how much would you pay for this apartment?

http://newyork.craigslist.org/brk/rfs/229543083.html

its not my place but im just curious what it would go for.

how much would you pay to
A. rent it
B. buy it

seems slightly high for a studio with such a small kitchen, but the location is good and it's large for a studio. i'd probably offer something in the low $200s, given the current buyer's market. i have no idea on going market rents though.

Subject: Re: how much would you pay for this apartment?

jgregorie wrote: http://newyork.craigslist.org/brk/rfs/229543083.html

its not my place but im just curious what it would go for.

how much would you pay to
A. rent it
B. buy it

What's the sqft? 400-450? I'll guess
A) $1200 p.m.
$230K

No one should pay over 189K for a studio there.

I've seen studios further from Flatbush (Wash/Grand) going for a lot more than 249. Would I pay that? No. I'm sure someone would though. I bet they can get 270 for this place.

On the other hand, maybe I'm *totally* off the mark.

It's hard to tell how large that place is, but if there were a window in the bed area, they could slap up some sheet rock and call the thing a one bedroom. I wouldn't be surprised to see that go for 249k. I bet you could get at least $1400/month for it for rent.

from the way the photos are taken, the apartment looks like it's probably smaller than some folks are assuming - I'd love some square footage numbers, too.
the price seems pretty high to me, and as an investment property I don't think you could cover the mortgage and fees on rent, even if you turned it into a one bedroom.

alafairnadia wrote: from the way the photos are taken, the apartment looks like it's probably smaller than some folks are assuming - I'd love some square footage numbers, too.
the price seems pretty high to me, and as an investment property I don't think you could cover the mortgage and fees on rent, even if you turned it into a one bedroom.

If you find a (single) apartment in PH where the rent would cover the mortgage and fees, let me know and I'll sell mine and buy it.

If you live in a place to get the tax break, subtract out principal repayments, the interest plus tax plus fees might get up towards the rent you'd pay for that place. After a few years you can break even if you own, but you can't buy somewhere with a mortgage and have it generate income at the moment, because yields are less than 5%, not as good as a CD.

This is why prices have to fall &/or rent has to rise in PH; there's currently no incentive to buy if you're renting.

doctorj wrote: [quote=alafairnadia]from the way the photos are taken, the apartment looks like it's probably smaller than some folks are assuming - I'd love some square footage numbers, too.
the price seems pretty high to me, and as an investment property I don't think you could cover the mortgage and fees on rent, even if you turned it into a one bedroom.

If you find a (single) apartment in PH where the rent would cover the mortgage and fees, let me know and I'll sell mine and buy it.

If you live in a place to get the tax break, subtract out principal repayments, the interest plus tax plus fees might get up towards the rent you'd pay for that place. After a few years you can break even if you own, but you can't buy somewhere with a mortgage and have it generate income at the moment, because yields are less than 5%, not as good as a CD.

This is why prices have to fall &/or rent has to rise in PH; there's currently no incentive to buy if you're renting.

unless you get an obscenely undermarket deal. but I'm pretty sure I got the last one of those suckers floating around.

hello wide-angle lens.

i wouldn't pay it, but knowing what people pay in my building on washington, they might even be able to rent it out for $1500-$1600 b/c it's off the busy street and appears to have natural light.

and i've seen even smaller for $250k and not//poorly renovated.

The location definitely counts for a lot. Unlike most of the overpriced "Prospect Heights" realty ads you'll see, this place is actually in Prospect Heights.

yah

it is a nice location but its kind of a small place and could use some kitchen and bathroom renovation. i saw on an older post that said it was 400 sq feet.

they are totally using some kind of wide angle lens on those pics.

still thats a nice quiet clean street and near everything.

i would say 225K would be a good price

jgregorie wrote: i saw on an older post that said it was 400 sq feet.
i would say 225K would be a good price

I agree. At that price, with 30y*6.25%, 20% down, mortgage is $1108.29. Total carrying is $1558.36, which I don't think you could rent it for. At 25% tax bracket, 50% deductible on the $450, you might shave off $50 in taxes, and $200 from the mortgage initially, or about $1300. I think that's on the high side of what you could rent it for. If you subtract your initial principal repayments of about $175, you're down to $1125, which I think you could rent it for (ignoring the forgone interest on the deposit, and closing costs). So it's line-ball to buy and occupy for the first few years, and no kind of business to buy in order to let.

A couple of years from now, I'm guessing the price to buy will be about the same, and 10-15% more expensive to rent.

A month later... looks like it hasn't moved, and they dropped the price to 245K.
http://newyork.craigslist.org/brk/rfs/243964816.html

yep

it is a shitty time to try and sell right now. the housing market doesnt know which way to go and its only 3 weeks till christmas.

im sure thing will pick up in the spring.

must be really frustrating for the owner, you hear for 3 years now how the real-estate market is on fire and how prospect heights is the new hot neighborhood. then you put your place on the market and nobody shows up to your open houses.

when i went to the open house for the place i live in now there were at-least 30 people who showed up.