R2I Club Member Hangout

One of my kids has decided to make New York their home. Been looking at apartment buying and a 2 bedroom is in the range of 1-1.5 Million but the worst part is the taxes/HOA. What is it like for someone to live and raise family in NY? Kid is in high finance so starting with a decent salary but that's still not much in NY. Dreams and network advantage is big though.
Personally I like the quiet suburbs, where I can sip my morning coffee hearing to the bird chirps, maintain my small garden, walk in the trails close by and have my own car to drive around. Which a person in 20's would find boring.

Anyone living in NY or have a child living/working in NY?

My children also live and work in NYC. We have a couple of apartments (condos) in Manhattan. Residential Real Estate is unique in NYC where the purchase price has not gone up in the last 3-4 years, however the rents have soared up in the last 2 years.
For young adults : Manhattan, Brooklyn, Hoboken, Newport are the places to live, experience and enjoy life.
For older adults : I work in NYC and even though the commute from the suburbs is difficult, I prefer the suburban life especially on weekends

loyalindian wrote: ↑Wed Jul 03, 2024 7:41 am My children also live and work in NYC. We have a couple of apartments (condos) in Manhattan. Residential Real Estate is unique in NYC where the purchase price has not gone up in the last 3-4 years, however the rents have soared up in the last 2 years.
For young adults : Manhattan, Brooklyn, Hoboken, Newport are the places to live, experience and enjoy life.
For older adults : I work in NYC and even though the commute from the suburbs is difficult, I prefer the suburban life especially on weekends

Is it worth renting vs buying for someone starting career? For a 2 bedroom, if they have one tenant looking to see if it will be worth it.

There are two types of apartments in NYC - Coops and Condos
Coops can be restrictive in terms of application approval, future renting and may carry highet maintenance and taxes. Condos give more flexibility bit are genray more expensive as compared to a coop of the sane size. For $1M - $1.5M range for a 2BR, it may be Coop.
If you can afford to buy (either cash down or with mortgage), it makes sense to buy - as you know interest rates are high for a mortgage.
The rents in Manhattan have increased significantly in the past 2 years with a 1bR renting for $5K and 2 Br renting for around $7K pm

loyalindian wrote: ↑Thu Jul 04, 2024 4:38 pm There are two types of apartments in NYC - Coops and Condos
Coops can be restrictive in terms of application approval, future renting and may carry highet maintenance and taxes. Condos give more flexibility bit are genray more expensive as compared to a coop of the sane size. For $1M - $1.5M range for a 2BR, it may be Coop.
If you can afford to buy (either cash down or with mortgage), it makes sense to buy - as you know interest rates are high for a mortgage.
The rents in Manhattan have increased significantly in the past 2 years with a 1bR renting for $5K and 2 Br renting for around $7K pm

Definitely not looking for a coop. The downpayment will come from us(500k-1M) and the rest will be a mortgage that the kid will have to manage. Hopefully it will be rent-free for the kid with another tenant for the second bedroom. We probably will not look at the nicest locations or buildings to keep price down but should be close to most finance jobs. Not too old buildings for the sake of rats/roaches problems. Will have to see if anything is worthwhile or best to rent and invest the million in the market.

Hope it works out for you.
Based on my experience on the 2 condos I own: On a pre-tax basis, the yield is 6%-7% on a Manhattan condo (assuming no mortgage and after paying property taxes and maintenance)
The added benefit of ownership is that your kid will not have to pay rent increases or move out of the condo if ownership changes.

ballare wrote: ↑Fri Jun 28, 2024 3:06 pm Anyone living in NY or have a child living/working in NY?

My eldest graduated this summer and started working/living in Manhattan. The thought of helping my kid buy an condo is on my mind as well. I considered rent vs buy.. at the current price/rates - the numbers didnt work for me to consider buying. My thought was to help my kid buy one in the suburbs and rent it (and eventually move to the suburbs). But at the same time, kid is unsure if NYC will be a long-term home.

cyberabadi wrote: ↑Mon Aug 05, 2024 3:11 am

ballare wrote: ↑Fri Jun 28, 2024 3:06 pm Anyone living in NY or have a child living/working in NY?

My eldest graduated this summer and started working/living in Manhattan. The thought of helping my kid buy an condo is on my mind as well. I considered rent vs buy.. at the current price/rates - the numbers didnt work for me to consider buying. My thought was to help my kid buy one in the suburbs and rent it (and eventually move to the suburbs). But at the same time, kid is unsure if NYC will be a long-term home.

We decided to wait for a few years too.

Watched Maharaja - thought it was going to be a comedy like https://en.wikipedia.org/wiki/Kathal_(film)! Disappointed - why do all the leading actors that are middle-aged are compelled to act in the same genre of rape and revenge?!

For minute I thought Maharaja landed in New York