Real Estate Market Forecast for NYC in 2018

 

sweet-ice-cream-photography-732946-unsplashThe city that never sleeps has become an even bigger draw for jobs and talent than ever before (if that’s even possible). Especially with Netflix and Spotify opening up new offices in Manhattan drawing even more people to the big apple. Even Amazon is considering a new headquarters location, will it be New York? Growing supply of high paying jobs is bringing in residents attracted to the higher income opportunities and giving them the potential to outbit NYC’s existing residents. If you are watching the market carefully, there are new exciting plot twists helping shape the real estate forecast for 2018.

 

Lack of Affordable Homes

 

Results published by NYSAR show the US housing data for New York and affordable homes have dropped 1%, sales are down 2.5%, and average prices are up 7% from the previous year. There is no lack of conjecture about a possible US housing crash that would take NYC down with it. Many people find high foreclosure rates in the Queens, the Bronx, and Staten Island to be unsettling.

 

 

Evidence of a crash is debatable. New Yorkers, however, will face growing competition for affordable homes. Income averages about $60,000 a year in NYC, making it challenging for many to buy homes averaging $680,000.

 

Highlight on declining luxury homes

 

Out of all of the housing markets in NYC, the high-end Manhattan market is falling the fastest. There is currently a 17-month supply of luxury apartments in Manhattan. This is up 10 months just a year ago and total sales volume fell 12% compared with the fourth quarter of last year. This is the lowest level in six years. Rent in Manhattan dropped 1.0% in November and luxury home sales across the city will hit new lows so it says in the 2018 real estate forecast for NYC.

 

Public transit changes driving new demand

 

The backbone of public transportation is obviously the subway. However, the NYC Ferry service expanded and set its capacity even hire to reach Manhattan’s eastern shore and into the Bronx. The L train is still shut down and expected to reopen in 2019 which will have a huge impact on people’s real estate choices.

New to NYC? Start Your Property Search Here!

New York City real estate can be an intimidating topic to broach in a conversation with non-natives. The thought of hundreds of different neighborhoods combined with safety concerns and price sensitivity is enough to stress even the most relaxed outsider. And yet they flock here in droves, searching for a tiny piece of the city to call their own.

I recently came across a list of the Best Neighborhoods in New York City for Newcomers and thought it ideal for alleviating some of the stress mentioned above. Start your search here if you are looking to begin building your adult life in New York.

Lower East Side (LES)

Apartments on the Lower East Side tend to be slightly more affordable than other parts of Manhattan. Buyer beware, however. A desirable location near restaurants, bars, and Insta-famous boutiques translates to limited availability.

Astoria

If budget plays a significant role in your search for housing, then you may want to consider Astoria. Not only is the real estate reasonably priced (at the moment), but the overall cost of living tends to be a bit more affordable in the area. Astoria is not located in Manhattan, but it is close enough for a quick commute.

Murray Hill

Murray Hill is perfect for newly minted college grads with money to spend. Several large townhouses with gorgeous historical details fill the neighborhood.  The location is ideal, and the nightlife is legendary, but the pricing can be quite high, so I’d consider roommates before choosing to move to this particular neighborhood.

Williamsburg (Brooklyn)

Famous for food and art, Williamsburg has been attracting a creative crowd for some time now. Its constant influx of artists promotes consistent revitalization and some of the best trendy shops around. That being said, it can be quite costly to live there. If you like the idea of this vibrant cultural community but lack the purse strings to live in its vivacious center, try considering property on its outskirts.

Harlem

Interest abounds in this historic New York City neighborhood. Although it is best known for a jazzy awakening in the ‘20s, today Harlem caters to a wide range of culturally diverse individuals. Housing is moderately priced, so the area is best for professionals that are in bed at a regular hour.

5 Fundamentals for Networking in Real Estate

The real estate business would be nothing without networking. To be a successful realtor or developer, you have to a strong, well-connected network. There are many tools you can utilize to build connections with professionals and in your community. These fundamentals for networking will give you ways to build your network and find new connections to grow your real estate business.  

