December 2022 Manhattan Property Market Update

1. Interest rate uncertainty continues
2. Rental market slows
3. What’s the opportunity?

Read full article here: December 2022 Manhattan Property Market Update

November 2022 Manhattan Property Market Update

November 2022 Manhattan Property Market Update

Key point #1: Sales remain low because of mortgage rates

Key point #2: Buyer’s Market

Key point #3: Slowing rental market

Read full article here: November 2022 Manhattan Property Market Update

Top 5 Mistakes To Avoid When Investing In New York Property

 

Whenever I meet a new buyer client, especially a foreigner wanting to buy an apartment in Manhattan for rental income, the client often has certain pre-conceived ideas. This is understandable because it is impossible to understand a market from researching on Google from a few thousand miles away. Not necessarily good or bad, but without proper advice, they could be costly mistakes.

The pre-conceived ideas can be found here: Top 5 Mistakes To Avoid When Investing In New York Property

October 2022 Manhattan Property Market Update

Key point #1: Sales down because of spike in mortgage rates
Key point #2: Buyer’s market favoring all-cash buyers
Key point #3: Rents keep breaking records

For cash buyers who intend to rent out the condo, now is perhaps the best time to get into the market.

Read full article here: October 2022 Manhattan Property Market Update

How inflation impacts Manhattan property

The Manhattan property market suffered from Covid in 2020 and became a buyer’s market. In 2021, Manhattan rebounded and sales volume in 2021 was the highest ever recorded. Now in 2022, we are again in a buyer’s market because of inflation. Inflation led to the Federal Reserve increasing interest rates, which led to more than doubling of mortgage rates.

Read full article here: How inflation impacts Manhattan property

Sponsor Condos in Manhattan, Art of The Deal

Sponsor condos in Manhattan, New York refers to condos being sold by the developer and not by an individual unit owner.  The sponsor is the developer who either launched or converted the condominium property project.

The art is in selecting the right condo project based on a solid understanding of the current market, neighborhood, product type and demand/supply.

Read full article here: Sponsor Condos in Manhattan, Art of The Deal

Mortgage rates softens Manhattan property market

The Manhattan property market has slowed significantly due to increasing mortgage rates. Today’s Wall Street Journal shows the 30-year mortgage rate at 6.67 percent. For context, the 30-year rate was at 3.01 percent a year ago in September 2021.

Read full article here: Mortgage rates softens Manhattan property market

Buying car park with Manhattan condos

Buying a car park with a Manhattan condo is not necessary. Very few condo buildings in Manhattan have privately-owned car parks that a condo owner can buy. The select handful of high end new developments with car parks for sale price these spots between $300,000 to $500,000.

Here are factors to consider when deciding whether you really need to buy a car park: Buying car park with Manhattan condos

September 2022 Manhattan Property Market Update

Key points for the September 2022 Manhattan Property Market Update:

1. Inflation at 8.3% and mortgage rates continue to increase
2. Buyer’s market
3. Record high rental market

Read full article here: September 2022 Manhattan Property Market Update

 More of my media appearances here: Media Appearances

Maintenance fees with a Manhattan condo

What are maintenance fees with a Manhattan, New York condo and what is reasonable? With Manhattan condos, maintenance fees are known as common charges. When buying a condo, the monthly outflows are common charges and property taxes (collectively known as carrying cost).

Read full article here: Maintenance fees with a Manhattan condo

New Property Projects in Manhattan

New property projects in Manhattan are being marketed globally to foreign buyers looking to diversify their portfolio.  Foreign clients are overloaded with information of Manhattan new property projects on multiple fronts.  This makes the decision process confusing for the investor.  It is important to understand all before investing in new property projects, as property is not a liquid asset.

Read full article here: New Property Projects in Manhattan

August 2022 Manhattan Property Market Update

The key points for the August 2022 Manhattan Property Market Update:

1) Record rents
2) Slow summer months
3) Activity may be picking up

Read full article here: August 2022 Manhattan Property Market Update

Leyton 19A. Just closed. New development. Clients booked unit while property in construction, and waited for closing. Negotiated one of the largest price discounts/concessions ever for my buyer clients. They just moved in recently.

Visit our website: https://www.castle-avenue.com/

Investing in NYC Real Estate

Investing in NYC real estate, in this case in Manhattan, is a strategy many high net worth global clients participate in to diversify their portfolio. Within NYC real estate, there are many sub-segments including residential condos, small buildings, commercial property, land etc. Here we are focusing on Manhattan residential condos because they are low risk, simple to understand and provide a good rental return. 

The key considerations are in this article: Investing in NYC Real Estate

Rental contracts with Manhattan apartments

How are rental contracts like with Manhattan apartments?  This is a common question from investor clients intending to rent out their investment condos.  

