you've been at this for 16 years. First harvard, then harvard med, then harvard residency, fellowship.... Isn't it time you stopped Swimming against the tide, and come with me to take some listing pictures?'

''But dad! I've only got 6 months to go!'

'give it up honey, you've got the give it up jimnutz gene.'

Two months later.

Jimnutz and daughter. Slogan 'if you are dumb enough to pay a rental fee, we'll gladly take it'

67, since when did an education equal common sense? you're proof positive it doesn't. keep spinning those plates baby.