It’s Not Always a Good Time for Everyone to Buy

TrueGotham, in part, would like to dispell the notion that all real estate professionals are always telling everyone to buy, buy, buy! HHRealty Group is not helping us change that image:

No one regrets buying in New York and if you see something you want and you need a home you’re crazy not to take it. All people who seriously buy and have sold and bought over the years in this area are saying this. We are not comparable to other markets. Take a look at the population vs. housing ratios in these parts. Only 20% of people own here anyways, if that! If you have the money and you were fully prepared to buy don’t not do it because you read an article saying it was a bad idea. The market was crazy and now its correcting itself which is good for everyone with the exception of the sellers and top real estate agents.

It’s not a bubble bursting and nothing abnormal has occurred. If anything worry that interest rates are going to rise and if you’re financing you won’t be able to afford as much as you could– a concern should be to buy something sooner rather than later. When everyone else is getting cold feet you have negotiating power– why not choose to be thrilled at these media reports as a buyer?– it cuts out the competition and scares the sellers and you have more negotiating power.

If you’re buying a home in a neighborhood that is insulated and in high demand if you sell in a few years you will make a profit– unless some kind of catastrophe occurs. Walk around and you can smell the growth in this city, why just let the super rich profit off of it. Buy now– but in the end it’s your decision.

My first question is, HH Realty Group,  who are you? And how long have you been around?

This “love letter” to buyers is laughable. Fortunately, I believe that most buyers are sophisticated enough to laugh at this letter as well.

Sure, it makes one good point: that the current market is more buyer friendly than we have seen in about eight years. But it’s insulting to anyone who has been through a difficult market. Property was on the market for as long as TWO YEARS (circa late 80’s early 90’s).

At that time, when I received a phone call from a seller wanting to give me an exclusive, I and many of my colleagues were reluctant to take on property that wasn’t somehow “special.” In addition, many of those who purchased in 1986/87 had to wait approximately seven or eight years (some even longer) before they could recoup the money they had sunk into their apartments. Those who were forced to sell before then, often lost money and some quite a bit. There were even those who handed there keys to the bank and walked away from their apartments defaulting on their mortgages before sinking more money into their “investment.”

Look, I don’t believe we are headed for this type of environment now, but I do believe it is irresponsible for anyone to suggest to the entire buying public that you know for a fact that if they purchase something today, they will make a profit “in a few years.” That’s simply impossible to predict. A more accurate statement would be purchasing Manhattan real estate for the long term is a relatively safe bet. We as real estate agents are constantly getting slammed by the public for allegedly always saying “now is the right time to buy.” I would change that to “now is the right time to buy for some and if you are honest with your well-informed agent, they can help you to determine if it makes sense for you.’”