Well, I’ll comment on my experience over the last few weeks with one-bedrooms.
People are out, buyers are buying.
Lenders are lending, and coops, on the whole, are approving.
While I have seen two board turndowns in the last 4 months, both had their reasons.
1st turndown- coop board decided that they didn’t want a part-time resident.
This makes selling an alcove-studio difficult in a building which requires 35% down, but so be it.
The second turndown was one of 4 turndowns.
I cannot substantiate, but I believe the price for the sale was too low.
It’s all hearsay- and it’s frustrating- but ultimately, as I tell all of my clients, I do not make the prices.
The market makes the prices.
I give my best advice on pricing and we wait and see.
What’s been happening with one-bedrooms?
We’re putting together deals very, very quickly.
Usually within 2-3 weeks of listing a unit.
We’re seeing busy open houses (10-15 groups), active offers (2-3 usually) and educated buyers.
I would say the troubling trend is the buyers who continue to think we’re in 2009.
They see old pricing, and are not getting properly advised on offers.
If a buyer submits a low offer, I will always ask WHY.
So that I can communicate this to my sellers.
If I just get “Well, my offer is all cash, and you should get a discount- my counter is that it’s an extra 4-6 weeks to get approved- but generally a coop-approvable buyer can always get a mortgage – so it’s a bottom line comfort level, but not a major bonus.
I’m seeing prices on smaller units returning to par, which has not been the case for some time.
I’m relieved to see this, as are sellers. More importantly, though, there is lots of comfort seeing activity, volume, offers, and action!
I do not long for the days of tumbleweed open houses.
That’s all for now, folks.
I’m going to be writing smaller, more frequent, blog posts.
Let me know what you think! -S