Support NeoGAF

[GK86]

Link. Didn't see a thread, kick me out of my home if old.

For the first time ever, the total assessed value of Big Apple properties has topped $1 trillion — spurred on by Brooklyn’s surging real-estate market.

The tentative assessment roll released Friday by the Finance Department shows that assessed property values jumped 10.6 percent to $1.072 trillion for the 2017 fiscal year, on top of a 9.1 percent bump last year.

“I would say it has to be the most valuable [city in the US],” said veteran property-tax attorney Eric Weiss.

The change has been even more dramatic in Brooklyn, with properties climbing 16 percent, compared with a rise of 7.4 percent last year.

While the citywide numbers didn’t surprise Weiss, he saw the Brooklyn figures as noteworthy: “That reflects the fact that Brooklyn has become a very hot market,” said Weiss.

Mayor de Blasio, who bought in Park Slope decades ago, saw a 14 percent bump in the value of his two homes to $3.24 million.

Michael Dardia of the Citizens Budget Commission said Brooklyn is showing a “historically strong increase” in market values.

“That’s not driven very much by building . . . but by the very strong rental markets, and the rise in rents in [sections] of the borough,” Dardia explained.

In Manhattan, market values rose 9.3 percent, while Queens saw a 9.9 percent hike. The Bronx went up 5.9 percent, while Staten Island saw a 5.3 percent jump.

It’s great news for the city, but not for property owners who are staying put. Higher assessments mean higher taxes — and the average bill for single-family homes is expected to go up $187 to $5,138.

Taxes on the average co-op were scheduled to increase by $419 to $6,837, while the average condo was climbing $932 to $9,302.

One thing that didn’t change much was the city’s assessment of the first condo purchased for $100 million at the super-luxury 157 W. 57 St., which was assessed last year at just $6.7 million.

This year, the city says the pad is worth $8.1 million.

Assessments are based on the cost of renting apartments in nearby buildings.

“It’s insane,” said Leonard Steinberg, who heads Compass, a real estate brokerage firm.

The Finance Department will finalize the assessment rolls in May, after which the City Council must OK them.

Single-family homeowners have until March 15 to file challenges, while other property owners must file their appeals by March 1.

 

[Manifest Destiny]

This is unfortunate, I have been looking into trying to get an apartment in upper westside by the end of this year.

 

[Fatalah]

Queens is growing so fast.

 

[Jeels]

I know people have higher incomes in general there but how do people afford to live? Less spending money? Less savings? Sharing a shitty apartment/condo?

 

[Gutek]

I know people have higher incomes in general there but how do people afford to live? Less spending money? Less savings? Sharing a shitty apartment/condo?

All of the above.

 

[Gray Matter]

All of the above.

In return you get to live in one of the greatest cities in the world. Is it worth it? That depends on who you ask.

 

[Clockwork]

For people that bought their residence when the prices were lower how do they cope with property taxes?

 

[Pagusas]

No wonder I see so many new yorkers moving to Dallas and making our property values skyrocket (seriously, I bought my house at 290, its not worth 350 and it hasnt even been just a year! 2 houses down just sold for 340 and its 500 less square feet and missing a room)

 

[SwiftDeath]

For people that bought their residence when the prices were lower how do they cope with property taxes?

I would assume

 

[Kieli]

Imagine if government abolished all regulations regarding real estate and housing.

And banks gave 0% interest loans on mortgages.

How high would the prices go?

 

[Ether_Snake]

Worst is it can get a lot worst before action is taken. Money funnelled to a very narrow sector of the economy, would be better for the economy if it was spent more broadly. Taxes should be far higher, which would slow down price growth and change the money's flow away from banks and towards governments.

 

[7DollarHagane]

Fuck all of that. Live away from people.

 

[Christopher]

...really in Brooklyn??

 

[jon bones]

only a matter of time before i have to leave this great city.... no way i can afford a place big enough for a family

 

[Kisaya]

I know people have higher incomes in general there but how do people afford to live? Less spending money? Less savings? Sharing a shitty apartment/condo?

Spending less, but aside from property everything else there isn't that expensive. So if you have a higher income you're living pretty comfortable unless you really don't know how to handle your money.

 

[Eusis]

It feels like I'd need a string of lottery winnings or some other way to rack up hundreds of millions or a few billion to rationalize MOVING there now if I wanted to. Even if I could live in "one of the greatest cities in the world" it'd feel meaningless if I couldn't splurge a bit and enjoy it.

EDIT: Ok, that'd actually probably be overkill, but it'd be nice to safely go "none of the above" for what was said earlier, and I'd half expect I'd want out in the end anyway in favor of more space.

