Looking buy Short Sales in Manhattan New York? Facts and myths you should understand before you want to buy in Manhattan New York Short sales. We receive buyers' phone calls and inquiries daily on wanting to buy Short Sales in Manhattan New York, it is important for buyers to have the right expectation before they start the property search process.
What is a Short Sale in Manhattan New York? The definition of a short sales is no different if you are in New York, Florida or California. The lender in this case has to appprove of the sale since they are absorbing the loss, the difference in price between the outstanding loan and the selling price. The selling price is NOT going to be 'a bargain basement price', the lender will only approve the sale when it is a fair market price. Manhattan Short Sales Buyers please note: that you will not be able to buy any condo in Manhattan New York fifty cents on a dollar in a Short Sales in Manhattan New York (or any other market place).
Who are the Short Sale Sellers in Manhattan New York? Most of the short sale sellers in Manhattan New York are buyers who bought the new construction condos in the last five years or less. In the last five years or so, there are surplus of New developements and constructions. Buyers were buying new construction the first day the sales office open, most of the buyers buy pre-construction without seeing the actual apartment units, everyone bought off the floor plans and sales office presentations. The average price per square foot were over $1,100 and up to $5,000 per square foot.
Where are the Short Sales Properties in Manhattan New York? Since most of the Short Sales in Manhattan New York are new constructions and developments. These locations are usually Upper part of Manhattan (Morningside Heights, Harlem, Inwood and etc.), Midtown West (West 40s & West of Tenth Ave), Upper West Side (West 59th Street to West 70th Street & West of West End Ave), Upper East Side (East 90s & East of Second Ave to FDR Drive), Midtown East (East 50s & East of Second Ave), Financial District (Various new developments).
Why are Short Sales Properties in Manhattan New York concentrated in these locations? These are the locations that either the property owners did not have much of equity at the time of purchase, they finance 90% or more with high monthly payments (Mortgage + Monthly Maintenance fees), or most of these locations had saturated new developments and new constructions in the last five years, many owners have put down 10% or less at the time of contract signing, and now the market is different, they are finding what they owe the bank is more than what their properties are worth in today's market place and with huge monthly mortgage payment. Although refinancing may be an option for them, many of the banks nowdays are only refinancing a portion of the property value in today's market especially in New Construction buildings.
Manhattan New York Short Sales Buyers Please read our series below:
New York-Manhattan Short Sale Part 1
New York-Manhattan Short Sale Part 2
New York-Manhattan Short Sale Part 3
New York-Manhattan Condo Listings
If you are a buyer that is looking to buy a Short Sales Property in Manhattan New York, and not sure where to start, please read through our Manhattan New York Short Sales blog Series and contact us at (917)837-8869 or morgan.evans (@)elliman.com.
If you are a seller that may be thinking of doing a short sales in Manhattan New York and not sure if you are qualified, please contact us at (917)837-8869 or email at ehsu(@)elliman.com for a confidential conversation. We have experiences working with short sales sellers here in Manhattan New York, we are confident that we may be helpful to your specific situation.
*Manhattan Short Sales Buyers Must Know was first posted at www.Manhattan-Condo-Living.com*
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Eileen, Those are some lovely areas of Manhattan to buy in although I didn't realize there were so many short sales in NYC. I'd have to imagine they'd go fast in any market.