Stephen G. Kliegerman
President of Development Marketing
By Meredith Engel
At a recent seminar held at new development 88 Morningside (www.88morningside.com), experts addressed the most important things first-time home buyers need to know.
Why pay rent?: “This is really a unique time in the city’s history when you can own for less than you can rent,” says Steven G. Kliegerman, executive director of Halstead Property Development Marketing. Rising rents and the lack of new buildings (as a result of the recession) make it advantageous to buy if you expect to be in your residence for five or more years, he says. “With the economy continuing to recover, and historically low interest rates, New Yorkers have not seen a more opportunistic time to purchase a home than right now.”
Do your homework: “You need to do your due diligence before [finding a place],” counsels Steven Matz, partner at Katz & Matz, PC. “Find out your credit score before you even start.” Other numbers to know? The price of the listing including closing costs, banking fees and legal expenses, as well as the percent of the purchase price you’ll need to borrow (keeping in mind that it’s difficult to acquire a loan above 80 percent). Also speak with a mortgage professional to make sure that the building has been approved by prospective lenders.
Take everything into account: Remember that the building and the neighborhood are just as important as the apartment, advises Teri Rogers, CEO of BrickUnderground.com, a website for NYC apartment dwellers. Rogers says ask yourself, “Would I fit in in this building? Is everything I need — a grocery store, dry cleaner, schools for children — within a six-block radius?”
Bank on it: Your bank will look at your income, assets, credit and the property to determine if you qualify for a loan, says loan officer Dave Forbes. You’ll need to bring paperwork including: W-2s and tax returns for the past two years, two months of bank statements and pay stubs that span a 30-day period.
Stay on top of the market online: Gone are the days of visiting individual agents to learn about the latest offerings. The Internet has revolutionized the way you can look for a home by aggregating listings in one site. “Consumers want to start from a place where they can see everything,” says Dawn Doherty, vice president of Strategic Development of Streeteasy.com, a real estate search engine. Doherty also recommends staying up to date by searching sites talking about real estate such as The Real Deal and Curbed.
Tuesday, January 04, 2011