Dead Neighbors Increase Property Value

It's true: if you live next to a cemetery, your property value is likely higher than it would be otherwise. Granted, living next to the dead may not be great for your social life, but there are several advantages:

1. You don't have to worry about another development project blocking your view or invading the space next to you.

2. Dead neighbors don't make noise, nor to they complain when you do.

3. People tend to be on their best behavior when near a cemetery. Statistics show that crime in the areas in and around cemeteries is lower than average.

4. Smell the roses: your dead friends almost always keep a nice, green area sprinkled with beautiful flowers. Even if they were trashy neighbors in life, their grave will likely be well-kempt by the city if not by loved ones.

So, if you're considering a property near the grave, rest in peace-- all in all, it's a pretty good deal.

Trick or Treat: The Manhattan Rental Market Summary

Manhattan Rental Market Summary:


THE BIG PICTURE: GOOD NEWS FOR LANDLORDS
75% of Manhattan real estate consists of rental properties. A loss of several thousands of rental apartments over the past few years (mostly due to conversions to condos) has generated a demand that sends prices soaring. Growth in the employment sector has also contributed significantly to rising rental prices.

Monthly rents have increased amongst all size categories. Last year, average monthly rents for studio apartments jumped 4.8% to $1, 4. 978. Prices rose 4.4% for one-bedrooms, 5.6% for two-bedrooms, and .7% for three-bedrooms. Vacancies are low: .86%.

Average monthly rent for a Manhattan...
studio: $1,965
1 bedroom: $ $2,597
2 bedroom: $3,724
3 bedroom: $4,753

A WINDOW OF OPPORTUNITY FOR RENTERS
It's Halloween season, and sometimes freaks of nature do occur. Luckily for you, the freak of nature is a decline in Manhattan rents. No, it's not a trick. Treats are on the landlord this season!

Here's some helpful info that I took from the New York Real Estate Group report:

Where Prices Decreased:

Upper West Side – This month, the Upper West Side replaced Midtown West as most affordable neighborhood for these units.

Upper East Side – Rents in all apartment sizes declined this month, with the exception of service studios, which posted a nominal increase.

Midtown - If you prefer to live in this bustling area, you’re in luck. Two-bedrooms in Midtown East fell by about $300 this month. Midtown West also saw significant price declines in most unit categories.

Gramercy Park - The doorman sector as a whole is suffering in this neighborhood, as rental prices decreased by hundreds of dollars in all apartment types. Tenants who were priced out of the neighborhood earlier this summer seem to have turned to non-doorman one and two-bedrooms and forgone luxury to remain in the neighborhood.

Greenwich Village - Although there is still demand for studios, all other apartment types here decreased in rent in October. Most noticeably, service 2-bedrooms fell by about $300.

East Village - Doorman two-bedroom rents finally dropped this month, after a steady climb since the end of the 2nd Quarter, thus signaling that even some of the strongest neighborhoods are seeing a reduction in demand at the start of the 4th Quarter.

SoHo -Two bedrooms are losing their appeal, as non-doorman two-bedroom apartment rents are maintaining their decline since January. In the doorman category, two-bedrooms continued their slide since May after briefly leveling off last month.

Lower East Side - Not surprisingly, this area continues to be the best value for doorman apartments regardless of size. Landlords cut rental rates for all properties this October even in this affordable neighborhood.

Tribeca - Landlords were forced to reduce rents in almost all units after pricing them excessively high last month. The exception are Tribeca’s non-doorman studio rents, which remained virtually the same.

Where Prices Increased

Murray Hill - A sure sign that Murray Hill continues to attract more of the young affluent crowd is the fact that regardless of service level, studios and one bedrooms are continuing to fare well.

Chelsea - One-bedroom apartments increased by about $150 in October, continuing its fluctuation only slightly from month to month. Chelsea seems to be the most realistically priced neighborhood, as this trend exhibits.

Financial District - Down below Chambers Street, new luxury developments in the Financial District keep doorman rent rolls up, rivaling prices in its sister neighboring Battery Park City. Deals can now be found in the studio and one bedroom non-doorman sector.

Battery Park City – Rental prices remained relatively stable in October, exhibiting only slight changes each month, as is typical of the neighborhood.


