Manhattan apartment prices dropped in the first quarter as new buyers seeking refuge from rising rents drove purchases of lower-cost studios and one-bedroom units to a two-year high. The median price of all condominiums and co-ops that changed hands in the three months ended March 31 fell 0.9 percent from a year earlier to $775,000, New York appraiser Miller Samuel Inc. and broker Prudential... [more]
Manhattan apartment prices dropped in the first quarter as new buyers seeking refuge from rising rents drove purchases of lower-cost studios and one-bedroom units to a two-year high.
The median price of all condominiums and co-ops that changed hands in the three months ended March 31 fell 0.9 percent from a year earlier to $775,000, New York appraiser Miller Samuel Inc. and broker Prudential Douglas Elliman Real Estate said in a report today. Deals totaled 2,311, down 3.5 percent from the first quarter of 2011.
“Because the rental market is so hot, people are realizing that maybe buying a starter home is a better option, especially if they can take advantage of these low interest rates,” said Sofia Song, vice president of research at property-listings service StreetEasy.com, which also released a report on the Manhattan sales market today.
http://www.bloomberg.com/news/2012-04-03/manhattan-apartment-prices-decline.html[less]
Response by Riversider
over 14 years ago
Posts: 13573
Member since: Apr 2009
For Katharine Tuckerman, a message from her landlord pushed her into homeownership: The rent for the Midtown apartment she had leased since 2009 would be raised “significantly” come June. Tuckerman decided that it might be time to buy.
“I’ve seen everything that was out there for rent and none were as nice as if I had just bought something,” she said.
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Response by Boss_Tweed
over 14 years ago
Posts: 287
Member since: Jul 2009
Can someone please explain the basic logic of that first sentence to me?
Prices dropped as purchases were driven to a two-year high?
Huh?
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Response by harlembuyer
over 14 years ago
Posts: 178
Member since: Dec 2010
Boss: PPSF was UP 6%. The "median price" was down because the luxury market had fewer sales while lots of studios sold. Thats why the "median price" means nothing.
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Response by Riversider
over 14 years ago
Posts: 13573
Member since: Apr 2009
The Jumbo market is still constrained. There just isn't the financing available to support a vibrant high end market, so the mix of apartments is tilted. If a bank finances a three million dollar unit they basically have to sit on the loan made at not so attractive spreads.
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Response by Brooks2
over 14 years ago
Posts: 2970
Member since: Aug 2011
Jumbo market is constrained as well as unemployment among higher incomes.. ie Wall street. high end market will struggle for years
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Response by RealEstateNY
over 14 years ago
Posts: 772
Member since: Aug 2009
Manhattan prices on the re-bound!
"It’s not a boom yet, but the Manhattan real-estate market is coming back strong.
The average sales price of a Manhattan apartment hit $1,483,591 in the first quarter of the year, according to a report released today by Brown Harris Stevens. That’s up 9 percent compared with the same period last year.
The city’s economic rebound also helped push the average co-op sales price up 10 percent — to $1,181,715 — and the average condo price up 8 percent — to $1,889, 560, the highest level in three years.
“New York City’s recovery continues to best most predictions,” said BHS president Hall Willkie, “and this combined with a stable inventory of available apartments makes me optimistic about the coming months.”
yes. Exactly! prices were driven up by the purchase of a Russian billionaire that doesn't give a F$ck what he pays for a property in Manhattan.. Publicity he gets its worth .. the $88mm to him is chump change... Can we ay that about the average purchaser of RE in manhattan.. I don't think so
"The average was driven up by several high-end sales, including the $88 million sale at 15 Central Park West"
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Response by Boss_Tweed
over 14 years ago
Posts: 287
Member since: Jul 2009
Thanks, Harlembuyer.
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Response by Eric_14
over 14 years ago
Posts: 93
Member since: Sep 2011
Not so fast. The median might have gone down because the mix moved toward smaller apartments or because prices fell across the board. We don't know. PPSF is an average and averages are seriously affected by outlier sales. One or two real whoppers and the averages skyrocket. Take the Russian guy's buy out of the data and recalculate. And then never rely on averages again.