Find a supportive team

A great team can make all the difference when networking and it’s important to not limit your team to colleagues. Expand your network to individuals and local firms. Joining forces with real estate industry vendors, if they are not a direct competitor, can help build your clientele. By taking time to refer clients to them, they will do they same for you. Adding such vendors like contractors, master architects and lenders as your connections will greatly benefit your network. These professional connections will be a great help when developing a new property and heighten your chances for a successful transaction.

Have a professional website or blog

Digital marketing is essential to your real estate business and creates a great opportunity to network. This offers your clients something much better than a basic listing. More often than not, the first place clients go to look for a new home is online. By creating a website or blog for your business, you are offering your clients more visual appeal and gives new life to your listings.When it comes to selling a home, you’re really selling the location and lifestyle. Keep them engaged using new and original content about the neighborhood and community with local imagery instead of bland stock property photos.  

Utilize social media

Becoming familiar with social media is one of the greatest networking tools for the real estate business. It’s a great way to connect with your clients and prospective clients in real-time. Social media offers great opportunities to share your knowledge with the public. By making yourself easily available on multiple social media platforms, you can share good press and promote your properties. Posting your listing on social media will help give you a more appealing and authentic voice for potential clients. Taking the time to interact on social media will help build your network and is one of the best ways to find new connections.

Attend networking events

Attending conferences and industry events lets you engage with other professionals and make connections to build your network. This will give you the opportunity to learn new market information and innovations from your colleagues. Conferences and events allow you to make connections from all over. If you have exclusively worked in one area for most of your career, gaining knowledge from professionals outside of your area can offer new insights and ideas.

Become a presence in your community

If you’re in the real estate business, your business is the community. By getting involved and creating a presence in your community, you will build you network. This will also give you insight to the neighborhoods of your properties and the people who live there. A few ways to do this is local sponsorship, volunteering, radio and media, career days at local schools, and developing partnerships with local businesses. With so many ways to get involved in your community, there are endless opportunities to build your network.

Building your network takes time and patience, but there are many ways to get you started. To be successful in the real estate business, you have to build your presence among your connections and your community. Only then, will your business gain the momentum you’ve been waiting for.

The Price of Being a Millennial in NYC

It’s a well-known fact that the cost of living in New York City is one of the highests in the nation. Over the past decade, the cost of living and rent prices have gone up significantly in the city. Although a costly place to live, NYC offers an abundance of career opportunities and metropolitan advantages–which is most appealing to millennials.

Creating a life for themselves in NYC has millennials spending much more than what they can afford. A recent report by StreetEasy, which survey 1,000 renters in NYC, confirms that millennials are much more likely to live outside of their means when it comes to housing in the city. The housing market in NYC is expensive and according to Grant Long, “…despite facing rising housing costs and budgeting constraints, aspirations of owning a home remain high in the city, particularly among millennials.”

All five boroughs–Manhattan, Bronx, Brooklyn, Queens and Staten Island–reported that housing in the city is more than often unaffordable. According to the stats collected by StreetEasy, each generation approaches the situation differently. The New York Business Journal states, “45% [of millennials] say they chose a more expensive home than they’d planned, compared to 30% of ‘Generation Xers’ — those born from the early 1960s to late 1970s — and 19% of baby boomers.” The majority of the older generation seem to know how to realistically budget their cost of living more effectively than millennials.

Although the housing prices of the city continue to rise, about 34% of millennials are hoping to purchase a home sooner rather than later. According to the report, the majority of renters living in NYC find housing to be very unaffordable. Perhaps owning a home is more appealing since 39% of homeowners find housing more affordable, having more freedom to buy and sell. But even owning a home does not shield residents against the struggle of rising housing prices in the city.

Other stats from StreetEasy report that “New Yorkers pay 1.3 times more for housing than average Americans”. In order to stay in the city and find decent housing, about one third of those surveyed reported spending more than their initial budget. To no surprise, 46% say that housing in the city is unaffordable–which one third say the high cost of living is their biggest reason to move.

Even with the cost of living so high, generation after generation come to New York City, hoping to capture the life and opportunities only the five boroughs can offer–no matter what the price.

Affordable NYC Housing – Summer 2018

Affordable housing in the wonderful city of New York isn’t the easiest to find, but have no fear, there is a light at the end of this tunnel. Recently, New York’s Curbed posted an article on some of the most affordable locations within our metropolitan. Spots are filling up quickly though so apply right away!

