Saturday, January 1, 2011

How to buy luxury flat in New York

How to buy luxury flat in New York, 3 simple steps as guide.

1.  Get a good agent:
In New York, all agents have access to the same inventory of flats for sale through membership to a trade organization.  You should interview and select the right agent whose value would be to
(a) identify the right luxury flat
(b) negotiate price
(c) bring the team together including accountant and lawyer

In New York you're hiring the AGENT and not the FIRM.  One firm may have hundreds or thousands of agents whose quality vary dramatically.  Marketing, expertise are agent specific.   You can review agent profile at firm websites.  In contrast, in a place like Hong Kong, you are hiring the firm because you can't even see agent profiles on the firm websites.


2.  Identify, negotiate, contract signing:
After identifying the right flat to buy, there's negotiations on price and eventually contract signing (known as S&P, sales and purchase in Hong Kong).  The lawyer would review the contract and recommend to proceed if all is fine.  If financing is involved, the bank would perform appraisals and prepare financing documentations.

3.  Closing:
At a pre-determined date, all parties will get together to execute necessary contracts and the buyer becomes the owner of the newly purchased flat.  Everything happens on day of closing and there's no delay in title transfer, eg in Malaysia.

Visit us at Castle Avenue Partners - Manhattan investment property
International buyer guide on buying luxury flat in New York
Residential flat price trend

2 comments:

Anonymous said...

What are categories of luxury flat in New York in terms of price point and flat quality?

Wei Min Tan said...

Well, the average is about $1200psf but the very high end can be $5000psf. It all depends. Driven by location and less towards material quality. Email me at tan@castle-avenue.com and can provide you with more details.