*information was also taken from the 3rd quarter report, 2007, CitiHabitats,

Real Estate By The Numbers

Apartment shopping, decorating, throwing a house-warming party...these are the fun things that come to mind when I think "real estate." Unfortunately, it's also essential to do some tedious number crunching in order to figure out if one can afford such fun. Luckily, there is a whole slew of pre-programmed calculators on Yahoo Finance that do all the work for you. Three cheers to the math nerd who programmed these:

Yahoo Finance Real Estate Calculator

Should I rent or buy a home?
Should I refinance my home mortgage (break even)?
How much home can I afford?
Comprehensive mortgage calculator
Compare a "no-cost" versus traditional mortgage
Should I pay extra points for a lower rate?
Compare mortgage terms (i.e. 15yr, 20yr, 30yr)
What are the tax savings generated by my mortgage?
Value of reducing or foregoing expenses
Should I consolidate my personal debt?
What is the return on my real estate investment?
How much am I spending?
How much should I save to reach my goal?
What will my loan payments be?

WHAT'S SMALL, UGLY, INSANELY POPULAR, AND $250,000?

Your very own, tiny parking spot, no amenities included. But good luck getting one-- people are actually lined up to purchase these little hot cakes. 246 West 17th street, which isn't even built yet, has a handful of lots for $225k each and there is already a long waiting list. A complex on West 28th street sold out its $165k spots in a jiffy, and even people in Boston are paying $250k per space (snow shoveling not included). Just in case this isn't in your budget, here's a link to a great bike shop. Remember to wear your helmet though-- there are a lot of angry drivers out there who can't find a parking spot.

Planning to Jump Off Your Fabulous New York Penthouse Balcony? WAIT!! Read This First

If I had a penthouse at the top of a NY skyscraper, I would absolutely consider gliding/parachuting/jumping off (with a big trampoline to catch me, off course). I've seen this done on the Letterman show, and it looks like good fun. There's a reason that they say "don't try this at home" though-- and it has nothing to do with your safety. So, ATTENTION ALL PENTHOUSE OWNERS and FRIENDS OF PENTHOUSE OWNERS WHO MIGHT LET YOU JUMP OFF THEIR BALCONY: JUMPING OFF A BUILDING IN NEW YORK IS PUNISHABLE BY DEATH.

According the dumblaws.com, anyway. Of course, if you plan to jump off to commit suicide, all your bases are covered. Even if, by some unlikely miracle, you bounce off the doorman's shoulder on your way down and manage to survive-- don't fret. The State of New York (or the doorman, if he's still alive) will kill you.

*Note: The jumper in the photo is stuntman Dar Robinson-- he's jumping from the CN building in Toronto.

Is Yours A Haunted House?

New York is known for its sketchy characters and it's rough, edgy history. Have your ever wondered if your million dollar one-bedroom apartment in the village used to be a crack den, murder site, brothel, or speak easy? Thankfully, walls can't talk, but there is a great blog that spills the beans on infamous New York real estate. Maybe your apartment is listed....or maybe it should be. Happy Halloween season!

Don't Like Your Kids? Donate Before You Die

Perhaps you don't particularly like your offspring, and you would rather get a tax break than turn your real estate over to them in your will. Or maybe your kids have run off to be hedonists in Thailand and they want nothing to do with your unsellable estate in Montana, which they will have to pay the taxes on. No problem-- donate your real estate, land, or even time share to a good cause. Get a tax break, and call it a day. There are several organizations that will help give away your assets. Here's a good place to start: http://www.realestatewithcauses.org/

Open House NYC

If you think that the realms of brick and mortar are as dead and dull as door nails, Open House New York will change your mind. It's not to be missed. There will be over 350 sites open and free to the public, and most of them are truly unique, if not downright crazy. Here are my top picks:

For Friday night, I recommend packing a flask of whiskey and heading to Roosevelt Island at 3am to see 120 spookily illuminated white tents. Each tent has an installation and is open from 7pm-7am. Here's a description from the website:

It proposes an archaeological dig as its metaphor; the search for artifacts is replaced by the search for a collective memory of Roosevelt Island. Sokoloski (the designer) told Metro that Roosevelt Island's past, filled with hospitals, lunatic asylum and other facilities, inspired him, "When you go deep the history is so fascinating. This will be a kind of digital archaeology, a model of exchange where the community will uncover the stories of the island’s past.” He also calls it "a metaphorical, archaeological dig into the history of mental health."

