MILLENNIUM INC MAGAZINE
Ten Expert Tips for
Buying and Selling
Real Estate in NYC
by: Bradley Mahlof
Owning a home in NYC is a dream for many people. It’s
the pinnacle of American Real Estate, and it can be a
terrific investment and also significantly heighten one’s
quality of life.
However, navigating through the complex buying and
selling environment in NYC is not as straightforward as
you may think. With prices high, lots of competition,
many different types of apartments and neighborhoods
to choose from, and the rigorous application and ap-
proval process in many buildings, where does one even
start?
I have detailed below some of my expert tips to
successfully buying and selling in NYC!
SELLING IN NYC
With apartment inventory continuing to grow and a
slowdown in the Real Estate market, it can be a difficult
time to be a seller. Despite uncertain market conditions,
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ISSUE 3 | JULY 2019
there are plenty of apartments on the market that are selling, some
even trading at record prices! So, what can be done to make your
apartment successfully stand out and appeal to buyers?
Below I share five of my expert tips on successfully selling Real Estate
in NYC:
1. Accurately price your property. Many sellers have an idea of what
their property is worth in their head. However, this number is often mis-
aligned with reality and it’s important to accurately determine the value
of a property to price it properly. Researching recent comparable sales
in a building and neighborhood, and knowing what else is currently
on the market (the competition), are the best methods to determine
market value. Understanding this in parallel with factors such as inter-
est rates and general trends in the market will help best determine an
optimal sales price.
Price your apartment too high, and it will sit on the market for a very long
time and ultimately require several price adjustments before it sells. An
apartment that sits too long on the market is a red flag for many buyers.
It gives a sense that there is something wrong with the property (even
once the price is properly adjusted). This strategy leaves you worse off
than if you priced correctly from the start.
Proper pricing is an enormous key to success. Do so correctly and
you’re off to a great start!
2. Getting an apartment market ready and stand out among the
competition. How does an apartment compare to its competition?
Small home improvements before putting a listing on the market, such
as fresh paint, staging and any needed repair work can go a long way
and often equate to selling faster and for more money. Do not assume
buyers can see the potential in a home, so do whatever possible to
make the property show its best. You want a buyer to walk into your
home and go, WOW. Remember you have a lot of competition out
there, and a little goes a long way in terms of standing out.
To accomplish these improvements, I work with my clients to deter-
mine the most effective strategy to prepare their homes for the market.
Decluttering, staging and painting are some very effective tools, but
every apartment is unique and has its own set of needs. My company
and I go as far as fronting the cost of any of these pre-listing home-im-
provements, so it’s really a no-brainer for my clients to get their homes
fixed up before putting it on the market.
3. Good photos and a strong marketing campaign. I often spend
my evenings scrolling through hundreds of Real Estate listings online
and I’m often shocked by the horrible and poor quality of some listing
photos. Are these photos taken with an iPhone (or worse some type
of archaic flip phone)?
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MILLENNIUM INC MAGAZINE
Magazine quality photos are essential and are your
marketing gold. Use these photos to spread the word
on a listing, whether it’s through paid advertising, social
media initiatives, or email blasts, you will use photos for
everything and they will capture buyers interest. You’re
selling Real Estate in NYC, it’s expensive, it should look
expensive.
The goal of an effective listing and marketing campaign
is to get as much exposure as possible from target-
ed buyers. Getting traffic through the door to see the
apartment is half the battle. In today’s competitive mar-
ket, social media and a strong network are your friends!
Get creative and get people excited to come to see the
space!
4. Qualifying a buyer. Not all buyers are created equal.
You may be fortunate to have several offers for your
home; however, the highest offer is not always the best
one. It is equally important to understand what
“
your building looks for in a candidate and
choose a buyer that is qualified finan- It’s
cially and who will be a slam dunk
with board approval (most co-op in your best interest
buildings in NYC require ex-
tensive board applications
and board approval). Do not
to work with a smart and
waste time and money with
sub-optimal buyers – qualify creative agent that will expertly market
them as soon as you receive
an offer and do not let a high your property and guide you through the
offer cloud your judgement
on their qualifications.
entire process from listing photos, proper Once you identify a property, it’s
5. Hire an agent. Many sell-
ers want to save money (under- pricing, to negotiating
standably) and avoid paying an
agent’s commission by attempting to the deal.
sell a property on their own. While some
do find success, statistically the vast majority
waste time, effort and money and ultimately will list
their apartment with a Real Estate Agent. The New York
Real Estate market is very nuanced, and it’s in your best
interest to work with a smart and creative agent that will
expertly market your property and guide you through
the entire process from listing photos, proper pricing, to
negotiating and closing the deal. While you may be fa-
miliar with Real Estate yourself, your marketing and so-
cial outreach is likely substantially inferior to a large Real
Estate firm who has endless resources and connec-
tions to get a property seen. A Real Estate transaction
is a time-consuming, multi-step process that requires a
high level of commitment and know-how. It is essen-
tial for a deal to go as smoothly and swiftly as possible
and for a perfect board package to be submitted - most
sellers do not have the experience to successfully ac-
complish this on their own. It’s like anything else in life,
88
you get what you pay for – and listing with an agent
saves you time (time is money) and a skilled agent will
be able to fetch you a higher sales price. Many buyers
understand that a home listed by owner saves the seller
money and buyers will expect that this cost-savings be
shared with them through a discounted sales price.
