Friday, January 15, 2010

New York Property Yield

New York property (Manhattan condo) as an investment would have a gross rental yield of 4 to 5 percent. After paying for common charges and taxes, the net rental yield reduces to about 3 to 4 percent.

Manhattan, New York property is not a yield but rather an appreciation game. An investor buying New York property focuses on the long term appreciation potential. Demand for Manhattan property is global, coming from all over the world. Manhattan is a brand and the vacancy rate is less than 2 percent, relative to the US's 10 percent average. Inflation would mean rents and property values will increase.

A yield strategy in the US would mean investing in a midsize of small city. For example, Syracuse, New York is a college town with a yield of 10 to 15 percent. From personal experience, the appreciation from a city like Manhattan New York far outweights the rental yield cashflow from a midsize of small city.

Our website Castle Avenue Partners - Manhattan investment properties
Historical price appreciation
New York Property ROI

New York Property Yield

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