Manhattan West
This megabuilding is a 62-story tower located in the western part of Manhattan. There are a few floor plans to choose from including one-bedrooms, two-bedrooms, and just a couple of three-bedrooms. Rent can range from $600+/month to $2,500+/month. They have an application deadline of July 10 so act quickly.

222 East 4th St
Located only a few blocks from Grand Central is a 42-story rental. The deadline to apply for this location is July 2. It’s finishing up its development by BLDG Management with the design of Handel Architects. At its completion, it will be home to 300+ units. Rent is estimated to be between $600+/month and $2,700+/month for a mix of studios, one-bedroom, and two-bedroom units.

Tremont Renaissance
This 12-story development is located at 4215 Park Ave in the Bronx Tremont neighborhood. The units throughout this building have a rent between $800+/month and $1,900+/month. Great for singles and also families.

Hunters Landing
59 affordable units are offered at Hunters Landing, just a few blocks from the train stop on Hunters Point Avenue. These units, ranging from a studio to a three-bedroom, are offered exclusively to middle-income New Yorkers.

1 Flatbush Ave
The Brooklyn rental, located on Flatbush Ave and Fulton St, is a 19-story building that has just opened a lottery for their 37 available units. Although a majority of the rentals are studios, there are a few one- and two-bedroom units as well. Rent rates are from $900+/month and $1,100+/month.

The Maya
Possibly one of the best apartment complexes in New York City is the Maya, located in the Jamaica region of Queens. Each of the units, including all from studio to three-bedroom, feature an outdoor space, indoor/outdoor parking, a fitness center, and a rooftop terrace. Rents are in the range of $1,400+/month and $2,200+/month.

New York City’s Subway and Its Interesting Past

New York City's Subway and Its Interesting Past _ Kevin BrunnockThe New York City subway system is a mysterious beast, full of mystery, secrets, and delights.

The people using it seem to know it as well, looking into the dark tunnels for their next train, some no doubt wondering about what lies inside, if the stories are true, never giving it too much thought. However, plenty of stories do exist that back up the thoughts.

Subway mosaics with fancy lettering exist throughout various stations, the City College and Columbia University stop even having a rivalry, pulling out all the stops to make the stops pretty, according to Philip Ashforth Coppola’s book on the subway. The beaver at the Astor Place station as a tribute to John Jacob Astor… which is nothing compared to the rumors it is reportedly haunted. Other places that could be haunted? Stations built and never used, such as Williamsburg’s South 4th Street station.

Aside from details and flourishes that people pass by daily, the subway has plenty of history to look back on. From the graffiti-laden subway cars that were once painted all white to the Nostalgia Train Rides implemented by the MTA every year. From the almost interminable construction that goes on, with the longest operation being the 2nd Avenue line, technically being worked on since 1920.
The irony of this rich history is that new subway lines have hardly been developed since 1940. The high cost of construction has skyrocketed since the 1980’s according to research, compounding the problems present with the subway budget crisis on top of the difficulty with labor relations. The thought that so much exists and was put into place in a relatively short amount of time is wondrous when considering there are 469 subway stops in operation.

As far as the world knows, the subways are relatively safe now, a far cry from the vigilante groups who used to roam the subways to protect riders, the most famous one being the Guardian Angels. Considering the 4 train was called the Mugger’s Express one bit, the strategies implemented seem to have work, therefore don’t be afraid, get on the trains and see for yourself, as commuters gloss over a multitude of historical artifacts every day while riding daily. Get out there and see for yourself!

CRE Must Reads to Get Ahead and Stay Ahead

CRE Must Reads to Get Ahead and Stay There _ Kevin BrunnockThese hand-picked seven reads will help any CRE professional best maximize their time and make the most out of any growing business:

7L: The Seven Levels of Communication: Go From Relationships to Referrals by Michael Maher: By prioritizing relationship building, Maher offers tangible tips on how to cultivate communications skills to grow your network and get you ahead.

The Due Diligence Handbook For Commercial Real Estate by Brian Hennessey: This invaluable resource will be a handbook you will want to keep on hand for years to come because of its practical checklists and expert tips designed to create value-add in any property.

