Manhattan Real Estate: Here’s How to Do It Smartly

Manhattan is notorious for being one of the most expensive places to live in the country. If you want to make the move to “the City,” be sure that you do your research, so you don’t end up spending more on housing than you can afford.

Whether you want to buy an apartment or house, rent an apartment, or purchase real estate that you plan to rent to others, you need to be smart about what you are willing to spend. With that in mind, here’s how to do Manhattan real estate smartly:

Define Your Budget and Narrow Down Your Search

Manhattan real estate encompasses so many things. From multi-million dollar penthouses to smaller apartments, Manhattan real estate really runs the gamut. With that in mind, consider the budget you are comfortable with, and narrow your search accordingly.

Manhattan is also an extremely diverse area, so you will want to narrow your search by neighborhood too. Narrowing down your search area will help you to find the best options within that area. 

If you are not looking for any certain area, narrow down other options, like the number of bedrooms, or if you want a building with a doorman. Any way you can make your search more specific will help you to find the best place for you.

Get Pre-Approved

It is imperative to get pre-approved in any real estate market, but especially important in the Manhattan market which is very competitive. By the time you contact a bank for pre-approval, another offer may have already been put on the apartment you were interested in.

To take it another step further, again because the Manhattan real estate market is so hot and competitive, you can obtain a commitment letter from your bank. Once you have shopped around for the bank that offers you the best mortgage rates, gotten pre-approved with them, and have decided to go with that bank, obtain a commitment letter from them. 

A commitment letter is more work and more in-depth than pre-approval. You will need to provide financial documents, tax returns, and other relevant paperwork, but once you go through the process the commitment letter serves as a formal document stating that you are approved for the loan.

Get a Lawyer

As you go through the process of searching for your ideal place and getting mortgage pre-approval, you should also line up a lawyer based in Manhattan. Since much of the real estate in Manhattan consists of co-ops, it is important to have a lawyer to help you navigate any stipulations the co-op may require.

It is especially important to have a lawyer based in Manhattan, so they are familiar with navigating co-ops and Manhattan real estate, since the market is so competitive. With a lawyer based in Manhattan, the process will be quicker and easier for you.

Buying property in Manhattan is no simple or cheap feat. It takes work to narrow down your search, get pre-approved, and get a letter of commitment. But with some dedication and a lawyer based in Manhattan, you can navigate the Manhattan real estate market.