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Experience Tips: New York Real Estate 5 "Thunder Zone"

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2019-03-27 06:42:14

Historically, New York real estate is a stable, safe, value-added, and value-added market. And this is a very international market, it does not rely entirely on the US economy, rich people from all over the world will go to New York to buy real estate, so New York properties have been steadily rising. But if you don't understand the rules and characteristics of New York's real estate, it's easy to get into the trap, don't make money!   In particular, it is easy for overseas customers to make mistakes when buying real estate in New York! ! 1 No local professional property team To buy a property, a group of professionals are required to serve you. In addition to real estate agents, there are also real estate lawyers, loan specialists, accountants, etc. These professionals are local and they are very familiar with New York real estate. Some overseas buyers are big bosses or company executives in China, and some have their own companies in foreign states. They all have their own lawyers, accountants, etc., so when they buy New York real estate, they also plan to use their own people.

But New York real estate is very different from other states. If no local team is very familiar with New York real estate, trading is sometimes difficult to succeed. Many times, lawyers don't understand New York real estate, the contract is not perfect, and the customer's interests will suffer a lot. There are loans, and banks are familiar with New York apartments, otherwise loans can easily go wrong.

2 The purpose of buying a property is not clear

I don't know what the purpose of buying a house is, and I often think about mixing the two together.

 

live alone:

You will have a lot of personal emotional factors to meet your individual needs within the budget. For example, some guests think that it is very important to go to work companies. Some people think that there is a gym or a swimming pool. Some people are studying for children. In a good school district, the purpose of buying a house varies from person to person.

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It is necessary to exclude personal sensibility factors and use rationality and numbers to make judgments. You shouldn't be impressed by the gorgeous surface. You should think more about it. As a rental, it's easy to rent or higher. It's time to calculate.

First of all, we must look at long-term benefits, that is, we intend to hold them for a long time, and we expect real estate appreciation. In this case, you should choose some areas that are in the midst of rising real estate.


Second, we need to look at the annual cash, also called caprate. Cap rate = (Gross income – expense)/purchase price. Another one is: Cash on cash return = (Gross income – expense – debt service)/cash paid. If you use a loan, cash on cash return is more telling. Everyone's cash on cash return will be very different, because the amount of cash you use to make a loan, the loan interest you can get, varies from person to person.  3 thought that New York is very high Many people know that New York is a good place for real estate, so expectations are high. But when they see the specific year, many people are surprised because the cap rate is lower than other states and other cities. In Manhattan, the cap rate for residential properties is about 2-3%, and commercial properties are about 3% to 4%. New York property is safe and stable, and house prices have been rising steadily. Buying property in New York is more for long-term assets. In the short term, it is not high in New York, but it is obvious from the perspective of long-term asset appreciation. For example, in 1980, the Townhouse on 81 West Street in the park was only $65,000, and now it is 4, 5 million

4 use New York as a paradise for real estate
The real estate market in New York is very mature and very regulated. If you plan to speculate in the short term, you will lose more than you gain.
Because in the process of buying and selling, you have to pay a lot of money, these are the cost of buying a house. As a buyer, the cost of insurance, loan, legal fees, etc. is usually 3% to 4%. As a seller, the fee to pay brokers, as well as the transaction tax in New York City, is about 8% to 10%. The cost of reselling and reselling is higher.
5 cooperative apartments are not suitable for overseas people
If you are buying a house, Condo is more suitable, Coop is not suitable for a house.
Coop buyers are subject to qualification review of the building. Some buildings prefer adults with jobs, so parents who buy them will be rejected.
Some buildings are only sold to buyers who are the main place of residence. If they buy a holiday home, the buyer will be rejected. Some buildings prefer “general” residents (unnamed people) because residents do not want celebrities to be harassed by paparazzi.

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Tags: real estate market new york house condo coop buyers residence buildings
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