Experts advise buyers and sellers to get back to basics
March 06, 2009 11:00AM By Sara Polsky
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Industry experts urged buyers and sellers to get back to real estate basics last night at "Changing Market: Making Sense of Manhattan Residential Real Estate," an annual panel at the 92nd Street Y hosted by Paul Purcell, co-founder of Charles Rutenberg Realty in New York. The speakers, Pamela Liebman, president and CEO of the Corcoran Group, Jonathan Miller, president of Miller Samuel and Alan Rosenbaum, president of Guardhill Financial, spoke to a crowd of more than 125 people, including many potential buyers and a few hopeful sellers.
"We lose sight of what real estate is really interested in doing," Purcell said. "To my parents' generation, their goal in buying a home was to give their family a place to live … they bought it for the long-term hold."
New Yorkers tend to view apartments like stocks, Purcell said, looking at the value of their apartments every day. But, he said, apartments shouldn't be treated like commodities.
"You're buying it to live in it," Liebman said.
At the same time, the panelists said, there are significant opportunities out there for buyers who are willing to look at the buying process as a business decision.
"Buyers are very empowered. They can be very aggressive in their bidding," Liebman said. Many sellers are a year behind the market and co-op boards are a year behind the sellers, Miller added. But other sellers are responding to buyers' lower offers.
For a buyer, "it's still important to have an emotional connection to the apartment -- as long as it's at the right price," Liebman said.
Manhattan home prices are down about 25 percent compared to February 2008, Miller said. He said he sees particular opportunities for first-time buyers.
Most sales now are taking place in the under-$2 million market, and many of those sales [are] in the under-$1 million market, Liebman said.
As the market drops, so will what Liebman calls the "peripheral stuff," like the amenities in many Financial District buildings. "It's all about the basics: good floor plan, nice view."
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Comments
Anonymous
Funny 2 years ago these morons were telling everyone that real estate was a great INVESTMENT
Comment #1 Posted By: Anonymous 03/06/09
Anonymous
yeah i fail to see the logic in calling these people "experts"
Comment #2 Posted By: Anonymous 03/06/09
Anonymous
To #1, it's a great investment if you live in it and not consider it as a stock purchase that you will resell immediately...Stupid...
Comment #3 Posted By: Anonymous 03/06/09
Anonymous
#3 - a home is usually the largest investment a person (or family) will make, so as an investment it is actually a very important business decision, only people who have an interest in selling apartments are telling people to "get back to basics" everone else knows that we're not even close to the bottom and should WAIT A WHILE BEFORE YOU BUY...so #1 you're the moron.
Comment #4 Posted By: Anonymous 03/06/09
Anonymous
They experts, because all of these people still have money in the their pockets and they all still have their companies and most people would think they know what they are talking about. You have someone better you would like to consider an expert? Please share their names.
Comment #5 Posted By: Anonymous 03/06/09
Anonymous
How cute. Calling the real estate GIANTS such as Pam Liebman and Jonathan Miller morons.... They will be around throughout this downturn and will continue being the authorities when NYC is on its feet again. I am one of Paul Purcell's agents and he is smartest broker I have encountered so far in my own short 4 years in Real Estate, besides being warmhearted , kind, genuine and well meaning human being. The above comments are offensive, filled with poison and IGNORANT in the least. Real Estate and us who work in this field could not have done this to you - you need to get the hate out of your hearts and look at how and why you got to be this way. Blessings.
Comment #6 Posted By: Anonymous 03/06/09
Anonymous
Did you put the word "giant" in front of Pam's name to make me laugh? It worked. That aside, four years in this real estate market affords you zero credibility- get through the next few years, and perhaps then you'll have a bit more to offer.
Comment #7 Posted By: Anonymous 03/06/09
Anonymous
That looked like an interesting event. Why don't they advertise things like that in The Real Deal, so we can all attend?
Comment #8 Posted By: Anonymous 03/06/09
Anonymous
Because they knew that it would create a shortage of eggs and tomatoes citywide.
Comment #9 Posted By: Anonymous 03/06/09
Anonymous
#9 - I coudn't have put it better...oh, and #6, you're a f---king moron.
Comment #10 Posted By: Anonymous 03/06/09
Anonymous
keep in mind,the options for money:spend/save/invest.still,with all the finanancial turmoil,and factoring in the uncertainties of hindsight and foresight-id still bet on manhattan real estate!beware the amateur no-nothings,do-nothings,accomplish-nnothings who gushout worthless,nihlist doctrine aplenty on blog sites!
Comment #11 Posted By: Anonymous 03/07/09
Anonymous
#6: the point everyone here is trying to make if your so-called giants are not ignorant in giving out mis-guided advise a couple of years ago, then that would mean that they knowingly lied about the state of realestate in NYC. Which is worse, you chose?
Comment #12 Posted By: Anonymous 03/08/09