Read this article to know the key points: Rental contracts with Manhattan apartments

Best size investment apartment to rent out in NYC

Best size investment apartment to rent out in NYC  — The size of condo apartments for investment in Manhattan range from a studio to 4-bedroom+.  Global investors usually buy apartments in Manhattan to rent out as a form of diversification.  Our role as a buyer’s broker is to advise clients on what is the right apartment, and we go through the process of identifying what’s a good buy.

Read full article here: Best size investment apartment to rent out in NYC

July 2022 Manhattan Property Market Update

 

The key points for the July 2022 Manhattan Property Market Update are:

1. Record median sales price and highest rents ever
2. Moving away from seller’s market
3. Opportunity in completed new developments

Read full article here: July 2022 Manhattan Property Market Update

New York Property Report: Q2'2022

New York property report: Q2’2022 condo median price rose to the highest on record at $1.882 million, a 14 percent increase compared to prior year. Average sales price showed a similar trend, increasing by 15 percent to $3.045 million. Listing inventory increased by 18 percent compared to prior quarter and provided relief to the tight supply situation as the market moves away from a seller’s market.

Read full article here: New York Property Report

 

Our client's extra large 1-bedroom apartment facing north with tree-line views!

Visit our website: https://www.castle-avenue.com/

Buying New Condo in Manhattan, Tips for the Foreigner

Buying new condos in Manhattan is a strategy that many of our foreign clients pursue. The objectives are either for rental return or for use as vacation home. By the time a foreign investor client reaches out to me, he would have researched extensively online and have a strong understanding of the Manhattan market.

In addition, the client would have read a lot of my articles on the subject of investing in Manhattan condos.  Still, there are many questions.  Understandably, buying a condo in a different country is a major undertaking. 

Here are some tips for foreign investors: Buying New Condo in Manhattan, Tips for the Foreigner

Best Areas to Invest in Manhattan

What is the best area to invest in property in Manhattan? This is perhaps the most common question we get from buyer clients.  Answer is, going back to my Finance class from 20+ years ago, It Depends. There is no best area per se as it depends on the buyer’s objectives and long term goals. Objectives include price point, holding period and whether the buyer intends to rent it out or hold as a vacation home.

Read full article here: Best Areas to Invest in Manhattan

Media Appearances, Interviews and Written Articles.

View more of my media appearances, interviews and written articles here: Wei Min on CNN, CNBC, Wall Street Journal

Here's another great feedback from a client of ours!

Visit our website: https://www.castle-avenue.com

June 2022 Manhattan Property Market Update

The key points for the June 2022 Manhattan Property Market Update are:

1. Inflation at 8.3 percent, investors looking to real estate as a hedge
2. Supply increasing but still a seller’s market
3. Rents going up

Read full article here: June 2022 Manhattan Property Market Update

New Launch Condo Projects in Manhattan

Buying new launch condo projects in Manhattan, New York is a strategy we focus on with investor clients from all over the world who are seeking Manhattan property as a form of asset diversification.  Since Manhattan is land-locked, the supply of new launch property is small relative to overall property inventory.  Prices of new launch condo projects are higher than resale condos but the new launch condo strategy is very viable.

Search the entire Manhattan new launch condo inventory via the database here: New Launch Condo Projects in Manhattan

Manhattan Luxury Flat Prices

Manhattan, New York luxury flat prices generally range from $2,000 per sqft to $4,000 per sqft. Ultra luxury flats is defined as anything $4,000 and above, while non-luxury can be as low as $1,200 per sqft. The most recent Manhattan quarterly price data reported overall market average price per sqft at $1,900.

Read full article here: Manhattan Luxury Flat Prices

Got a chance last year to be featured on Cheddar TV to talk on how a buyer can protect against a lower appraisal amount by using a mortgage contingency.

View my media appearances here: https://www.castle-avenue.com/media.html

Manhattan Luxury Condos for Sale

Luxury condos are generally defined as $2,500 per sqft and above, while $4,000 and above is considered ultra luxury.

Manhattan, New York luxury condos for sale are all accessible through the database here: Manhattan Luxury Condos for Sale

New York Apartment Prices Q1, 2022

Q1’2022 condo sales volume was up more than 50 percent vs a year ago. This marks the highest first quarter sales in 15 years of tracking. Various metrics show that we are now back to pre-pandemic levels.  The strong sales numbers was driven by the (still) low mortgage rates although rates have been rising since 2021, pent up demand and overall optimism from reopening of the economy.

Meanwhile, the rental market is also strong as rental price per sqft increased 21 percent. Vacancy rate for March 2022 was 1.89 percent, compared to 11.25 percent a year ago. This is because of people moving back into Manhattan as companies no longer allow full time work-from-home.

Read full article here: New York Apartment Prices Q1, 2022

Best Manhattan, New York Penthouses

Owning a condo penthouse in Manhattan is a global status symbol. Penthouses are the best apartment(s) in a building. It can be on the top floor of a super luxury tower like 432 Park Avenue or the biggest apartment in a low density Soho or Tribeca building with 10 floors.

