Could use some advice - help!

I would sell it. The relocation package looks pretty good. Pricing is hard to figure without knowing what building it is and any other pertinent information.

I'd sell too, and at an aggressive price to get rid of it.

You are better off selling it now b/c the "experts" predict that the market will get worse before it improves. You don't want to be stuck with the apt a year or two from now if prices drops even more. Also, are you sure that you're allowed to rent out your apt- typically, co-ops don't let you rent the apt unless you'ved lived there for at least 2 years. I'm an agent with Prudential Douglas Elliman. If you contact me and give me the address & unit # for the apt I'd be happy to run comps for you & suggest a listing price. If priced correctly, it should sell within the next 7 -12 months. Figure at least 3 months to get an accepted offer, 2-3 weeks to get signed contracts and then another 3 months for the board package/approval. The good news is that over 70% of the deals that have been made in the last month are on apartments under $1 million. Studios & 1 bedrooms are what's selling now, so if you price your apt properly, you should be OK.
sophia.anzaroot@elliman.com

If the co-op will permit you to rent, there will be other potential issues: the co-op may require the renter to submit an application that will be equal to a purchase application (references, pay stubs, IRS statements, etc.); the managing agent for the co-op may require an application fee from the renter; the co-op may require a percentage of the rent be paid to the co-op and/or managing agent; the co-op could turn down the rental application because you will not be covering your monthly costs. Check your proprietary lease, than call the managing agent so you are apprised of all the procedures.

I say sell.
Price it low to get a quick sale. $760,000 for 1000 sf seems like a good price. Get out what you have in.

If you were to rent it and had the negative cash flow of $1200 month you could also reduce the price by an additional $14,400 to equal the same loss.

Try gettting out first and fast!!

BTW although it seems like your company is being gernerous by giving you these services they are getting kick backs from every vendor they are requiring you to use.

Corporations use relocation specialists to handle the services OP listed. Generally the re-lo co. charges referral fees to the service providers (i.e. selling broker, moving co., etc.). It's all upfront.

Thank you for all your advice. The consenus seems to be to sell.

I was told by the relocation specialist that I can use any broker that I want since this is a co-op and the relocation company won't have any control over the process except writing the check. However, you are right, moving etc will be handled by the designated service providers. If my place is a condo, the company will actually give me a guaranteed primary offer, but they can't do that with a coop.

With respect to the rental, my coop is making an exception in my case so I am actually okay on that front.

I am now convinced that I should sell. SIGH. It is a BEAUTIFUL apartment though, so I am sorry to let it go. Well, I should be able to undercut most people's price with the build-in buffer given by my company, so hopefully, it wouldn't take too long. To have such a place in Manhattan sitting empty for 12 months while I try to sell it just seems so wasteful and criminal.

Sell...

i totally hear you! sorry to hear that, but good luck in your move, you will be ok!

Average time on market is around six months now -- that has a lot more to do with lack of available credit than with pricing.

But you do want to price the unit accurately. Get your agent (or agents, I recommend interviewing more than one) to tell you what they would list it for using very recent (last three or four months) comps.

Also, since it's a co-op, you might want to get your agent to go ahead and work with a mortgage bank to get the building "approved." This basically means that if the buyer wants to use that mortgage bank, they know at least that the bank thinks the building is a good risk.

The buyer is of course free to use any mortgage bank they choose, but with the credit crunch it's good selling to do stuff like this to help buyers along.

ali r.
{downtown broker}

Thanks everyone. One more question.

An empty (but furnished) apt would obviously show better and be easier to sell than a apartment with a tenant in. However, if the tenant is willing to cooperate with the sales process (i.e. he will get a rent refund, the quicker the apt sells, the more rent I will return, as an incentive) and keep the apt clean, skip out on open house, i.e., likely to prolong the sale significant?

Can I get a vote of temp tenant or empty apt? I am going to sell for sure based on everyone's advice here but want to figure out the next step. THANKS.

I recommend that you sell for 699k. With the company picking up the broker's fee, you lose the money you put in and closing costs, but if you rent, you need to gain more than the commission and 20k (company) in the next few years. Also, with the new job/location, it makes sense to have clean break. If you don't need the money, you can leave you place as an investment and in ten years make your money back plus tax benefits.