 

[chadskin]

So these are the New York values I keep hearing about.

 

[Kisaya]

It feels like I'd need a string of lottery winnings or some other way to rack up hundreds of millions or a few billion to rationalize MOVING there now if I wanted to. Even if I could live in "one of the greatest cities in the world" it'd feel meaningless if I couldn't splurge a bit and enjoy it.

EDIT: Ok, that'd actually probably be overkill, but it'd be nice to safely go "none of the above" for what was said earlier, and I'd half expect I'd want out in the end anyway in favor of more space.

If you want to consider raising a family there, there's the option of affordable housing. They've been building a lot of nice co-op and condo buildings with 2-3brs and letting those with lower incomes apply for live there for a cheap price. Of course it's all lottery based, but a lot of people have gotten good luck with it, such as my parents and my siblings.

 

[AlphaSnake]

My old Queens neighborhood has gotten out of control. People are fucking stupid to be blowing that kind of coin to live in NYC, imo.

I'm happy I left when I did and moved to Florida. Every time I return to NYC to visit, I regret it the moment I step foot into JFK...

 

[Eusis]

If you want to consider raising a family there, there's the option of affordable housing. They've been building a lot of nice co-op and condo buildings with 2-3brs and letting those with lower incomes apply for live there for a cheap price. Of course it's all lottery based, but a lot of people have gotten good luck with it, such as my family of six.

Ah right, that is a good point. Though now it'd be running to the other side of the country, and I definitely wouldn't feel comfortable starting a family until I was financially secure-ish, haha. If I was to do that I'd probably prefer to settle somewhere in PA for nostalgia's sake and just take trips there.

 

[Jaladinozozo]

Glad to be leaving this frozen hell hole

 

[3N16MA]

...really in Brooklyn??

Yes, Brooklyn.

This is not 1986.

 

[Air]

Ugh, New York, how you have changed.

 

[Zaptruder]

New York must be the most surreptitiously advertised city in the world.

For all the merits it has... it simply can't be that good. I mean, I've been to cities voted the best in the world to live in, and... they're nice - I live in one (Perth, Australia). And although they're pricey, they don't have shit on New York.

 

[Marty Chinn]

For people that bought their residence when the prices were lower how do they cope with property taxes?

I don't know how it works in NY, but in CA your tax is based off what you paid for the property and not what it's currently valued at. So if you got in early or cheap, your tax rate is damn cheap.

 

[The Lamp]

Just idiotic.

I'd live there if I was a super millionaire, but it makes no financial sense to me to move up there as anything less than that. Plenty of other great cities that aren't a financial mess to live in.

 

[Dragon]

Just idiotic.

I'd live there if I was a super millionaire, but it makes no financial sense to me to move up there as anything less than that. Plenty of other great cities that aren't a financial mess to live in.

Wages are adjusted. I mean sure, when I lived on the UWS and paid 2150 for a 500 square foot one bedroom, it wasn't a great living situation. But I really wasn't there except to sleep. There is way too much to do.

 

[crooked spin]

Just idiotic.

I'd live there if I was a super millionaire, but it makes no financial sense to me to move up there as anything less than that. Plenty of other great cities that aren't a financial mess to live in.

Thank you! We need less people moving here for prices to at least... plateau. Appreciate your sacrifice.

 

[xenist]

This is an inconceivable amount of money.

 

[Infinite]

NYC is a fucking farce lol

 

[riotous]

I don't know how it works in NY, but in CA your tax is based off what you paid for the property and not what it's currently valued at. So if you got in early or cheap, your tax rate is damn cheap.

edit: Huh, guess they have a 2% per year cap.. interesting; sorry had a knee-jerk reaction because I just had a convo with my mother in law who owns a home in CA, I'll have to let her know she's wrong lol.

 

[The Lamp]

Wages are adjusted. I mean sure, when I lived on the UWS and paid 2150 for a 500 square foot one bedroom, it wasn't a great living situation. But I really wasn't there except to sleep. There is way too much to do.

Not enough.

I'm an engineer. I live like a king outside NYC. Id get by just okay in NYC.

 

[milanbaros]

London homes has topped £1.6tn ($2bn) recently.

'The total value of homes in London exceeded £1.5 trillion for the first time at £1.612 trillion, accounting for more than a quarter of the total value of housing stock in the UK and having risen by £589 billion in five years.'

http://www.propertywire.com/news/europe/uk-housing-values-decades-2016011911451.html

 

[redmetal86]

So these are the New York values I keep hearing about.