Bottom line, do yourself a favor and get it done right –
hire an agent!
BUYING IN NYC
The rumors are true – it certainly is a buyer’s market!
Great deals and smart investments can definitely be
found if you know how to act. However, while it may be
a buyer’s market, it does not always feel that way. Great
apartments still get snatched up very fast and there is
still much competition in finding a dream home or in-
vestment. So, what can be done to take advantage of
this market, get a great deal and secure a wonder-
ful property?
Below I share five of my expert tips on
successfully buying Real Estate in
NYC:
1. Set up your real estate
dream team. Even in a buy-
er’s market, great apartments
get snatched up immediately.
So what can be done to se-
cure yourself a dream home?
essential to get an offer in right
and closing complish this, you should have your
away and move on it fast. To ac-
“The Window Treats
”
Real Estate team (a Real Estate agent,
team provided
attorney, and a lender) assembled and
ready to go. In addition to a strong Real Es- expert guidance,
tate team it is also integral to have your financial
paperwork ready to go as well. If an apartment has lots quality work, and a
of interest, you want to get the process going as quick
detailed installation.
as possible and lock up the deal before someone else
comes along to outbid you. With a strong real estate I will definitely use
team, the purchase process should be smooth, quickly
and stress-free. them for my next
project!”
2. See the potential in that diamond in the rough.
I encourage my buyers to see beyond surface finish-
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MILLENNIUM INC MAGAZINE
ovation apartment listings. My tip to buyers is not to
shy away from these properties. If an apartment is
move-in ready that’s wonderful, but don’t get deterred
by an outdated apartment with incredible potential.
3. Focus less on “purchase price” and understand
your budget. While purchase price is obviously impor-
tant, there are more meaningful ways to measure your
budget. To do so, understand what the overall monthly
expenses on a specific apartment will be. Maintenance
and tax charges can be significant and should be taken
into consideration when understanding what you can
afford. To blankly say “my budget is $2M” makes less
sense than “I have $400k available for a down payment
and my all-in monthly payments cannot exceed $6000/
month (with mortgage, maintenance and taxes).” Un-
derstanding your budget and what an apartment will
actually cost you will give you a better sense of what
you can afford. It will also help you better compare the
type of deal you are getting on various properties.
4. It’s ok to place offers on multiple properties. If a
buyer client of mine likes a property or thinks they may
like a property, I encourage them to submit an offer. In
NYC offers are non-binding and even if the seller ac-
cepts your offer you can walk away with zero penalties.
So, there are zero downsides to submitting offers. If you
see four properties that you really like, submit offers on
all four and see which you can get the best deal on.
Unless there is lots of competition or if it’s your dream
home that you do not want to run the risk of losing,
it’s ok to submit a low starting offer. I always say, you
can come up on your offer price, but you cannot come
down. Further, if you see a property and think it’s over-
priced, don’t be shy to submit an offer where you think
it’s worth – when doing so, it’s always best to submit a
comps analysis or justification to your offer.
Bottom line, if you like an apartment, submit an offer!
Do not spend too much time thinking about it (you can
rescind your offer if you change your mind), because
the longer you wait to submit an offer the longer you
give an opportunity for someone else to come in and
snatch your potential deal.
5. Do not get discouraged. NYC residential Real Es-
tate is personal. While purchasing Real Estate is a very
large financial investment it is also about finding your
future “home” and can easily get emotional for buyers.
Even in a buyer’s market, there is a lot of competition
and it’s common to fall in love with an apartment and
get outbid by a higher (often all-cash) offer from a more
qualified buyer. If a seller accepts your offer, until there
is a fully executed contract, the seller can walk away
from your deal at any time (you the buyer can do the
same) and pursue a better offer. My advice, if you love
90
a place, move fast and with your best foot forward (do
not worry too much about overpaying by a few thou-
sand dollars for your dream home). Sometimes this is
still not enough, and you are outbid, or the seller choos-
A match made for your wallet.
es a more qualified buyer. These things happen but
DO NOT get discouraged. I am a firm believer that
everything happens for a reason and while it’s impor-
+
tant to put your best foot forward, if it was not meant
to be it’s for a good reason – something even better will
come your way.
I hope you find some of these tips helpful and if you
have any specific questions about NYC Real Estate
do not hesitate to reach out!
My name is Brad Mahlof and I am a Real Estate pro-
fessional with Compass in NYC. My love and passion
for Real Estate has developed into a career of helping
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or sale process. I stand out among other Real Estate
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proachable personality. Further, my strong analytical
background gives me a significant edge during nego-
tiations. I’m a creative thinker and have helped my cli-
ents buy and sell at record prices and in record times,
despite the uncertainty in today’s market.
I’m fully dedicated to my clients and take the time to
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If you’re thinking about buying or selling in NYC
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Brad Mahlof
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10027401
Email: Bradley.mahlof@compass.com
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