Varinewu-- In response to your most recent comment- -trust me from experience DO NOT get a tenant and have them in there while you are trying to sell. Firstly once you sign a lease with the tenant, no matter what they might tell you, they are not necessarily going to be amenable to showings, or keep the place clean etc.... In this market your broker needs to show show show at every opportunity. Also attorneys are very wary of allowing their clients to proceed on apartments where a tenant is in place, unless the buyer is an investor, which is not likely in a coop. Ironically I have a listing in Murray Hill right now with just this problem, the tenant told the owner they would be amenable to showings, and of course the place shows like a disaster area, even though the apartment/finishes etc are beautiful. Also I agree with Ali about having the building approved by a mortgage bank in advance, I am not sure which building you are in, but if the coop you are in has more than a certain number of sponsor owned units, the banks will only loan on a very conditional basis.
I will say that you should price aggressively, especially if they apartment is further east in Murray Hill, as especially in this area right now you need to outcompete your competition. 1,000 square feet though is unusually large for a one bed in this area, so that might put your place in a unique niche, which always works to your advantage.
My opinion with pricing is actually to pay more attention to the prices of your competition, and then make yours the most attractive and you will sell faster, I am not so sure that comps from three or four months ago are as relevant as the average prices currently available that are on the market. You honestly do not want the place sitting on the market for six months, as you will be not only losing money monthly, but do not want to end up chasing a downward market. It is a difficult and stressful time to sell, but better to seal the deal now and move on -so make sure you have a broker that will not only handle your sale with finesse, but will be sensitive to market changes and advise you accordingly.

sorry just reread you original post and see that you are close to 6 train, that will definitely be helpful, also good that you renovated because un renovated units are the hardest hit right now. Is this a prewar or postwar building?

Very sage advice. I am so glad I posted.

It is a prewar full service building. I got 13 feet ceilings!! Really really beautiful inside and out and it is right on Park Ave. Okay, I am going to start sobbing anytime now.

Spoke to several brokers..being aware of the fact that I can pass the commission saving onto my buyer in a way, all of them suggested a listing price between 770K and 790K. I did feel that it may be a bit high, I mean, it is actually more than what I paid plus renovation, but I am a bit hesitant to question the judgement of 3 different brokers. I DO NOT WANT TO MAKE MONEY, I AM HOPING TO GET OUT MORE OR LESS WHOLE, PROBABLY LESS.....AS FAST AS I CAN. either after I repeated that mantra to the brokers several times, the response I got is: you don't have to go that low. What's going on here? Any ideas?

1. When you say you spoke to several brokers did they view the actual apartment? I just want to make sure that they saw it before giving you any analysis.
2. Was there one you spoke with that inspired trust and confidence in you more than the others?
3. Do the brokers you spoke with know the overall rules/likes/dislikes of the coop board, or how many units might still be sponsor owned?
4. Does the apartment have good light/views, and is the maintenance reasonable?
The apartment sounds beautiful and the good news is that pre war full service will be desirable than post war in this area, but honestly I am hesitant to give you any advice in terms of actual asking price since I have not seen the physical unit.

Also ask specifically what they personally and their company will do to drive traffic that will result in showings--

1. Yes, they all viewed the apartment in person.
2. Hard to say, frankly, I have never sold an apt before and my opinion of brokers (present company excepted of course..haha) has never been terribly high.
3. No sponsor owned units, all owner occupied. Two out of the three brokers are current/past residents of the building, so they know the board well.
4. fairly good light, it faces south. Not much of a view, it being a lower floor.

Any interest in coming over and check it out? I am still interviewing brokers...but I think the one currently in my building is probably my best bet.

varinewu-
1. Thats good! I was worried they they were just randomly giving you quotes based on just a conversation.
2. Well I must admit that there is an extremely low threshold to actually get your sales license, and there are brokers who conduct business in many different ways. But there are those of us who view it kind of as a life long commitment to servicing our clients. I can say that 90 percent of the clients I have sold for I am still in touch with on a regular basis and have become friends with. I think unfortunately their are brokers who think much more "short term"
3. That is hugely helpful that the building is 100 percent sold and owner occupied.

I would love to check it out if you are interested, if I can ask, what agency is the broker who is currently in your building with?

your contact info?

I am David Margolies, SVP at the Corcoran Group-- dmargolies@corcoran.com.

Sell - if you really paid $710K for a prewar that's 1000 sq. ft., you got a FANTASTIC deal. I think you should list for $799K and expect to go into contract b/w $750/$775.

I was told by everyone around me at the time that 710K was a FANTASTIC DEAL. That's why I pulled the trigger despite some concerns about the trend....I did not figure on relocation. My thought was I will be in the apt for years to come.

It was not in great condition at the time, hence the 50K in renovation.

Your advice is the same as my brokers, but I keep thinking that listing it this high will mean that the apt will be on the market for a long time as I am forced to chase a downtrend....

Varinewu- just replied to your email-- let's talk tomorrow, now I have to go walk my dogs! They have been running around my apartment in circles while I message on Streeteasy:)