$1,260,000 Apartment April 4, 2006
That’s the average price of a Manhattan apartment, according to a quarterly report released by the real estate brokerage firm Brown Harris Stevens. The price is up 15% from last quarter and 8% higher than 2005. If that’s the average price (add up all sales and divide by the number of apartments sold), and there are supposedly 62,773 millionaires in Manhattan, how do the rest of the 2 million or so people afford to buy? Or how do the average Manhattan-ite afford to rent?
Real estate is a localized market, so what’s happening in Florida or Arizona doesn’t always apply to NYC. Everyone is talking about the real estate bubble, but based on the average sale price, I don’t see it in NYC…yet.
Source:
Brown Harris Stevens - Market Reports
Previously: Expensive Rental Apartments
- Posted in : Real Estate
- Author : Kyle
Comments»
[…] In fact, in the very same day, the NY Times featured an article titled “New York Area Is a Magnet For Graduates“. According to the article, in 2005, in Manhattan, more than 57 percent of all residents had at least a bachelor’s degree, up from 50 percent in 2000. Of course this brings up the issue of lack of affordable housing, lack of people who are willing to work hard labor jobs, and the decline of artistic or creative types in NYC. Considering that average apartment is over $1.2 million, that brings up my previous question, how do these people have so much money? If I didn’t budget my money and wasn’t aware of all the personal finance topics that the PF community brings to me, I would not be able to live anywhere near NYC. The income gap between the rich and poor makes me nervous that NYC will not be affordable for anyone but the top 1% of earners in the US. […]