Can You Afford to Buy a New York City Condo?

Almost all of New York City’s newer buildings are condos. Buying a condo is basically the same as buying a single-family home. Your deed guarantees ownership of the entire inside of the unit, including surfaces of the walls and floors. In addition, you share undivided interests in elements included with the building.

Purchasing a New York City condo can be stalled by the board of directors. This only happens if the group is opposed to the buyer coming in; however, the only way they can officially prevent you from moving in is by buying the unit themselves, which rarely happens.

Costs to Consider

In addition, the more amenities your condominium offers, the bigger the building and the more staff required to maintain the building, the more likely it is that you will have higher monthly costs that may continue to rise.

The structure of condo ownership isn’t too difficult, but some contracts are prone to a few quirks. Common charges include the mortgage payment, which does not include property taxes. This is very important to remember, especially because the government will send you a bill directly.

The down payment for your New York City condo will be around ten percent of the purchase price. The bylaws of the property owners determine this amount specifically. If a mortgage from a bank is required, then the down payment can be as much as twenty percent. If the buyer qualifies for FHA loans, the amount will only be three and a half percent.

When going through a bank and using a mortgage, the closing costs are typically much higher. The recording tax will be one point eight percent of the total mortgage amount if your loan is under five hundred thousand dollars. For around five percent of the mortgage price, your lender will also require title insurance protection.

Other Factors

It’s not surprising that despite all of the costs and the seemingly difficult purchasing process, most New York City condos have much better amenities than apartments. Many condos offer perks such as washers and dryers, roof decks, playrooms, and even quality fitness centers.

However, it is also important to consider location. Many of the newer condos were built during the most recent development boom, which means they will be located in potentially difficult areas such as Harlem, the Financial District or Midtown West.

It is expensive and difficult to locate affordable condos in New York's most desirable areas. Central Park West and West Village are some of the most challenging areas to get into these days. It is possible, however, to find the condo of your dreams with a certain amount of dedication, money, and timing.

How to Negotiate the Best Deal on NYC Condos

Have you found your dream house, but scared that the price will prevent you from buying it? Don’t be afraid; it is normal for NYC condo sellers to quote a high price at the beginning, because very rarely to they end up selling it at the same price. How? In any real estate transaction, negotiating is a crucial part of the process when the buyer can lower the price of the property and get a good deal. Outlined below are a few helpful tips that will help you during the negotiating phase:

• Do research on the current real estate market. It is essential that you are aware of the prices for similar NYC condos to the one you are looking at. This is the best bargaining tool because it will lay the foundation of your price arguments. With this information, you can begin the negotiating process by quoting a slightly lower figure than the price of a similar property recently sold on the market.

• Establish what is driving the seller to sell his/her NYC condo. Is it divorce, a new job, or a relocation? Based on how eager the seller is to get rid of the property, you can drive a harder bargain and negotiate a better deal.

• Use multiple listing services; if they are not readily available, your agent can help you ge them. These services normally state the amount that the seller wants, and can help you determine if you are able to pay an amount similar to the one quoted by the seller.

• Take advantage of timing. Usually a couple of months after a condo is on the market, the seller starts to panic because buyer interest in their property starts to drop. When this happens, most NYC condo sellers get anxious to sell their house, and are more likely to accept a lower offer. They are afraid that if they wait too long, the only buyers interested will offer a price that is too low. Use this mentality to your advantage, by offering your negotiable price at the right time.

• Only consider real estate that you can afford. If you have a good amount of money, you can search for updated NYC condos with more features. This is a good approach if you have enough time to spend going through the available selection of properties and when the market prices are constant /not changing.

• Avoid closing costs. In tight markets, avoid asking the seller to add the closing costs to the house value (price). It would be wise if you drop the 20% and add the closing cost to your loan, instead of accepting 15% and pay for the closing cost.

• Avoid quality workmanship requests. Do not attempt to have the condo seller update the property before you buy it, because you run the risk that the remodeling or renovation job will not be up to your standards. It is easier to have them lower the price, and do the updating yourself.  

4 of New York's Priciest Condos

Hunting for a condo in New York City has never been for the faint of heart. With some of the priciest real estate in the world, shopping for a new living space in NYC can present a financial challenge to all but a very select group of the extremely wealthy. However, even the wealthy need a little help in looking over the options.

