Brooklyn News & Real Estate Trends 

Buying a home is usually the most expensive purchase people make in their lives. It is considered to be a symbol of success which signals to others that you are getting closer to fulfilling the American dream. Knowing that buying a home is a big financial and psychological commitment, finding out how much you can afford should be your number one priority.

To start your home buying journey, you need to be mindful of the following four things:

1. Establish your priorities

   • Make a list of your ideal home (features, location, type of property, age, square footage)

2. Calculate how much you can afford

   • Use the 28%/36% rule

   • Know your debt-to-income ratio (most lenders prefer a DTI under 36%)

   • Determine your down payment

   • Check your credit score (the higher the score, the lower the rate)

   • Use a home affordability calculator

   • Consider how to best allocate your assets

3. Plan for expenses

   • Home maintenance (gardening, heating and cooling, etc.)

   • Moving costs

4. Have an emergency fund in place

   • 3-6 months’ worth of living expenses

   • Have 1% to 3% of your home’s value saved for emergency repairs

   • Hire a professional to inspect the home you are interested in

Having a plan in place can help you establish priorities. If you have additional debt like student loans, it might be best to see if you can prioritize paying those off first before purchasing a home — Keeping a list is always helpful.

Covid-19 and the Home Buying Process

With COVID-19 still very present in our daily lives, sellers and real estate agents gave started to offer virtual tours.

It is clear that most buyers will prefer an in-person tour before making an offer. Still, virtual tours are a great way for buyers to shop around and find their dream home. Dana Bull, realtor at Sagan Harborside Sotheby’s International Realty said “most [virtual tours] will include a contingency that allows them to walk away after a home inspection or physical walk through”.

Conclusion

If you are a first-time home buyer, knowing all of these four things will help with your home buying journey. You will at least have one foot ahead from those who do not have a plan at all.

Focusing on the preparation required to purchase as opposed to the excitement of it can help you stay on budget. “Try to the extent possible to separate emotion and logic,” says Keith Gumbinger, Vice President of HSH.com, an online consumer’s mortgage resource.

Once your plan is ready, it is time to start shopping for mortgage lenders. Some lenders are known for being the “Best for” with various clients such as first-time home buyers, active military members and veterans.

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To say that COVID-19 devastated all areas of life is an understatement. With New York hit the hardest with the pandemic, real estate transactions ground to a halt as social distancing and business closures became the norm for slowing the spread. With restrictions slowly lifted, many homebuyers and sellers are wondering what the real estate industry will be like post-COVID-19. Let’s take a look.

Rebound

New York is already seeing a significant rebound in real estate activity and is expected to continue on this path, with major restrictions lifted. Those sellers who pulled their homes when the pandemic hit are slowly putting them back on the market, so expect to see an uptick in inventory and buyers. From here, several scenarios may take place in the coming months to a year.

Possible bargains

There may be bargains to be had out there, particularly with sellers who found themselves stuck with two properties when COVID-19 shut things down. After several months of paying two mortgages, sellers may simply be looking to get the added mortgage out of their hands as soon as possible. As a result, there is the possibility of negotiation and price drops to sell quickly.

Possible exodus

While the city hasn’t announced its plan for schools in the fall, the eventual announcement could cause a shift in the real estate market. For concerned parents, opening schools may be the impetus to move from the city, and buyers should anticipate a flood of properties on the market around the time of announcement. Again, this is a possibility, not a probability. 

High-end properties to sit

The mass evacuation of the city by those with second homes will likely cause a continued lull in the high-end real estate market. As many of those buyers haven’t yet returned, and likely won’t until the end of summer, the luxury market is expected to continue on its slow trajectory. Expect this market to pick up in fall.

Differing list of must-haves

For those buyers who didn’t retreat to the suburbs when COVID-19 hit, the list of must-haves is different from pre-COVID-19 times. With many companies seeing remote and telework options as viable and productive, they’re allowing employees to continue work at home. As a result, buyers want more living area to work comfortably from home, in addition to specific amenities and perks such as in-unit washers and dryers and soundproofing. 

Suburbs are hot

While there are many die-hard city dwellers, there will be an exodus to the suburbs as a result of COVID-19. Many New Yorkers are opting to head to the suburbs for larger living spaces and outdoor areas after experiencing remote work. While many won’t have the option to work 100 percent remotely, commuting into the city one or two days a week is much better than five.

Home prices steady

While there is the possibility to find a bargain on the market, many homes will have prices that are equal, if not a little higher, than pre-COVID-19 rates. There will always be a demand for housing in Brooklyn, so buyers should expect to pay asking price. 