The Millionaire Real Estate Agent: It’s Not About the Money…It’s About Being the Best You Can Be! by Gary Keller: Although this book was originally written for brokers, the content transcends to any career in real estate by offering useful tips on how to generate leads and pump up sales.

Nine Proven Strategies To Make 2018’s Peak Rental Season Vacancy-Free (published in Forbes): With the busy summer rental season approaching, this quick read will offer a myriad of tips on how to maximize your business potential during the holy grail months for commercial real estate brokers.

Three Essential Strategies For Smart Student Housing Development (published in Forbes): The hot housing market has spilled over into the student sector. This timely and informative article will bring you up to date on how to best capitalize on this relatively new real estate sector before it’s too late.

The Conversion Code: Capture Internet Leads, Create Quality Appointments, Close More Sales by Chris Smith: In this day and age, digital is king. It is imperative that CRE professionals possess the skills to effectively market their properties in a variety of online avenues. This book will help you get the job done and stay one step ahead of your competitors.

The 4-Hour Workweek: Escape 9-5, Live Anywhere, and Join the New Rich by Tim Ferriss: It is too easy to get sucked into the trap of living to work and not working to live. Learn how to best manage your time so that you can maximize your efforts to achieve the greatest success in the shortest amount of time.

5 Essential Books for Commercial Real Estate Professionals

5 ESSENTIAL BOOKS FOR COMMERCIAL REAL ESTATE PROFESSIONALS _ KEVIN BRUNNOCKThe best real estate professionals are always looking to learn. Whether it’s making the most of new technology or being as productive as possible, there’s always room for improvement. The problem is, there are hundreds of books, podcasts, and seminars to choose from. In this post, real estate professionals will discover the 5 most important books to advance their career.

1) The Millionaire Real Estate Agent

This book, written by Gary Keller, is widely considered the best book for real estate professionals in existence.

Real estate professionals will be given clear, actionable steps they can use to improve right away.

The book is most helpful for brokers, but it doesn’t focus on just one specialization – so almost anyone involved in real estate can benefit from it.

2) Real Estate Finance and Investments

It’s rare that a book can help both the beginner and the experienced professional – but William Brueggeman and Jeffrey Fisher accomplished just that when they put together this text.

This book not only teaches readers how to invest in real estate, but it also has a lot of complex strategies and formulas. This makes it an excellent reference guide to always have handy.

3) Raving Fans!

This book is all about providing the best customer service in order to close deals as a real estate agent.

Readers will discover how to clarify their vision so that customers want to do business with them. Then, the book goes a step further and shows the reader how to make those new customers lifelong fans.

4) The 4-Hour Work Week

If someone is looking to improve their productivity as a real estate professional, this book should be at the top of their list.

They’ll learn every possible way to get the most out of their time, whether it’s outsourcing administrative tasks or attracting new customers.

5) Principles of Commercial Real Estate Underwriting

This classic text is an excellent reference material for someone who needs a refresher on certain aspects of real estate.

With this book handy, the reader can underwrite commercial real estate assets with ease.

These are the best books available for commercial real estate professionals. Whether a professional is looking to simply improve their productivity, have a go-to guide, or immerse themselves in the industry – it’s all possible with the books on this list.

 

11 Easy & Insightful Open House Tips Used by Seasoned Real Estate Pros

Realtors have a lot of ideas about how to stage an open house. Some agents suggest the basics, such as cleaning the house which is always a good idea, but there are additional ways to make your home stand out to potential buyers and make a great first impression.

Renovations and Repairs

Make a better first impression by doing any repairs or renovations before you host an open house. Rooms that need painting, fixtures that are outdated, or minor improvements that must be made may put off potential buyers; what they notice is how much needs to be done.

Advertising

Get your home list with an MLS, on Craigslist, in local papers, and on social media. Email all your family and friends. Ask them to share. Put up signs around your neighborhood with directions to your home.

Thorough Cleaning

A sparkling clean home attracts more buyers than one that’s dingy. Some sellers use a professional cleaning service before hosting an open house to get windows and carpets cleaned. A professional cleaning service will make sure everything is in perfect condition.

