Saturday, December 4, 2010
Risks, disadvantages, problems Manhattan New York property
Here are the downsides - risks, disadvantages, concerns, problems - associated with owning property in Manhattan, New York.
1. Tying up capital, at least $150K for an entry level studio to millions for buildings.
2. Don't expect to flip in 2 years. Manhattan doesn't appreciate 30-40% per year. It's not an emerging market. You should expect to hold for 5 years.
3. Vacancy is expensive because of carrying cost, repainting and repairing this and that, broker fees associated with re-marketing.
4. Get a good tenant by doing the proper reference checks. In New York City, eviction will be time consuming and expensive.
Our website Castle Avenue Partners, Manhattan investment property