For sellers, now is the best time to sell before the recession hits, and uncertainty wreaks havoc on home prices. If you’re a seller considering selling in the next two years, this is the year to do it, when pricing is predictable, and you get fair market value for your property.

1. Are you interested in serving on the board?

We recommend neutrality in your response if you are to ever be asked if you’re interested in serving. For example, you could say something like, ‘If the board or the building thought that I could make an important contribution, I would certainly be open to discussing it.’  You never want the board to think that you are aiming for a position.

Some application packages might ask applicants directly if they have any background or skills that may be useful to the board, in which case, it's fine to list expertise that might not be readily apparent from other parts of your board package.

2. Why are you downsizing?

This is a common but an unexpected question for applicants. You may have fewer family members living at home, or maybe you are trying to trim expenses. If it deals with expenses, keep that information to yourself.  It is better to focus on space, not money.  Co-op board members don’t want to hear you say that you want to move to save money.

3. How do you like your job?

With this question board members will most likely be trying to get a sense of your overall job security.  This is not the time to have a candid discussion about any crisis you might be experiencing at work, so no need to cause unnecessary alarm with throwaway lines.  Instead, it is recommended to be upbeat about your role and not give away too many details.

4. What are your political beliefs or with which political party are you affiliated?

While this question is completely legal, it might be unexpected and throw you off your game. We recommend that you just be honest and keep your answer simple.

5. Are you planning a renovation?

It is best to leave out any details of your proposed renovation until after closing.  It can be concerning to board members to hear about any renovation plans, you never know who may live adjacent to your apartment and might dread the disturbance of a renovation.

6. Do you have parties or entertain often?

This question is very common—and it's not a popularity test. The board wants to gauge whether your socializing will be disruptive. Your best answer might be to say you enjoy having occasional dinners with close friends and leaving it at that.

8. Why did you choose this apartment/neighborhood?

This is an opportunity for applicants to be complementary. Don’t bog down your response with a blow-by-blow description of the many apartments that you saw before this one, or that it is the only one you could afford.  This isn’t an invitation to overshare.

7. What do you do in your spare time?

Although this question seems innocent enough, this can trip buyers up.  Three easy suggestions when fielding this one: Keep it clean, keep it simple, and keep it quiet.  This means that now is not the time to tell the board about your plans for learning the clarinet or your annual Halloween party.

9. What was your last interaction with an attorney?

Of course, the best answer to this question would be something like, “My lawyer Father-in-Law just had dinner together,” however if you have something behind you it’s best to be honest.  However, temper your answer, Go with something like, 'I was unjustly sued by someone, we were able to resolve it quickly and cleanly and fortunately I've never had any legal involvement since.’  You want to give a clean, simple explanation that proves you are reasonable and weren't the source of the problem.

It’s worth doing an online search of your name before an interview to see what information comes up. Be prepared to answer questions related to the results.

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10. Why are there some inconsistencies in your application?

It’s a good idea to read through the application before you go to the interview to make sure that everything looks legit and be prepared to answer any questions you think it may have elicited.  Usually, some financials questions arise, like how much money a person has, especially if their assets are a combination of several business and or a trust.

If, say, you receive $60,000 a year from a trust, be sure to explain that that trust allows you to invade the principal if that's how you're planning on paying for the apartment.

And if you don't know the answer to a question, try not to seem flustered. Just say you don't know the answer, and that you'll get back to them as soon as you've spoken to your accountant.

11.  Do you have any questions?

While in other forums it is often useful to have questions at the ready as a demonstration of your interest, you really shouldn’t raise them during a co-op interview.  It is best to be boring.  A co-op interview is not a job interview—people do not have to fall in love with you. For instance, when the board asks you if you have any questions, say, ‘None that I can think of right now, but I’ll be sure to get back to you if any should occur.’ It is never about keeping the conversation going, as it often is at a job interview.

Finally, never ask about the board’s decision at the time of your interview. Instead, say something like "We look forward to hearing from you.

When buying or selling a home one of the most crucial decisions you’ll have to make is whether you’ll  hire a real estate agent or go it alone.  We all know that if you hire a real estate agent, you’ll have an expert on your side – someone who is aware of the latest real estate trends and knows the neighborhoods where she works better than the people who live there.  She knows which houses are available, statistics about the schools in the area, and where the closest shuls are.  She understands the nuances of staging a home and knows the prices of homes in the area that have recently been sold – all great reasons to ask her to be your agent.