If you're still on Roosevelt Island between noon and 5pm, head to Octagon & Lighthouse Park, at 888 Main St/ 12th Road. As noted on their website, "America’s first municipal lunatic asylum was restored and converted into sustainably designed apartments equipped with NYC’s largest array of solar panels. The site features an art gallery, ecological park and green building exhibit, including information on Verdant Power’s Tidal Energy Project for the East River. "

To top it all off, I'll be heading home to hear Angels & Accordions at the cemetery in Sunset Park, Brooklyn. This week-end officially starts the ghastly, spirited Halloween festivities.

For those of you who don't appreciate my suggested lunatic/cemetery itinerary (perhaps you feel that you have enough contacts with the lunatics on the subway), there are plenty of other things to see. There's a long list of wholesome, green buildings that you can tour, for example. Check out the website for a complete line-up of events.

Spending the Declining Dollar

Declining dollar makes you want to hollar? Well, there are two sides to every coin. Now may not be the most profitable time for Americans to travel abroad or buy flashy lofts in London, but a deadbeat dollar does make our goods competitive (read: cheap) in the international market-- the real estate market, in particular. It's an ideal time to sell your place to a flashy investor from the UK, Dubai, or even Canada. Yes, for the first time in 30 years, the US greenback has hit rock bottom to par with the Canadian loonie. Ouch.

For those investors who earn Great British Pounds, loonies, or some other currency that isn't the US dollar, you may be interested in investigating investment opportunities in other countries that use the US dollar or peg their currency to it*. Here's a list:

Panama, the Bahamas, the Cayman Islands, British Virgin Islands, Bermuda, Belize, Qatar, Kuwait, The United Arab Emirates, Syria, East Timor, Ecuador, El Salvador, Marshall Islands, Federated States of Micronesia, Palau and Panama.


*Obviously, there are a few other things to consider (politics, real estate laws, etc.), besides thriftiness.




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Green: It's As Good As Gold

Yesterday, Yahoo News reported that New York City ranks in the top 10 most sustainable cities in the country. The average New Yorker generates less 2/3 less carbon dioxide than those in other states and we're set to reduce our carbon footprint on an even greater scale with a series of 10 major goals and 127 initiatives put forth in Mayor Bloomberg's well-received "plaNYC 2030." Of course, one of the key parts to developing a green city is investing in green buildings. Everyone seems to be following the latest trend--hotels, condos, and retail buildings alike have embraced the challenge to be sustainable, or at least environmentally friendly.

Corporate giants such as IBM, Bank of America, Goldman Sachs, Toyota, and JP Morgan Chase are leading the way by leasing green office space throughout the country. Developers are doing their part by grabbing up partially empty office spaces and giving them an eco face lift. Even the Whitehall Ferry Terminal is now equipped with solar electric glass panels that shell out 52,000 kWh of clean power annually.

This is obviously great for the environment, but it also translates to green in your wallet (thus the enthusiasm from developers and landlords):

Not only do green buildings save an average of 10% in utility costs every year, the property value hikes up by an average of 7.5% and rents run around 3% higher than non-green buildings. While this may not be great news for buyers and renters, it is certainly worthwhile for real estate investors.

For those that invest in the stock market, the Spectra Green Fund has outperformed the Russell 3000 for three years, largely as a result of the fund's investments in clean-energy stocks and green Real Estate Investment Trusts. Stocks in companies that manufacture the green devices that builders rely upon have also been significantly rewarded. The stock price for Johnson Controls, for example, has risen around 40% within the last year alone.

This "green gusto" is not likely to slow down. Millions of dollars of energy-saving and energy-producing plans have already been approved by the city. Green is obviously the new gold standard (pardon the terrible, colorful pun).

Real Estate Lingo

While real estate is expensive, so is advertising space. Here's a list of common abbreviations and lingo that you'll com across if you're searching in the papers:

dk -- deck
expansion pot'l -- Expansion potential means that there's extra space on the lot, or there's the possibility of adding a room/upper level (subject to local zoning restrictions).
fab pentrm -- fabulous pent room
FDR -- formal dining room (not to be confused with the former president, or the highway in New York).
assum. fin. -- assumable financing
fixture -- anything of value that is permanently attached to or a part of real property. (Real estate is legally called "real property," while movables are called "personal property.") Examples of fixtures include installed wall-to-wall carpeting, light fixtures, window coverings, landscaping and so on. Fixtures are a frequent subject of buyer and seller disputes. When in doubt, get it in writing.
frplc, fplc, FP -- fireplace
gar -- garage (garden is usually abbreviated as "gard.")
grmet kit -- gourmet kitchen
HDW, HWF, Hdwd -- hardwood floors
hi ceils -- high ceilings
in-law potential -- Don't worry, it's not what it sounds like. This refers to the potential for a separate apartment (subject to local zoning restrictions)- not necessarily meant for your spouse's parent.