Budgets for Billionaires
720 Park Avenue may not sound like a bargain hunter's neighborhood, but with an asking price of just $27,500,000, this condo would definitely qualify as one of the more affordable in the selection of top end NYC condos.

This is a 14 room condo built in 1929 by Rosario Candela. With 80 feet of frontage onto Park Avenue, the unit gets lots of light and offers a wonderful cityscape view. There is a 30-foot living room, three fireplaces, original plaster moldings and herringbone floors. All in all, a nice little spot for the budget conscious.

A River Runs By It
There is also a 7,687 square-foot condo on the 14th floor of the Superior Ink building, located at 400 W. 12th street,  that offers a panoramic views of the Hudson River and lower Manhattan.

Designed by Robert A. M. Stern and developed by renown Related Properties, this yet to be finished unit is listed at $35.75 million. With construction still underway, this would be a good time to suggest any special amenities you might have in mind.

A TriBeCa Treat
Yes, there really is something nice south of Columbus Circle, and it can be yours for somewhere in the neighborhood of $45 million. This is the penthouse at 145 Hudson and was designed by James Carpenter to look like a crystal box in the sky.

The 7,500 square-foot, four bedroom, four bathroom duplex features a large wraparound terrace, museum quality insulated glass, and walls that allow art work to avoid damage from the sun.

A Walk in the Park
If you're looking for something a little closer to the park though, there is a nice little place at 50 Central Park South, just above the Ritz-Carlton, which is listed for $77.5 million.

This is a nice unit with two-levels, featuring a 900 square-foot living room on the 31st floor and offers one of the nicest views of Central Park of any of the NYC condos available. At that price though, you'd better hurry.

NYC Condos: Manhattan vs Brooklyn

New York City, proclaimed by some as the greatest city in the country and arguably the world, has five boroughs and each has its own character.  The choice of living in either Manhattan or Brooklyn can be a difficult one, but it should be based on your own personality and style of living.  NYC condos are a great choice for affordable living whether it be in funky Brooklyn or trendy Manhattan.

According to a 2011 study, NYC condos are dropping prices faster in Manhattan than in Brooklyn, most likely in response to the housing crash and current economic climate.  Since Brooklyn condos tend to be lower priced than their Manhattan counterparts, the prices have only dropped 7% on average.  While many realtors say that Brooklyn neighborhoods are being rehabilitated and remodeled thus creating newer condos with modernized spaces, the risk is still there.  There is a chance your property can fetch a larger profit during resale in a few years due to the up-and-coming status of a neighborhood, but there is also the risk of the property losing value due to unforeseen factors.

As a Manhattan dweller, you can enjoy the convenience of having the vibrant city right outside your front door, but those who live in Brooklyn are not far off.  Brooklyn is a borough designed for people who commute, with subway systems that can transport them to pretty much anywhere in the city.  Those who live in Manhattan have little to no commute at all.  Between subways, buses, and cabs, the public transportation system is highly efficient.  While Brooklyn condo owners are usually commuters, Manhattanites are usually pedestrians.  They enjoy walking or biking the city and being in the middle of everything.  In Manhattan, world-renowned restaurants (the city boasts five 3-Michelin star ratings), 24-hour bodegas and shopping, and an excellent night life.  A car will be a bit of an inconvenience if you own a condo in Manhattan, but there are always places to rent them if you need to get away.

Manhattan pedestrians also get the benefit of the best people-watching in the world.  People from all over the world are constant visitors.  Manhattan has seen an influx of people moving to the area from all over the world.  It is truly a melting pot of cultures and diverse people. NYC condos in Brooklyn have a diversity of a different kind.  There is a unique culture that is specific to Brooklyn.  An old-world style Italian bakery may be next to a new business.  Many fine restaurants from young chefs who cannot afford to rent spaces in Manhattan to serve the public have taken residence in Brooklyn.  Then there is DUMBO, which stands for Down Under the Manhattan Bridge Overpass, which is home to a bustling creative, artsy scene.  There is a waterfront, art galleries, shops, boutiques and cafes.  This area also boasts one thing that Manhattan does not have, and that is the best view of the cityscape that you can get without leaving New York.