Nice.

 

[Syriel]

One thing that didn’t change much was the city’s assessment of the first condo purchased for $100 million at the super-luxury 157 W. 57 St., which was assessed last year at just $6.7 million.

This year, the city says the pad is worth $8.1 million.

Assessments are based on the cost of renting apartments in nearby buildings.

And the most expensive city in the country subsidizes the ultra rich with artificially low property taxes, which charging average folks full rate.

Good job NYC, good job.

I don't know how it works in NY, but in CA your tax is based off what you paid for the property and not what it's currently valued at. So if you got in early or cheap, your tax rate is damn cheap.

The CA method is specific to CA.

 

[Sylas]

I'm trying to figure out how people say they can't afford living in NYC as a single person. I live in the upper westside and pay a little less than I did when I was living in Seattle. Except in NYC I have more reliable transit, cheaper (and more varied) food and a lot more entertainment options that are free.

I have a roommate, but it's also entirely by choice.

Raising a family? Yeah, I can see how that'd be prohibitively expensive--but you can find a ton of 2br apartments in the upper westside for $1600-$1800/mo, which is absolutely what I'm used to paying to live in/near a large city.

 

[Randolph Freelander]

If you had asked me before, I would have thought it would be well above a trillion dollars. I don't know why, but this strikes me as quite low.

Then again, that's about 3.5 billion per square mile, so maybe my own sense of value was just crazy.

 

[Malreyn]

Nice.

I totally read that sarcastically looking at your avatar..

 

[injurai]

New York is more of a multi-national city than an American one at this point. Same goes for London.

 

[danwarb]

Good for the rent barons and financial sector. Their vote counts more because it comes with lots of campaign money.

 

[Cagey]

I'm trying to figure out how people say they can't afford living in NYC as a single person. I live in the upper westside and pay a little less than I did when I was living in Seattle. Except in NYC I have more reliable transit, cheaper (and more varied) food and a lot more entertainment options that are free.

I have a roommate, but it's also entirely by choice.

Raising a family? Yeah, I can see how that'd be prohibitively expensive--but you can find a ton of 2br apartments in the upper westside for $1600-$1800/mo, which is absolutely what I'm used to paying to live in/near a large city.

Back in 2001, you could.

 

[entremet]

This is unfortunate, I have been looking into trying to get an apartment in upper westside by the end of this year.

Buy or rent.

If the former, good luck lol!

Also so called liberal enclaves like NYC and SF are actually worse for the minority communities that vote them in terms of quality of life and mobility.

I'm a liberal, but that's the truth.

 

[jetpacks was yes]

I'm trying to figure out how people say they can't afford living in NYC as a single person. I live in the upper westside and pay a little less than I did when I was living in Seattle. Except in NYC I have more reliable transit, cheaper (and more varied) food and a lot more entertainment options that are free.

I have a roommate, but it's also entirely by choice.

Raising a family? Yeah, I can see how that'd be prohibitively expensive--but you can find a ton of 2br apartments in the upper westside for $1600-$1800/mo, which is absolutely what I'm used to paying to live in/near a large city.

lol no you cannot. You can't even get a real one bedroom in central Harlem for that little.

 

[The Lamp]

lol no you cannot. You can't even get a real one bedroom in central Harlem for that little.

You can get a spacious $2000/mo 2 br on Roosevelt Island. My friend stayed at one like that and it was enough room for 3 people to split rent.

But I refuse to live with a roommate.

 

[NDP_Mulcair]

Raising a family? Yeah, I can see how that'd be prohibitively expensive--but you can find a ton of 2br apartments in the upper westside for $1600-$1800/mo, which is absolutely what I'm used to paying to live in/near a large city.

More like a studio for $1850.

 

[JoseLopez]

Lol I'm planning to start paying 950 for a three bed in May and I'm splitting rent three ways too. Can't imagine living with rents that high.

 

[Hierophant]

Who are the people buying these properties?

 

[bodyboarder]

And the most expensive city in the country subsidizes the ultra rich with artificially low property taxes, which charging average folks full rate.

Good job NYC, good job.

I don't see the problem, wealth tickles down.

 

[xkramz]

...really in Brooklyn??

Gentrification bro

Brooklyn changed so much.

 

[Manifest Destiny]

Buy or rent.

If the former, good luck lol!

Also so called liberal enclaves like NYC and SF are actually worse for the minority communities that vote them in terms of quality of life and mobility.

I'm a liberal, but that's the truth.

I have 2 million that I can put down and can qualify for a loan for an extra 500k, that can get me something good in upper east side with a good view.