Mistakes to avoid when buying an apartment in Manhattan
Buying an apartment in Manhattan is a pretty huge deal. So, before we say anything else, we have to congratulate you. Now that we said it we can keep going. As you well know it’s not so easy finding a good apartment in Manhattan, especially in the last couple of years. That’s why you will need any help you can get. We are here to help obviously but we are also here to show you who can be there for you in person. What are some typical mistakes NYC (Manhattan especially) first-time home buyers should avoid? Is it preferable to stay away from your friends who are real estate agents or should you seek their advice? We’ll go through some typical first-time home-buying blunders to avoid in this area and point out some uncommon blunders that could cost you a lot of money down the road. Now we can begin.
Do you have any realtor friends?
Before selecting a consultant for the largest investment in your life based only on the premise that your friend is a realtor, pause and consider your options. Being guilt-tripped into partnering with your realtor pals is one of the simplest first-time home purchase mistakes to avoid in Manhattan. This is a brutal area and you need a real shark. Maybe your friend is a good realtor but you should still check all your option and find the best possible Manhattan (local) realtor. In the meantime, you should still be alert and look out for apartments online. There are so many available websites that will help you in your quest. Our favorite is always Zillow.com but this is not the only website.
Will the lawyer handle all the due diligence in this area?
This is one thing that people often assume and yet it’s wrong. Despite the fact that in NYC lawyers typically conduct both financial and legal due diligence for their buying clients, it’s a common buyer’s mistake to expect they’ll be particularly comprehensive in their study. The truth is that lawyers are simply being paid a certain sum for the transaction, despite the fact that they have a fiduciary obligation to operate in your best interests. Therefore, it is not a smart idea to rely solely on an individual who is not quite as invested in the deal as you are. A seasoned buyer’s agent is going to be able to show you some frequent pitfalls to avoid if you have one by your side. A professional buyer’s broker will offer advice on what research you should conduct on your own so you can verify your attorney’s work. We already told you that buying any kind of property in Manhattan is not very easy.
Make sure to research closing costs before buying an apartment in Manhattan
Forgetting to inquire (and do some serious research) about closing expenses with your agent is a classic rookie mistake. Closing costs are typically not even considered by first-time homebuyers until it is too late. Additionally, the majority of real estate agents have little to no knowledge of the initial closing fees in Manhattan. Because of this, you must be extremely attentive when selecting a representative for you in a crucial life transaction. Buying an apartment in Manhattan is so much more than finding a place you like.
Find a good home inspector
You will need someone by your side once you find a place you like and you are sure that you want it. You will obviously need movers like Movers Not Shakers but we are talking about something before. A home inspector can be with you to make sure that the apartment you like is worth all the money (and in Manhattan, it can be A LOT of money).
The most common lie you will hear from realtors
There are many realtors out there (especially in NYC) who claim that their services are free. Although purchasers in NYC don’t typically pay buyer’s agents directly, this does not imply that the realtors’ services are free. The cost of an agent is simply factored into the price (of an apartment) because sellers in NYC pay all commissions, including the realtor commission.
To put it another way, even though the buyer does not pay the agent explicitly, they essentially pay the cost by driving up the purchase price. But after all that is done, you get to move to your new home in the center of the world. How amazing is that? You will be needing some help to do so. If you have experts by your side, moving and settling in will be much easier. Before we go let’s talk about old listings. That seems to be the taboo these days.
Old listings and should you give them a chance
We are talking about apartments that have been on a market for a longer period of time. Giving them a chance might be good for you. This rule applies to all Manhattan neighborhoods. With sellers of older listings—typically classified as homes that have been on the market for 90 days or even more—you have far greater negotiation leverage. The price could be lower. It will frequently be clear that only you are bidding now. Since you won’t have to participate in a competition for the seller’s best and final offer, you’ll have a significant edge. Among the most unpleasant mistakes, first-time home buyers in Manhattan should avoid is concentrating primarily on newly listed properties. A new listing will typically draw a lot of interest and bidders if the price is reasonable. You’ll probably use a mortgage to buy your first home. Therefore you’ll need a mortgage contingency.
That would be all from us
This was pretty much everything we wanted to warn you about. When it comes to buying an apartment in Manhattan things are pretty straightforward. Avoid the mistakes we just showed you and you will do just fine. Good luck!