Declutter Your Home

When people go to an open house, they want to see the home’s features. Before you schedule your open house, start packing. The house should appear sparse and not cluttered. It’s easier for buyers to have a good idea of how much space is available if it’s not cluttered.

Fill the House With Light

Make sure your home looks cheery and bright. Open drapes and blinds to let in as much light as possible. Most people want a lot of light in their home. You should turn all the lights on even if it’s a sunny day to transform the rooms into a warm and welcoming space.

Depersonalize

After you clean your home, pack away all your items including family photos, awards, and get the children’s toys out of the way. Buyers want to picture themselves in your home and imagine where they’ll place their personal items and furniture. It’s difficult for them to do that with your personal belongings strewn around the house.

Accessories and Furniture

You want your home to have a simple, uncluttered appearance, but it should always be staged with some furniture and a few accessories. If you’re still living in the house, add a few touches like a vase of fresh flowers in the living room, new guest towels in the bathroom, or new kitchen or bathroom fixtures. You may consider giving the kitchen a fresh coat of paint to brighten it up.

Security

Most people that attend an open house because they’re looking for a new home. However, you’re still letting strangers into your home, and you can’t keep an eye on everyone. Make sure to lock up all valuables including personal documents, jewelry, and checkbooks. Keep all expensive electronics out of sight.

Provide Handouts

Make sure that you provide a flyer or brochure with photos of your home, information about recent home sales in your price range, and community and school information.

Refreshments

Baking cookies and having freshly made coffee or soft drinks ready is a nice touch. Some sellers host a wine and cheese party or cookout and invite neighbors. The idea is to make the open house a fun, social event.

Pay Attention To Feedback

Listen to comments people make about your home. If several people make comments about repairs, features that put them off, or the price, you may want to make some changes.

7 Exceptional Real Estate Apps for Real Estate Professionals

The real estate trade long ago consummated the age-old technique of exchanging and selling apartments, buildings, and other real estate properties –and this hasn’t changed much over the last few decades.

However, the way in which the real estate market is addressed, managed and explored certainly has changed. Now, real estate services are streamlined, and long-winded processes have been condensed to effortless keystrokes and swipes. Real estate technology has stepped onto the scene, and it’s not likely to take a step back, as the new pieces of software and the clever applications have worked to transform access to the market for real estate professionals.

Read on to learn the name of seven exceptional real estate mobile apps:

CONTACTUALLY

Contactually is CRM software that offers users a platform designed for organizing important and priority individuals in your contact list. A master list is created, connected to email and business applications, and users are then able to create customized reminders alerting you if too much time has elapsed between communication. It streamlines customer relations.

RPR MOBILE

RPR Mobile is a property research app that’s designed exclusively for realtors. The application facilitates quick property searches, the creation of branded reports, and it offers a bird’s eye view of the local market through dynamic mapping tools and advanced search functions. More than that, users can see local market statistics, weigh neighborhood conditions, and access valuable data.

ZILLOW

Zillow is a top-rated real estate app that works for both realtors and hopeful homeowners. Searches can be filtered by bedrooms, price, bathrooms, keywords, and more. Real estate professionals can offer home seekers an uncompromised understanding of property, whether they’re searching for commercial or residential properties.

NEIGHBORHOOD SCOUT

NeighborhoodScout is an online database or website for U.S. communities. The tool empowers professionals to invest wisely, mitigate risk, and uncover opportunity. The free site grants access to micro-neighborhood trends, exclusive analytics, and forecasts. The unique insights and data offer an intimate understanding of neighborhoods.

VERT

Vert is an all-in-converter that provides temperature and currency conversions; this is ideal for those working in high end and international sectors of real estate.

CITYMAPS

CityMaps is an incredible socialized mapping application that’s frequently used by travelers. Accessible online and offline, it can provide insight on where to eat, where to sleep, and what to see while in a particular area. The application is an ideal for those interested in providing insider tips.

DOTLOOP

Dotloop is powerful and intuitive. It’s real estate technology created to cooperate with lives that are busy. This simplifies paperwork, client interaction, and simple solutions to complicated issues.

If you know of any other incredible real estate applications, please feel free to share!