However, if you’re still considering buying/selling a house on your own, you should know that there is much more to a real estate agent than meets the eye.  It takes hard work, dedication, and perseverance to become a successful real estate agent.  You can’t wake up one day, decide to open a real estate agency, and start selling homes.  There’s way more involved.  New York real estate agents must be very intelligent, because they must complete a grueling 75-hour course approved by the secretary of state and pass a qualifying exam administered by the Department of State.

During the course, agents learn about licensing laws, rules and regulations, agency disclosure agreements, estates, liens, deeds, titles, closings, contract preparation, real estate finance, land use regulations, construction issues, environmental issues, pricing, human rights, fair housing, real estate math, property insurance, taxes and assessments, types of investment properties, commercial leases, income tax issues, property management, and more.  When they finish the course, they understand very complex transactions, and they can explain them to you in a way that you understand.  In addition, they can help you find an inspector, a real estate lawyer, and they can even help you find a mortgage. 

Even after the agent passes the exam, they can’t open a business of their own.  State law requires them to work under the guidance, tutelage, and protection of a real estate broker.  A broker helps them transition from school to the field.  A good broker will be a mentor, providing proper training and support. 

Once the agent has finished school and has worked for a broker, she will be able to handle any situation that comes along. 

If you’re still considering buying/selling on your own, answer these questions: what does the zoning board of appeals do and what does the municipal engineer’s office do?  Who is usually exempt from paying property taxes?  What clause in the deed describes the property and what is a loft lease? You probably can’t, but a real estate agent can. 

Chances are you wouldn’t defend yourself in court, so why would you buy or sell a house without the expertise of a real estate agent?

Check into the broker’s background, make sure his/her license is valid

Real Estate Agents are responsible for their real estate agents’ actions.

Choosing an educated broker over a real estate agent is prefer- able, however there are many excel- lent agents. Of course, you need to check into the broker’s background. It’s best if a friend or family member recommends someone.

Interview Multiple Agents

Any agent can seem knowl- edgeable when you don’t have any- one to compare him/her to, that’s why you should interview multiple agents. In addition, you may find that one agent fits your personality much better than another.

It can also be helpful to visit open houses run by agents, to see how they work when the pressure is on.

Find out what the agent’s spe- cialty is. Some real estate agents don’t work with luxury properties, while others specialize in them. In addition, make sure you choose a real estate agent who will work within your price range.

If you’re selling, ask about mar- keting strategy and what exactly they will do for you. Then make sure they do everything they tell you.

Location Matters

You want to think locally when choosing the right real estate pro- fessional. It doesn’t make sense to choose an agent working in upstate New York if you want to buy a property in downtown New York City. Choosing a broker who knows the neighborhood   inside out is your best bet. This will give you an edge and make the buying or selling process much easier.

Verify Licenses

There are some so-called agents that will try to scam you. While they are few and far between, you always want to check state licenses and look for any disciplinary actions against the agent in question. You don’t want to get stuck with an agent without a license.

Agents who are less than hon- est may say that they can get a significantly larger amount of cash for your home than other agents quoted. Like most everything else in life, if it sounds too good to be true, it probably is. You want an agent quoting you a potential list price based on comparable proper- ties and the current market, not one that will promise you the moon and the stars.

When you’re ready to buy or sell, use these tips to find the right pro- fessional to work with. Remember to seek an educated broker with plenty of experience—someone who can make the process go smoothly.

hen you buy a home, it will likely be the larg- est purchase you will ever make. A great real estate agent can make the process feel easy and go smoothly, a bad one can make it a disaster.

Whether you’re buying or selling a house, you need an experienced and trustworthy real estate agent by your side. Without a good agent, many things can go wrong.

Choosing the right real estate agent isn’t easy. Most agents will say they are the best. However, this cannot be true, as every agent cannot be the best. Here are a few excellent tips to ensure you find the right agent to represent you.

Learn Real Estate Lingo & Choose An Educated Broker

Many people believe that real estate agent, realtor, and broker, are interchangeable job titles. In fact, they are different. Anyone with a real estate license can be called a real estate agent, whether that license is as a sales professional or an associate broker. They look at listings and help people buy and sell houses. In order to be a realtor, a real estate agent must become a member of the National Association of Realtors, and uphold the stan- dards of the association and its code of ethics.

A real estate broker has taken his/her education beyond the agent level and has passed a broker’s license exam. Brokers can work alone or can hire agents to work for them. Real estate agents can- not work independently. They must work for a broker—and the brokers

New landlords often struggle to make a profit because they’re making mistakes. These mistakes are common among new landlords. Sometimes all it takes is a few cor- rections to start making a profit. Here are a few of the biggest mis- takes landlords make.