Here are a few words that should send up red flags:

cosy: This means cramped. If you suffer from claustrophobia, ads with the terms "intimate"
or "efficient" are also not for you. Those with big furniture who do not want to sell it or
cram it into your cosy space like a game of Tetris are also advised against answering ads
with such lingo.
outdoor space: Don't get your hopes up before confirming that the outdoor space does not
actually double as a fire escape.
original retro: A nice way of saying that the shag carpet hasn't been changed since the 70's.

New York: It's Better Than Chicago

So, New Yorkers, you thought you lived in the best city in the world? Filled with art, culture, and opportunities? According to CNN's Money.com, not many people agree with us. We have even been shoved behind freezing, windy, landlocked Chicago. Not surprisingly, Second City came in second place in the polls, but this time, it's not playing second fiddle to New York, arguably the best city in the world. Surprise, New York: we're in 5th place!

Besides the Windy City, Dallas, Houston, and LA. also come before us. Granted, Texas and California do have better weather, but just wait 'til global warming kicks in-- we'll be right back up there.

Enough ranting, let's get down to the facts. The ratings are based on the following categories:

1. Affordable Housing: Granted, in terms of real estate, New York is one of the most expensive cities in the United States. But when the America's housing bubble (or festering blister, to be more accurate) bursts, New York is a-ok. The average price of apartments went up 8% and luxury apartments averaged an increase of 20% while the average for the rest of the nation declined by 17%. So yes, New York homes are more expensive, but buyers are also be more likely to make a bundle. So while the rest of America is cheap, this certainly doesn't pay off in the long run.

2. Plentiful Cultural Options: We've got this one trumped. From the Mermaid Parade to the Festival of the Animals, to those crazy Russian Dungeons...we've got every every cultural option there is. Last week I went to a pickle festival, and today I'm heading to the San Gennaro Festival in Little Italy.

3. Job Growth: Job opportunities and growth in New York are abundant and incomparable. When I was trying to be a hot-shot Financial Advisor on Wall Street, there was a former janitor at the desk next to me-- and he was making a killing.

4. Plentiful Leisure Activities: Relax, New York knows leisure. Whether you want to picnic in Central Park, take a horse and carriage ride, bask on one of our many beaches, or go to an expensive spa that's worth every penny, there are plenty of activities for the stressed-out, the lazy, and the hedonists who need leisure.

5. Sunny Weather: As I mentioned earlier, we can't compete with Texas or California on this one yet, but just you wait. Global warming is on our side.

6. Short Commute Time: Unless you live on Coney Island, the commutes really aren't bad.

7. Good Health Care Access: Note: This does NOT say affordable health care access, just good healthcare access. Is someone being pedantic with their ratings? Maybe Houston, Dallas, LA, and Chicago beat us on this one-- because they have good health care access-- but we have the best. And if that isn't enough, studies show that New Yorkers live longer than anyone else in the country by an average of 9 months (just enough time to make a baby before you die!). And although the life expectancy of all Americans is on the rise, the rate at which this number is increasing is highest among New Yorkers. There's a lot to live for in this city.


So, who rated New York as the Fifth best place to live instead of the first? I'm guessing that whomever is in charge of the CNN Money website made a type-oh. Five of them, to be precise.

Novo 64 Rolls Out The Red Carpet In Forest Hills

Good news: the inevitable spilling over of Manhattan luxury and design is FINALLY hitting Queens. Last week The Horizon Group literally rolled out the red carpet for the Grand Opening of their sales office for Novo 64, the new luxury condominiums that will be ready by next summer. The sales office is at 70-39 Austin Street and is offering pre-construction prices (highly advised). Here's taste of some of the amenities that will be on tap: a theatre, sauna, Zen garden...

More details are on the website: http://www.novo64.com/

Happy condo shopping.

