patrick.net

Where is it? Location is the only thing that can justify that kind of price.

Your last few words should tell you all you need to know. Best of luck, fool.

stocksjustgoup = zip code: 11235 -- convenient to the highway and subway for commuting, close to a supermarket, and very nice/sleepy neighborhood -- but then again, it was always that way, but for 25-50% of the current asking price prior to 2003.

chrisborden = subtle, but the point well taken :) Well -- the idea is not to flip to land a profit in a few years, but to live / raise a family in it for at least 15+ years. My concern is that will that property be worth that in 15 years -- barring massive inflation, and middle class workers earning a median income of $100K per person in a family (not as a total for family) and interest rates remain this low, I just can't see how it'll be worth that to recover what we paid for it.

Could you rent an similar apartment for $2400 a month? This way if you lose your job you have more flexibility to search for employment in other areas.

mobislink = we thought about that, but paying that amount of money for rent is disturbing to say the least -- esp. for the middle of nowhere in southern Brooklyn, where it's a minimum of one hour to get to Manhattan. If I could portend the future and know when interest rates will climb at least 2+% higher, I'd do that now. I'm just trying to take into account the low interest / high asking rate to a higher interest / lower asking rate time frame. A lot of people can go on for awhile asking for these high prices and wait it out [esp. with the NYC Mortgage Moratorium nonsense], and when the price cuts do come to this area, it maybe a year to two years or more possibly to see decent drops-- and then it maybe an even break between the two. Fortunetly, my spouse and I are pretty secure in what we do, and if either of us lost our job, we could still manage the mortg and expenses.

11235... I was going to add that NYC certainly is a different when it comes to condos. $500K+ all-of-the-sudden doesn't seem so ridiculous.

But there's NYC and then there's NYC ... 11235 is way out in the hinterlands. In 1997 I could have bought the condo I rented on CPW with a view of Central Park (around 100th St) for $179,000. That would have a been a good buy.

mobislink says

Could you rent an similar apartment for $2400 a month? This way if you lose your job you have more flexibility to search for employment in other areas.

Will $2400 per month cover this? Looks to me like a loser at that rent.

StillLooking == Probably not -- the going rent for a new 3BR "luxury" condo (built >= 2003) goes for around $3300 p/m here -- outrageous, if not obscene. At $2400 -- you're just barely covering the mortg, not including the HOA maintainence which WILL go up in the future, property taxes, insurance and repairs [this is why i prefer co-ops, as repairs inside the are offset by everyone when something goes wrong, rather than leaving the whole bill on your head.]
Actually, had a good talk last night with my spouse, and now we are considering SI (as the owner of the condo is holding out for more money!) -- SI longer commute, but that's OK -- just need to figure out if it's worth it based on the house we pick and how much it will cost for flood insurance which can be very high out there. Spending a half-million dollars, I'd rather have a house with a backyard with no one on top and to the side of us or a board dictating what we can/can't do.

[EDIT: Almost every new condo in my area hasn't sold that was asking for $460K [2BR ~1000SQF] and $538K+[3BR ~1100-1280SQF] and is going rental. The going rate for a 2BR is $2400 and $3300 for a 3BR. Although I 've seen units advertised everywhere for rent, haven't seen anyone living in these units.]

I live in CT and my fiance works in Midtown, so I'm familiar with the area. Personally, I think it's nuts to try to raise a family anywhere in the 5 boroughs. You pay over $500K for what amounts to a small apartment with no parking, have to fight with neighbors over parking spaces on the street, deal with your cars getting dented/dinged all the time, move them from side to side of the street because of street cleaning/plowing days... Getting groceries is a nightmare. You either walk to a market and have to wheel a cart with bags and bags of groceries for a mile, or have to illegally double park your car and schlep the groceries up an elevator or in some buildings 10 flights of stairs... I can't even imagine having to do this with kids. There is no place for them to play outside, and who would even dare to let them play on the city streets?

Have you considered moving to CT or NJ? Because you can get a pretty nice house in CT for the price you are talking about, with no association fees, and still about a 1 hour commute on the Metro North to the city. Not only that, you might actually have your kids in a decent school and have an actual yard with a lawn for them to play on.

Anyway, just something to consider. Look at Fairfield, CT. Great public schools and for $550K+ you can get a nice sized house (2000 sq. ft or so). It's still overpriced but at least you can raise a family there and not go nuts living in the city.