With the convenience of NYC condos within Manhattan, the one thing you will sacrifice is space.  Brooklyn condos tend to be more spacious, in simpler and quieter neighborhoods, and overall more affordable, especially taking the size of the condo into consideration.  More condos in Brooklyn will also have rooftop terraces.  On a nice day, a robust walker can traverse the bridge into Manhattan for a unique commute into the city.

NYC Condos: The Best of the Best

Luxury is the key element for the most prestigious NYC condos. With sophisticated design, premium services and lavish amenities, these condos are the best of the best in New York City.


15 Central Park West

Two limestone-clad towers make up this impressive condominium complex, which was fully completed in 2008. The two towers conveniently sit on the corner of Central Park West and West 61st Street. They are connected by a glass enclosed lobby and a scenic 60 foot wide courtyard separates them.

There are 75 different floor plans to choose from, ranging from spacious one bedrooms apartments to full floor penthouses.  Additionally, there are 30 suites available for purchase to residents for guest apartments, staff or private offices. The apartments are designed with chef kitchens, premium appliances, luxurious bathrooms and generous sized bedrooms. The floor to ceiling windows offer stunning views of the city and Central Park.

Residents are provided with first-class amenities, including a private dining room where an in-house chef can accommodate up to 80 guests with full service catering. The 14,000 square foot fitness center features state of the art workout equipment, along with a brilliant 75 foot swimming pool and two steam rooms. Residents also have access to a 1,400 square foot meeting room, private screening room and a game room.


Time Warner Center

This stunning twin tower complex, which was completed in 2004 reaches from 58th Street to 60th Street. It is a mix-used building which includes 198 apartments, a 1,200 seat jazz theater, the Mandarin Oriental Hotel and several  upscale retail shops. Conveniently, there is also a Whole Foods Market located in the basement.

These luxurious NYC condos are designed with 60 different floor plans available. You can choose a spacious one bedroom, a full floor penthouse or a duplex with up to 4 bedrooms. In the custom designed gourmet kitchens you will find top of the line appliances. Hardwood floors, high ceilings, marble accented bathrooms and expansive walk-in closets give even more appeal to these exceptional apartments.

These twin towers offer an abundance of amenities to residents. There is a stunning glass enclosed 75 foot swimming pool, along with a deluxe spa situated within the state of the art fitness center. A well equipped children's playroom and a beautiful landscaped roof deck are also available for residents. Additionally, there is a 24 hour valet service, concierge and doorman ready to welcome residents home.


Trump International Hotel and Tower

At the corner of Central Park sits this famous 44 story mix-used tower, which was redesigned in 1997. The bottom 17 floors of the tower are home to 168 hotel rooms. From floors 18 to 44 you will find 166 brilliantly constructed condominiums.

The apartments have been designed with sophistication in mind. Innovative appliances sit among Snaidero Italian cabinetry and a full height center granite shelf in the gourmet kitchen. The luxurious bathrooms are designed with marble or limestone floors and walls and over-sized air jet and whirlpool baths. Large floor to ceiling windows provide amazing views of New York City and Central Park.

Residents can enjoy a world class spa and health club with top of the line equipment, which includes a stunning swimming pool. They are also provided with in-home dining and full catering services for guests or a romantic dinner for two. In addition, they have access to a dry cleaning and laundry valet, full service concierge and 24 hour room service. Banquet and meeting rooms are also available for residents.

These extraordinary NYC condos offer exceptional amenities to meet all of your living and pleasure needs. They are indeed the best of the best in New York City.

Financing NYC Condos

If you are ready to make the move and purchase one of the many NYC condos currently on the market, there has never been a better time than right now. Interest rates are at an all-time low and NYC condos are at their lowest prices in years. All of which makes for an opportune time to get your own little piece of the American dream, but only if you qualify for financing.