Jazz Thursdays In Forest Hills

The Chamber of Commerce and local sponsors are putting on a free, outdoor Jazz Festival from 7-9:30pm on the first 3 Thursday evenings in August. The concerts will be held on 70th street, AKA "Restaurant Row."

Next Thursday will feature trumpet master Valery Ponomarev, who emerged on the international jazz scene when he defected from Russia to join the late, great drummer Art Blakey & The Jazz Messengers. Valery has gone on to record and perform with top stars including pianist Duke Ellington, drummer Max Roach, trombonist Curtis Fuller, saxophonist Benny Golsonand, etc. He has appeared on CNN, PBS, National Geographic Today...and next he'll be on the Red Gun blog!

Thanks to the Chamber of Commerce and community sponsors for bringing Forest Hills together over good music and food. And if you get too hot with all that jazz, stop by Novo 64 for a free hand fan.

Real Estate That Keeps It Real: Triumph Charity

Squidoo.com is a website that allows users to make their own page-- it's a bit like myspace in that it's user generated content. The big difference is that the money raised from every page on Squidoo.com can be donated to a non-profit of your choice. You get a statement at the end of every month that tells you how much money your page donated, and you can even write the donation amount off on your taxes at the end of the year. Not bad, eh?

Triumph Property is on Squidoo as Triumph Charity-- check out their page (called a "lens") at www.squidoo.com/triumphproperty. Make your own lens, or even a thousand lenses (there's no limit) and send the url to talia(at)triumphproperty.com so we can link to you.

The blurb they wrote on their lens sums things up nicely, and we hope other real estate companies will follow suit:

We have 5 offices in New York, filled with busy people designing, marketing, buying, and selling property. Our goal is to help others live beautifully, and that takes a lot of people, time, energy, and money. But what about those who don't have the same resources or opportunities that many of the rest of us have? We're not elitist snobs who have forgotten about the rest of the world-- Triumph is a real estate group that keeps it real. That's where Triumph Charity comes in: every month, we'll choose a non profit organization to donate our Squidoo funds to (feel free to e mail us your recommendations).Our goal is to have 500 people make 1 lens on Squidoo (it takes 10 minutes and can be about anything-- property, ice cream flavors, your puppy-- you name it). Every lens on Squidoo will earn money through Google ads and things you link (use the Amazon module to recommend books, the i tunes module to recommend music, etc. You get the idea).Whenever someone buys a product through your link,the sponsoring comany will send funds to the Triumph Charity non-profit. And at the end of every month, you'll get a statement saying how much your lens earned for charity-- feel free to write it off on your taxes.Skeptical that a little change can add up enough to make a difference? Check out the math:If every lens earns 50 cents a day, and 500 people take 10 minutes to make 1 lens, that will equal almost $100,000 per year.Not bad for 10 minutes of "work"! In 5 years, that amount turns in to almost half a million.
Lenses never go away, so they'll be earning money for charities for as long as the internet and google exist.Don't feel limited to only making 1 lens- you can make a 1,000 if you want. The more the better!

PS: Squidoo doesn't send spam, so no worries about signing up.

Subprime Shenanigans

The US fallout in subprime loans has certainly caused some problems, and there's no denying that it was the culprit in the global market plunge. However, I didn't see any traders jumping out of windows on Wall Street this morning. For most of us, here is what the market bust translates to:

● It will be more difficult to get a loan if you have bad credit. Yes, subprime borrowers-- this means you! You're likely to be considered a subprime borrower if you have a credit score under 650, have declared bankruptcy in the past 5 years, or are 24 months late in paying back your loans.

● Interest rates for loans on homes over 400k are rising, even for those with great credit. However, rates have gone down on small loans for prime buyers.

● REITs have suffered, but depending on what sort of real estate investment trusts you've invested in, it might just be a waiting game or an opportunity for cheap shares. Talk to your financial advisor.

The big worry is that these supbrime shenanigans will spiral into a recession. Alan Greenspan has dished out a comforting estimate that we have a 66% chance of bouncing back just fine. In fact, the report this morning is that Asian markets are already recovering from the lapse.

TAKE A GANDER DOWN THE RED GUN BARREL

Welcome to our new space and new perspective on the New York real estate scene. RED GUN be holding things up and shooting a few down. Don't worry, we're licensed. It's OK.

(The photo is a paint gun by the way. This is about real estate, afterall...)