Some people actually like living in the city... go figure... I guess it would be fun if you're a college student at NYU and just live in a 1 br. studio and go party all the time, but to raise a family? Fuh-get-about-it...

lyoungblood says

Some people actually like living in the city… go figure… I guess it would be fun if you’re a college student at NYU and just live in a 1 br. studio and go party all the time, but to raise a family? Fuh-get-about-it…

Most of Manhattan is rather family friendly as long as you have a whole lot of money. The public schools are very good (at least the magnet schools), its one of the safest urban areas in the country, lots of parks and such, and you totally don't need a car. A couple I know are VERY happy raising their two kids in Chelsea. Of course, this only works if you are in a position to drop 1-2 million on a 2-3 bedroom apartment.

bdrasin says

lyoungblood says

Some people actually like living in the city… go figure… I guess it would be fun if you’re a college student at NYU and just live in a 1 br. studio and go party all the time, but to raise a family? Fuh-get-about-it…

Most of Manhattan is rather family friendly as long as you have a whole lot of money. The public schools are very good (at least the magnet schools), its one of the safest urban areas in the country, lots of parks and such, and you totally don’t need a car. A couple I know are VERY happy raising their two kids in Chelsea. Of course, this only works if you are in a position to drop 1-2 million on a 2-3 bedroom apartment.

Yeah, unfortunately that is way out of the range of "mere mortals" like ourselves. Instead we're relegated to living in squallor of a 10 story walk-up in Brooklyn, having to put bumper bullies on our cars to keep them from getting too smashed up, and not letting our kids out of the house after school.

lyoungblood == Agreed on how crazy it can be, but the only bright spot here is that the condo includes a parking spot -- it may be unheard of in suburban areas, but it's precious resource in 11229/30/35. One time, I spent over two hours trying to find a spot, and wound up parking 15 blocks away. I looked into NJ, but don't want to deal with either the (NJT [expensive] + MTA || PATH + MTA) && train transfers plus the double tax and the necessity of a car which boost expenses.

As for CT, ditto with the Metro North + MTA + car -- esp. if commuting to downtown Manhattan, everyday, for the rest of your life. Fairfield is a bit too far, as I remember commuting to Greenwich which was a long ride from Grand Central, plus the added expense of the Metro North [http://as0.mta.info/mnr/fares/get_fares.cfm?newroute=abc&orig_stat=GCT 0&dest_stat=GR 3]

Acckkk...bumper bullies -- can't stand them, such an eye sore.

Totally agree! Well, if it has a parking spot, that alone probably adds $50-100K to the price... The things we have to deal with I tell you...

Why would you want to spend that much on cheaply built Russian condos? That's who created the "explosion" of condos you spoke of in your other post. Born, raised and sold my home a few years ago in 11235, the area has really gone way down hill. Stores and restaurants shuttered on Sheepshead Bay Road, Kings Highway, Brighton, Ave U. The Burger King closed on Kings Highway! The only coffee shop for 40 years, New Clements, closed on Sh Bay Rd! What supermarket, that dumpy Waldbaums or Pathmark? No one would believe how few supermarkets are left for an area of so many people. The whole area has become blighted due to the Russian invasion over the last 25 years. I keep a PO box in 11235, what a disgusting post office, like 3rd world service. The Russians fight with the Asian postal clerks.

Go to Queens, much more quality services and nicer well behaved, much less riff raff crowd and MUCH easier commute into Manhattan by E or F train. 4 stops express from Forest Hills into NYC. Plenty of Express buses into Manhattan, 11235, maybe 1 or 2??? And don't even try to compare Queens Plaza mall to Kings Plaza! Queens still has many diners, Brooklyn, most closed! NJ just outside the Lincoln Tunnel, much easy commute by bus or car plus "normal" stores like Whole Foods, Wal-Mart and Target, not the crappy neighborhood stores in Brooklyn like Bertas, Value Depot and various Russian/Asian variety stores. The only stores that keep opening are Walgreen's and Dunkin Donuts.

Do yourself a BIG favor, IMPROVE your quality of life and don't live in 11235 or anywhere in South Brooklyn. The hey days were in the 60's, 70's and early 80's and the old crowd is gone. Unless you're a diehard Russian, Asian or Hassidic Jew, there is absolutely NO good reason to live there. If you don't believe me, go to the Delmar Pizzeria on Sheepshead Bay Rd, pretty much the only original Italian owned one left after 40 years. Look at the poster on the wall from the 1970's showing all the stores and restaurants, movie theatres, fishing boats, attractions, etc. that were there. NOW ALL GONE! VERY SAD! Plus, if you're raisng a family, they closed Lafayette and John Dewey high schools, the latter once winning accolades. You don't want your child attending Lincoln! And don't hold your breath for the revival of Coney Island, the Russians were buying up all the land in hopes of the rumored 2nd DisneyLand being built there, but that will never happen. Nor will the Ampitheatre be built on Seabreeze Ave to replace the park. And the famous NY Aquarium is having financial problems.