Articles on Real Estate Investment

Ride the Tide of Foreign Investment

Overhead view of New York City or Manhattan at dusk, with Empire State Building in foreview

Photo courtesy of Anthony Quintano

Last week, the Adirondack Mountains in New York acquired their very own international investor, Jack Ma, who is a multi-billionaire and founder of the Alibaba Group. Ma purchased over 28 thousand acres for $23 million, in an effort to conserve the land. In early May of this year, Ma stepped down from his position as CEO of Alibaba and climbed right back up as Chairman of the Board for The Nature Conservancy in China. 

Record High Residential Spending & Foreign Investments

Foreign Investments Manhattan New Construction

Image via Flickr

The Real Deal recently reported that new residential construction cost has hit an all-time $12 billion high over the last year. Spending shot up 73 percent in 2014 to $11.9 billion, the former record even after accounting for inflation. Despite spending reaching new heights, the actual number of new units constructed in 2014 has not increased proportionally; units are being underproduced. Only 20,329 units were created last year, just 11 percent more than the year before, but far less than the 30,000 new units created annually between 2005 and 2008.

NYC: Buying Apartments Before They Are Built

New York City real estate trend: Buying luxury apartments before they are built

With residential real estate inventory levels as low as they are in New York City, it seems that people on the lookout for luxury condominiums in Manhattan are now willing to put their money down for homes even before they are actually built. With the demand for apartments showing no signs of diminishing, and the number of actual apartments for sale still at a minimum, people are now putting their hopes for new homes in the many new buildings that are rising up around the city. Besides being very impressive in their design and architecture, these rising structures have also managed to command top dollar in an increasingly competitive real estate market.

High Taxes Spark British Invasion of NYC

The English are increasingly investing in Manhattan real estateWatch out, Manhattan real estate: the British are coming. Currently faced with a wave of tax burdens in London, local property buyers are being provoked to take their business elsewhere. Back in March, the British government began cracking down on tax avoidance, focusing tax-collections on the city’s biggest buyers: foreign investors. According to a recent study, purchasers of London property priced over £2 million are paying twice as much in transaction taxes than those buying in New York. So from the Irish buying out Midtown to the French election prompting wealthier residents to relocate, many Europeans are finding New York City to be a safe haven for their investments, and the Brits are just the latest group geared to make an impression on our market.

Down Town: Home Prices On Decline In NYC... And Everywhere Else.

Home prices in New York City are in decline

Many words might pop into a prospective home-buyer's head while browsing New Construction Manhattan's NYC condo listings, but the word "cheap" probably isn't one of them. There's a reason why Manhattan apartments have proven to be such a good investment, after all -- a limited supply (as discussed earlier at the NCM blog, possibly very limited in the near team) and virtually unlimited demand has ensured that Manhattan apartments tend to hold their value very well. Of course, if you are approaching it from a buyer's perspective, it might seem more correct to say that Manhattan apartments tend to stay quite expensive. But while the Manhattan real estate market remains one of the most competitive and expensive real estate markets in the world -- and while New York City occasionally seems to be its own independent country -- the market for NYC condos is not immune from the effects of the broader U.S. economy. Which is all sort of a long way of saying that, while Manhattan apartment prices remain high, they are in fact notably lower than in years past. No, really.

Eternal Power Struggle Corner: New York Times On Extra-Tense Relationship Between Brokers And Apartment Buyers In NYC

Investing in NYC CondosWe say it seemingly every day: the statistics all indicate that the market for NYC condos is better than it has been in a long time, and improving every quarter. And yet, as you surely know if you've even walked past a newspaper over the last year or so, people in this world -- and in New York City -- are pretty hacked off. About... well, name it. Fantastically irresponsible, totally trumped-up real estate scandals that play loathsomely to the smallest-minded among us? Yeah, we've got that. But there are legitimate causes for concern in this world and city of ours, and the broader uncertainties of the national and global economy are among them. So while we can tell the world, several times weekly, that the Manhattan condominium market is going strong and that NYC condos remain a really great investment, it stands to reason that a city that's even more on edge than usual, people are a little more jittery about buying an apartment. Or it could be that people are just kind of difficult. At any rate, according to The New York Times, brokers, sellers and buyers have entered a new era of contentiousness. To which we at the New Construction Manhattan blog would like to say, without qualification or any quantitative evidence: nice try, but no.

Why Manhattan Real Estate Buyers Should Take Advantage Now

Manhattan real estate Investment

Judging by these figures, even Manhattan is starting to feel the pinch. This means it's a pretty bad time to buy Manhattan real estate, huh? Not exactly...

The current financial climate is bad for builders...

Inventory is piling up. Buildings are hard to move. There's little urgency for new buildings. Loans are becoming a real sticking point. Buyers with serious money are getting, well, picky!

...But good for buyers!