Skipping The Numbers

When you buy a property as a rental, you have to get your num- bers right. One of the biggest mis- takes new landlords make is buying a property without calculating all the expenses. This can quickly eat into rental profits. So don’t skip this very important step.

Poor Rental Location

Some locations are prime areas for investing in a rental, while oth- ers are not. If you buy a property in the wrong location, you will have to charge less for rent and it could make it very hard to find a tenant. Make sure you’re choosing a rental property near a synagogue, pub- lic transportation, schools, dining, shopping, and other amenities that people need and want.

Lack of Screening

This is a big one! When you look for new tenants, you need to have a good screening process in place to ensure you get the most desirable tenant possible. Choosing tenants with good rental and financial history will allow you to profit more, without as much turnover. We happen to have the most in depth and reliable screening process to help you at no charge.

If you don’t properly screen applicants, you may need to find a new tenant before your current con- tract is up. You may let someome move in who can’t pay the rent, then you have to evict him/her. This puts a burden on the landlord as going through an eviction can cost time and money. With the proper screen- ing, you can avoid a high turnover rate and not have to resort to evic- tion.

Lack of Contract Enforcement

Some landlords have a good, strong lease with tenants, but they don’t enforce it. If you have built in late fees, make sure you charge them, whenever payment is late. If you don’t, you could be setting a precedent and your tenant may start paying rent two weeks late every month. Never accept partial payment, and never accept pay- ment outside the terms of the lease. By enforcing the lease the way it’s written, you will save yourself many headaches.

Putting Off Maintenance

It’s your duty as the landlord to handle maintenance issues quickly. If you don’t, you could be setting yourself up for failure. A small leak could become a huge issue if it’s not addressed.

Take the time to address main- tenance issues when the property is vacant, and take care of main- tenance requests from tenants as quickly as possible. This will not only help to build the relationship with your tenant but also ensure your property remains in good con- dition.

Not Collecting A Large Enough Security Deposit

The security deposit is vital to the lease and you should always collect enough to cover minor dam- ages. Landlords that don’t collect enough security end up paying for minor damages out of their own pocket, which kills profits.

As a landlord, you should know how much to collect, what the state laws are, and what the security deposit covers. Make sure it’s a reasonable amount of money, but collect enough to protect your prof- its.

As a landlord, the best thing you can do is have a real estate expert on your side. Using an educated broker goes a long way to help keep you from making mistakes and to protect your profits.

Anyone visiting New York, specifically Manhattan, knows you can go just about anywhere in the city to find an abundance of different culture’s cuisine. Brooklyn, on the other hand, rivals Manhattan with one of the most diverse food scenes around. With each neighborhood presenting a different culture of food, the opportunities are endless when it comes to the selection of ethnic food markets.

Sahadi's

Sahadi's has been a Brooklyn tradition since 1948, serving up authentic and delicious selections for all of your Mediterranean cravings. Planning on crafting your own snazzy charcuterie board for a dinner party? Stop by Sahadi's for juicy Calamata olives and smoked almonds, or skip the work and order up an antipasto or falafel platter from their catering services. They also offer convenient local delivery, so all you have to do is sit back, relax, and get ready to dive into some of the best hummus you've ever tasted.

Net Cost
Net Cost offers a delectable curation of Eastern European and Russian flavors, most notably, its expansive array of meats and inexpensive dairy products. Looking for something smoky, savory, and bursting with umami flavor? This is your place to go. You'll also find a wonderful assortment of root vegetables, leafy greens, and hearty mushrooms.

La Bella Market Place

La Bella Market Place is your neighborhood go-to for gourmet Italian. In addition to your typical groceries, you'll also find a tempting array of olives, artisan cheeses, imported sausage, European sweets, and a ridiculous smorgasbord of just about any pasta you could possibly imagine. If you can't wait to get home and cook the pasta yourself, don't fret; scoop up Caprese salad and Penne Alla Vodka to-go or order catering for the whole office!

Jmart

Who said you can't find fresh produce in the city? Not Jmart, that's for sure! From your typical fruit and vegetable needs to your more exotic hankerings, Jmart's extensive produce selection will have you excited to eat healthy. Jmart also offers a wide array of Asian groceries, including marinated eggs, steamed buns, chili sauces, various teas, and more.

Zion Kosher Market

New York is known for its incredible Jewish delis and restaurants. Those famous menu items begin with quality ingredients, many of which can be found at the Zion Kosher Market! While one trip through the doors will tempt senses towards vats of nuts and dried fruits (or perhaps towards the warm counter doling out servings of spiced eggplant and baba ganoush) and local will tell you: the bread selection is absolutely not to be missed!

