When it comes to real estate, New York City consistently ranks at or near the top of the most expensive markets in the United States. Living in New York City is a glaring contrast between the overpriced and overbuilt luxury regions and the more affordable communities where people are competing for apartments and houses. In addition to communities where individuals are willing to pay a premium for the privilege of living, New York City’s real estate market has a lot to offer that might cause you to rethink making a move. Here are the top seven facts you might not know about New York real estate.
1. Manhattan Homes Listed On The Market Take Short Time To Sell
The competitive nature of the New York City real estate market does not mean that residences in Manhattan stay on the market for as long as you may imagine. According to StreetEasy Market Reports, New Yorkers trying to sell their houses take a shorter time to complete final transactions. Homes in Manhattan were on the market for an average of 117 days, which is the longest period in the city’s history.
2. The Most Expensive US Residence Is A $238 Million Penthouse In New York City
According to the Wall Street Journal, Business Insider’s Katie Warren revealed that hedge fund investor Ken Griffin purchased the three-floor, 23,000-square-foot penthouse at 220 Central Park South. It is one of the most expensive US residences ever sold. Because New York City penthouses are so pricey, they are not selling much, hence; real estate firms divide those into smaller, cheaper units. Currently, New York real estate buyers are interested more in economical condos for sale and bungalows for sale.
3. New York Is the Oldest City
New York dates back to 1624, making it one of the oldest cities in the country. Since then, New York City has changed over time and is one of the fastest-pacing professional markets. That is why it has become one of the world’s most famous cities in such a short period. In the late 1890s and early 20th-century, migrant waves filled the city quickly. You can still witness a lot of new buildings, houses, and sections of areas renovated up to today.
4. A Yearly Increase in Living Standards In New York City
In New York, yearly rental prices are higher than in other cities. According to statistics, Manhattan’s average monthly rent in February 2022 was $4,906, up 29.4% from the previous year’s cost ($3791). The average rental price increased 7.4 % ($4570) from January 2022 to January 2022. On the other hand, the average rental price in Manhattan in February 2022 was $3,700, a 23.5% increase from the previous year. Check out the limited condos for sale and bungalows for sale prices here.
5. You Should Be Making At Least $150,000 A Year
Renting a single apartment in New York City gives you a good idea of how much it would cost to buy a home in the city. At the very least, you would need a salary of at least $125,000 a year to have a quality living standard. The typical American worker would need three years to save this much money. If you desire a basic but pleasant life, this is the way to go. The more money you make, the better off you will be financially. The cost of living goes up when you share an apartment with your family.
6. More Than 100 Billionaires Live In New York
Although the United States has roughly 500 billionaires, New York City alone has approximately a hundred billionaires. For the vast majority of countries, this number can be a dream. It can only imply that the city’s residents enjoy a good standard of living. Billionaires do not have to worry about the cost of living, while the average person has to work extra hard to keep up.
7. Only A Fifth Of Brooklyn’s Housing Units Is Offering Rent Reductions
With fewer buyers and more renters in New York City, property owners have the upper hand and are less likely to offer lower rents to potential tenants. Over a million New Yorkers are below the federal poverty level. More than 1.5 million New Yorkers were living below the poverty line by NY1 in 2017. There is a terrible homeownership rate of 8.8 percent in New York’s poorest communities, many of which are in the Bronx, compared to the metro area’s 50 percent average.
When rented out for an extended period, NYC real estate is most likely to be a profitable investment. You cannot expect to earn money by living in the most expensive house in New York City if you are trying to make a profit. Consider a New York City investment property as a potential future retirement home or a place to live while you are still in your twenties or thirties!