Who’s buying New York City Real Estate And Why?

As a Commercial Real Estate Broker who sells prime real estate buildings in the Upper West Side, I’m often asked why do people pay such a high price for property that they could have purchased on the cheap a few decades ago. ¬† Well, as you know, natural disasters around the world, such as earthquakes and tsunamis in Japan and the chaos in the Mid East such as the uprising in Saudi Arabia against the current regime, create a fear for local investors and high net worth individuals in the region in which devastation occurs. This dynamic leads these investors and high net worth individuals to search for a secure place to store their monies in foreign markets.

An attractive foreign market for these people is the Real Estate Market of New York City because we are a highly secure free market where there is almost always growth. Every investor and high net worth individual wants to own in New York City because this is the city where dreams are realized due to the huge opportunities New York City has to offer and the dollar amount generated over time from these properties are on average, Great!

These investors and high net worth individuals completely disregard capitalization rates. They just want to know that their assests are safe and are readily available to liquidate when needed. Especially in this market trend, a sellers’ market, with the low supply of inventory and a very high level of demand, buildings are trading at a velocity unseen and at a historic pace. Low interest rates are also a driving force attracting foreign investors to indulge into the citys’ Real Estate market.

For these reasons, expect to see real properties selling at greater price tags in New York City.

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About alexisak

Born and raised in Queens New York, Alex Isak, a Director of Sales for Goldenwood Property Advisors, is a helpful man who breathes Commercial Real Estate. Alex Isak has brokered numerous transactions within the five boroughs and specializes in multifamily and mixed use property on the Upper West Side of Manhattan. In his spare time, Alex Isak helps raise funds for various charities and coaches a junior varsity basketball team in Forest Hills, New York. To date, Alex Isak helped raise over $1,000,000.00 most of which went towards early childhood education.
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