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Response by Boss_Tweed
over 14 years ago
Posts: 287
Member since: Jul 2009
Well, then. I'm back to not understanding!
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Response by bullboy
over 14 years ago
Posts: 7
Member since: Mar 2012
this is the beginning of recovery. studios and 1br were the first to collapse after 08 and should be the first to recover which seems like is happening.
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Response by Brooks2
over 14 years ago
Posts: 2970
Member since: Aug 2011
We don't know. PPSF is an average and averages are seriously affected by outlier sales. One or two real whoppers and the averages skyrocket. Take the Russian guy's buy out of the data and recalculate. And then never rely on averages again.
boss.tweed.. bottom line prices continue to DROP.
But of course RE brokers will quote ppsf for their benefit..don't fall for it.
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Response by ab_11218
over 14 years ago
Posts: 2017
Member since: May 2009
since square footage is exagerated by brokers on coops/condos and all new condos with offering plans, you never know what the real sq ft are to divide the sales prices by. if you have a quarter where people purchased apartments that had more realistic sq ft attached, the ppsf price will go down. it also works the other way as well.
For Katharine Tuckerman, a message from her landlord pushed her into homeownership: The rent for the Midtown apartment she had leased since 2009 would be raised “significantly” come June. Tuckerman decided that it might be time to buy.
“I’ve seen everything that was out there for rent and none were as nice as if I had just bought something,” she said.
Can someone please explain the basic logic of that first sentence to me?
Prices dropped as purchases were driven to a two-year high?
Huh?
Boss: PPSF was UP 6%. The "median price" was down because the luxury market had fewer sales while lots of studios sold. Thats why the "median price" means nothing.
The Jumbo market is still constrained. There just isn't the financing available to support a vibrant high end market, so the mix of apartments is tilted. If a bank finances a three million dollar unit they basically have to sit on the loan made at not so attractive spreads.
Jumbo market is constrained as well as unemployment among higher incomes.. ie Wall street. high end market will struggle for years
Manhattan prices on the re-bound!
"It’s not a boom yet, but the Manhattan real-estate market is coming back strong.
The average sales price of a Manhattan apartment hit $1,483,591 in the first quarter of the year, according to a report released today by Brown Harris Stevens. That’s up 9 percent compared with the same period last year.
The city’s economic rebound also helped push the average co-op sales price up 10 percent — to $1,181,715 — and the average condo price up 8 percent — to $1,889, 560, the highest level in three years.
“New York City’s recovery continues to best most predictions,” said BHS president Hall Willkie, “and this combined with a stable inventory of available apartments makes me optimistic about the coming months.”
Read more: http://www.nypost.com/p/news/local/manhattan/prices_movin_on_up_uNfk8eQWSBP8t6SevM5wWK#ixzz1r4
yes. Exactly! prices were driven up by the purchase of a Russian billionaire that doesn't give a F$ck what he pays for a property in Manhattan.. Publicity he gets its worth .. the $88mm to him is chump change... Can we ay that about the average purchaser of RE in manhattan.. I don't think so
"The average was driven up by several high-end sales, including the $88 million sale at 15 Central Park West"
Thanks, Harlembuyer.
Not so fast. The median might have gone down because the mix moved toward smaller apartments or because prices fell across the board. We don't know. PPSF is an average and averages are seriously affected by outlier sales. One or two real whoppers and the averages skyrocket. Take the Russian guy's buy out of the data and recalculate. And then never rely on averages again.
Well, then. I'm back to not understanding!
this is the beginning of recovery. studios and 1br were the first to collapse after 08 and should be the first to recover which seems like is happening.
We don't know. PPSF is an average and averages are seriously affected by outlier sales. One or two real whoppers and the averages skyrocket. Take the Russian guy's buy out of the data and recalculate. And then never rely on averages again.
boss.tweed.. bottom line prices continue to DROP.
But of course RE brokers will quote ppsf for their benefit..don't fall for it.
since square footage is exagerated by brokers on coops/condos and all new condos with offering plans, you never know what the real sq ft are to divide the sales prices by. if you have a quarter where people purchased apartments that had more realistic sq ft attached, the ppsf price will go down. it also works the other way as well.