New York City is a place like no other, and that applies to its housing and lending options as well. There are several factors to consider before committing to the purchase of a condo. In order to get the best deal and the best rate, you need to thoroughly understand what all is involved in your getting qualified for condo financing. Ideally, this process should start a good two to three months before you actually plan on purchasing, in case you run into any unforeseen issues. For qualification purposes, your lender is going to run your credit, check your work history and factor your income and expenses; this is done to confirm you do qualify and for how much. Most lenders that loan on NYC condos are looking for a credit score of at least 740, for Private Mortgage Insurance (PMI) purposes; if you are not in that range, you may have to do some credit clean-up to raise your scores. In some cases, you might be able to get away with a lower credit score, but only if you can put more money down towards the purchase.

Regardless of where you go to obtain financing, the steps you must take are all going to be the same. The lending guidelines are strict when it comes to NYC condos, mostly because of the high risk of default on this type of property. To make up for that risk, lenders now ask for bigger down payments, higher credit scores and a bevy of other stipulations that must be met prior to loan approval. You still have choices as to the type of loan product you wish to obtain, but keep in mind that if you plan on going with any of the government-sponsored enterprises (GSE), such as FHA, Fannie Mae or Freddie Mac, the condo project you choose must either be an approved condo project at the time of purchase or the project must meet certain criteria. If you want to bypass the guessing game, you can search Fannie Mae for the current list of approved NYC condos.

Once you find the perfect condo, and before you make an offer, make sure to get all of the particulars on the project, particularly what additional maintenance or association fees you are expected to pay. All of these charges must be factored into your loan's debt-to-income ratio, and you have to fall within the strict limits set by the lender. An overlooked fee of just $25 dollars can sometimes get your loan denied. You definitely do not want this to happen once you are already in contract; having to bow out of a purchase might mean you have to forfeit your earnest money deposit. Another important fact to consider is that condo loans usually take longer to close because of all the criteria that must be met. To protect yourself and your interests, make sure your real estate agent and your mortgage broker are both familiar with the complexity of purchasing a condo, and all it entails. Buying NYC condos is not rocket science, but it does require a team effort and skilled dedication from everyone involved in the transaction.

Buying NYC Condos: Find the Right Neighborhood

Find the right New York City Condo

Whether you are buying or renting New York City condos or apartments, it is important to check out the neighborhood and make sure it is the right fit for you and your family. No matter how beautiful and convenient the place is that you have found, a bad neighborhood could put you out looking for a new place in a matter of months.

Make a Pros and Cons List
To know whether the neighborhood where you have found attractive New York City condos or apartments that you like is one that would mesh well with what you are looking for, you have to know just what you are looking for. Making a list of what you want and what you do not want is the first step in coming to an understanding of where you would be most comfortable. If you have children, you may want to know the location of schools, parks and theaters. I you like to eat out and prefer to be within walking distance of a few restaurants or eateries, put that on your list. Parking convenience could also be a deal breaker for you. Jot down everything you can think of on your “pros and cons” list.

Go to the Source
Once you have an idea of what you want, go after the answers. Meeting the people that are already in the neighborhood and talking to them about what is good and bad about the location is a good beginning. That way you are going right to the source. New York City condos attract a lot of different people with a lot of different needs and desires. If one neighbor says he hates the location, ask why. It could be that it is because his favorite sports bar is too far away, which is something that would probably have no impact on your comfort. The same goes for if somebody says it is ideal. Ask why it is ideal for him.

Make Calls
Some neighborhoods where there are a lot of very nice New York City condos also attract the wrong kind of people. Living in high crime areas can increase your stress. Regardless how many alarms you install, there is always that fear that you will be the next person robbed, mugged or burglarized. Fortunately, police keep records of crimes and they are more than happy to give you statistics and information about the neighborhood you are considering moving your family to. Ask what types of crimes are common and how often the neighborhood is patrolled. Newspapers that print police logs are also a good source of information about how often the police are called to the neighborhood and what is listed as the reason for the call.

Take a Tour
Relaxing at a local park or walking along a hiking path in the neighborhood is a good way to find out if you would be comfortable in one of the New York City condos you are considering for your next home. Graffiti and litter can be an indication that people in the neighborhood have values that are different from yours. Drug deals and young people running amok could be another indication. While you are relaxing, look for the good. Good people just like you are everywhere, and these are likely the ones you will be associating with.

It is exciting to begin a new life in a brand new neighborhood. Be positive about everything you see, but be vigilant, too. This could be the neighborhood you have been hoping to find.