Here are the best Manhattan penthouse condominium apartments on the market currently: Best Manhattan, New York Penthouses

How to Invest in Manhattan Property, Profit and Repeat

Manhattan, New York is the world’s investment property mecca.  It is one of only two Alpha++ cities in the world.  This article focuses on how to invest in Manhattan residential condominium property, realize profits and repeat to grow a portfolio over time. Investors profit from steady appreciation, driven by global and local demand, and limited supply.

Read full article here: How to Invest in Manhattan Property, Profit and Repeat

May 2022 Manhattan Property Market Update

The key points for the May 2022 Manhattan Property Market Update are recession concerns, strong buyer demand and rents going up/high cap rates.

Read full article here: May 2022 Manhattan Property Market Update

Average Manhattan, New York Apartment Prices

The average sale price for a condo ranges from $908,991 for a studio apartment to $9,846,869 for 4+ bedroom apartments.  Meanwhile, the average price per square foot ranges from $1,138 for a studio to $2,738 for 4+ bedroom apartments.

The average price per square foot for a co-op is roughly 50 percent lower than that of a condo.  Average sale price for a co-op  ranges from $553,734 for a studio to $5,109,433 for a 4+ bedroom apartment.  The average price square foot ranges from $852 to $1,596.

Read full article here: Average Manhattan, New York Apartment Prices

2022 Cost of Manhattan, New York Flats

Based on the most recent data, the median cost of a 2-bedroom Manhattan, New York condo flat was $2.3 million, while the median cost of a 2-bedroom co-op was $1.34 million. We can see that the price of a 2-bedroom condo is 71 percent higher than that of a co-op. Looking at three bedrooms, the median price of a 3-bedroom condo flat in Manhattan was $3.7 million, 68 percent higher than a 3-bedroom co-op which was at $2.2 million.

Read full article here: 2022 Cost of Manhattan, New York Flats

How recessions impact Manhattan property

Deutsche Bank recently warned of a coming recession because of high inflation, a very strong job market and spike in oil prices due to the war in Ukraine. If there is a coming recession, how will Manhattan real estate do?

Read full article here: How recessions impact Manhattan property

Visit our website: castle-avenue.com

Is now a good time to invest in Manhattan, New York residential property?

The Manhattan, New York residential property market had a tremendous year in 2021, and the trend is continuing into 2022.  Sales volume for the overall condo and coop markets in 2021 was the highest in 32 years because of low mortgage rates, pent up demand, reopening of the economy and overall optimism as more than 70 percent of New Yorkers have been vaccinated.  The streets of NYC feel very normal these days and will be 100% when everyone is back at the office full time.

Read full article here: Is now a good time to invest in Manhattan, New York residential property?

Expenses as Owner of Property in New York

Wei Min Tan discusses the two categories of expenses as owner of property in New York — Closing Costs at Purchase and Ongoing Expenses.

Read full article here: Expenses as Owner of Property in New York

Buying New York Residential Property – Setting Expectations

Bravo for taking the step towards investigating the property buying process.  Here is a summary of key points for a foreign/overseas investor to understand when buying property in New York.

Read full article here: Buying New York Residential Property – Setting Expectations

April 2022 Manhattan Property Market Update

The average price per sqft for a condo in Q1’2022 was $1,992.  It went up by 16.2 percent versus last year and 0.2 percent versus the last quarter.  The number of sales went up to 1,647, 51.7 and 0.3 percent higher compared to last year and last quarter respectively.  The months of supply was at 6.2 months, 35.4 percent lower than last year.

Read full article here: April 2022 Manhattan Property Market Update

If Manhattan's historical price trend can be guidance.

Visit our website: castle-avenue.com

Hunting for 2 bedroom apartments in Tribeca and Financial District

 

#ThrowbackThursday Hunting for 2 bedroom apartments in Tribeca and Financial District with friend and client See Chan at Open House NYC.

Visit our website: castle-avenue.com

How NYC property tax bill is calculated

Your property tax bill shows your current and past due property tax charges, exemptions, abatements, credits and general information about how your property tax is calculated.

Here are guidelines on how the NYC Class 2 property tax bill is calculated: How NYC property tax bill is calculated

Co-op versus Condo in Manhattan

A comparison between a co-op versus condo in Manhattan property in terms of board approval process, flexibility in renting out, global demand, average price, average price per square foot, and percentage of inventory.

Read full article here: Co-op versus Condo in Manhattan

Rising 30 year mortgage rate driving Manhattan property sales volume

Manhattan real estate agent Wei Min Tan provides a 2-minute overview on the historical trend of the 30 year fixed mortgage rate, and how it affects the Manhattan property sales volume.
The latest data shows that the 30 year fixed mortgage rate from the third week of January 2022 was at 3.56 percent.  Rates have been going up because of inflation.  This is one reason why investors are coming into the market, to take advantage of still historically low rates because the 30-year fixed mortgage is a great product.
Read full article here: Rising 30 year mortgage rate driving Manhattan property sales volume