If you’re looking to either buy or sell a home in the new year, it’s important to be on top of the latest trends within interior design. This is essential for real estate agents to be aware of to stay ahead of the design curve in staging homes as well as hiring interior designers. With the holiday season approaching, it's time to look forward to 2019. Here are some of the most important trends you can expect to see in the coming year.

The Overturn of Trends Slowing Down
Trying to gauge when a trend has run its course can be a difficult decision to make. Trends are temporary, and at their peak, they can become outdated in as little as a season. But both housing and renovation costs are rising, and that looks like it isn't going to be changing anytime soon. As a result, interior design trends are starting to stick around a lot longer, and homeowners are looking to expand upon the pallets and decor they currently utilize within their homes.

More Modular Spaces
The increase in housing costs means that many residents are looking to do more with less. The notion of convertible dwellings might be coming back in a big way. That could include Murphy beds and movable walls that allow you to use any given room in multiple ways, but it also means maximizing your appliances and furniture with multi-use built-ins. Homeowners will be looking at design trends that add functionality to their home rather than focusing exclusively on aesthetics.

Moody Green is the New Black
Forget muted peaches, creams, and off-white in the coming year. PPG Paint has announced that the interior color of the year is a bold and dark shade of green known as Night Watch. This jade-like hue may be on the dark end of the spectrum, but interior designers see it having a diverse functionality in households. It can be used equally as well as an accent color or as a primary color that adds a sense of space and a natural vibe to increasingly artificial seeming interiors.

Houses With a Sense of Comfort
As people's work lives become more and more hectic, they're beginning to look at their homes as a sense of solace and peace. That means focusing on interior designs that stimulate all of the senses in a peaceful manner. It's one of the reasons why Night Watch green is looking to be so popular, but it can also involve the incorporation of warm colors, furniture with softer textures, and homey scents like citrus and pumpkin.

Interior design trends for the new year are incorporating homeowners and renters with living spaces of all sizes. No matter if you are looking to sell your home or just update your decor, you can follow the newest trends that are starting to stick around longer.

Just because you took out a 30 year mortgage doesn’t mean you have to make pay- ments for 30 years. Imagine making the same payment for three decades—doesn’t that sound exhausting?

Therefore, there are several ways to reduce your mortgage pay- ments and pay off your home faster. Here are a few of the very best ways to pay off that mortgage in less than 20 years.

Bi-Weekly Payments

One of the easiest ways to pay off your mortgage faster is to make bi-weekly payments instead of monthly payments. If you take your current mortgage payment and split it in half, you’ll have your half- month payment. If you make that half-month payment every other week, you’ll actually make 13 mort- gage payments every calendar year instead of 12. That one extra pay- ment each year can save you a substantial amount, depending on your interest rate and terms. If your lender won’t accept checks for par- tial payments, ask if you can set up automatic bi-weekly withdrawals.

Round Your Payment Up

Maybe you have a mortgage payment of $1,140 per month. Round that up to $1,200 and pay that amount every month. This will shave off a couple of years from your mortgage. While a couple of years may not seem like much, it could lead to a savings of more than $25,000 on a $300K mortgage with an average interest rate of 5%.

You can take this even further

 by rounding up and paying bi-week- ly. So, instead of cutting the $1,140 in half ($570), you’d take the $1,200 and cut it in half ($600). Then, pay that amount bi-weekly and you’ll pay an extra $60 per month plus a 13th payment for the year, which will shave off even more years.

Use your Tax Refund

If you get a sizable tax refund, put it all towards your mortgage. Simply adding your refund to your regular payments, can make a huge difference in the overall amount you pay. Combine this with the other two methods and you might just own your home free and clear in 15 years.

Eliminate Private Mortgage Insurance

Private Mortgage Insurance (PMI) can eat up cash you could be using to pay off your mortgage. If you put less than 20% down on your home, you are likely paying for PMI every single month. This can be anywhere from 0.50% to 0.85% of your home’s value. It may not seem

like much, but over 30 years, it can add up to quite a bit.

If your home has gone up in value, or if you have paid off enough on your loan to get it to 80% of your home’s value or less, your lender may be willing to drop the PMI. If this happens and you continue to pay the same amount you’ve been paying, you will pay off the loan faster.

Cut Back on Unnecessary Expenses

Sometimes, you can use all the still feel like it’s not enough. If you can find a little extra money each month and add it to your mortgage payment, it’s worth it.

Remember, paying down the principle won’t reduce your monthly payment and it won’t allow you to skip a payment. However, it will shorten the overall time you pay those payments and will save you a lot of money.