Thursday, July 15, 2010

New York Property Outlook

Excerpts from radio interview with CBS's The Political Chick on 7/12/10:

New York (Manhattan) property outlook
- Bottom is over and Manhattan, New York property market should see steady increase.  Not V but gradual increase.
- Wall Street is rehiring again.  In 2009, Wall Street made record $61 billion.
- Impact of the first time homebuyer credit is minimal to Manhattan buyers because the median price in Manhattan is $900,000.  The impact is higher for the US average home which is only $200,000.
- Foreigners and buyers are coming back into the market.  This reflected in 2Q'10 transactions increasing 80% and median price increasing 7.6%.
- Do not expect double dip in New York property market because of the above reasons.

US Property Market Outlook:
The US overall real estate market should see a 10% decline because of the following reasons:
- High unemployment at 9.7%
- Elimination of the $8000 first time homebuyer tax credit
- High inventory from foreclosure glut and banks' REO pipeline
- Tight credit

Visit us at Castle Avenue Partners - Manhattan investment property
Return on Manhattan New York property

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