So I've been searching for a place in Williamsburg or Greenpoint 1-2br with a private outdoor space. My understanding of the NYC market is since the crash prices have come down year over year. My gripe is I keep looking at listings that were purchased in 2006-2008 and the owners are asking for 20-25% premiums on what they paid. Shouldn't this be the complete opposite? I'm assuming people need the... [more]
So I've been searching for a place in Williamsburg or Greenpoint 1-2br with a private outdoor space. My understanding of the NYC market is since the crash prices have come down year over year.
My gripe is I keep looking at listings that were purchased in 2006-2008 and the owners are asking for 20-25% premiums on what they paid. Shouldn't this be the complete opposite? I'm assuming people need the premium to get out from under the mortgage or to deal with RE fees, taxes, etc?
For example I like the above property which they paid 625,000 for in 2006 but if I depreciate it using overall market trends fair value is closer to 585,000 than the 685,000 ask. Any thoughts?
References:
http://furmancenter.org/files/Trends_in_NYC_Housing_Price_Appreciation.pdfhttp://www.jparsons.net/housingbubble/new_york.htmlhttp://www.forecast-chart.com/estate-real-new-york.html[less]
