Independents Day

Ross Perot came close, for awhile. Fact is that its hard for independents to compete. In politics, in life, in real estate. The establishment has The Machine. In politics its the Parties with their money. In life its the crowd, its the teachers who teach the same program to everyone, its every system designed for the masses. And in real estate mom and pops don't stand a chance. Not to say there aren't a few niche players who find a way to carve out a livelihood.

The big time franchises have national referral networks, training systems, back office systems, marketing vendors bending over backwards with custom products and the all important name recognition. The masses have been conditioned for mass consumption. It's safe.. it's the chain. Say you're driving down some highway in Utah, Virginia, Vermont, or Oregon. You're hungry. There's a Houlihans and a Big Al's diner with the sign "worlds best meatloaf". You're thinking "wow I haven't had meatloaf in forever. I could really go for some meatloaf" ....So you pull in and order the meatloaf at...Houlihans.

Sellers: You already know this. That's why you pick up the phone and call the big time players when you want to sell. Agents know it too. Agents pay additional fees (sometimes as much as 10% of their take home) to be a part of a franchise.


THAT'S THE FACT. JACK!

Hoboken Condos 2008
The 2nd Quarter numbers
Sold 218
Avg List price of sold $542k
Avg sale price of sold $531K
Median Days On Market 41

Information deemed reliable but not guaranteed

The Dogs Of War.

Another entry from the I'm not making this up department. Just came across a very high end listing and here is what what listed in the broker remarks. (special notes about a property for agents but not clients.) "2 very large dogs will be in closet- sign will be on closet door -- do not open. 2 cats -- do not let out."

Mind you this is in small type on my listing page. Sometimes I'll even forget my listing sheet in the car and we'll just use the client version. A few questions...I wonder how big the sign is? I wonder how big the closet is? I wonder what happens if someone has a momentary lapse of reason and opens the door. (I know buyers who tend to overlook signs on doors, just one slip could cost you)...I know why the cats want to leave.

Tip to sellers: If you can afford a million dollar plus condo, you can probably afford a dog sitter when there is a scheduled appointment. Buyers don't like closed doors and they especially don't like closed doors with signs of life coming from the other side. It ruins the mood and they hurry out as if they are learning to fly.


You can knock at any door,
But wherever you go, you know they've been there before
Well winners can lose and things can get strained
But whatever you change, you know the dogs remain.
-Pink Floyd

My apologies for being under the weather the last couple of days.
Hoboken Condos 2008
The June Numbers
Sold in June 69
Under Contract in June 69
Current Active 488

Information deemed reliable but not guaranteed

No Comps.

It's hard to tell value when there aren't a lot of comps in a tiny niche of the market. Take for instance the the 2 bedroom condo priced over $650k but less than 1100 sqft. There are only three available units and one that sold in 2008. Usually, it's something pretty unique that will push the price per square foot up into this stratosphere. NYC views, loft ceilings, amazing outdoor space and of course parking..something like that.

But parking is really only going to account for $35-$40 a square foot. So when there are lots of choices in the $500-$550/sqft range (with parking factored in) what gives? Look to the two most obvious options, 1) the unit is spectacular and unique that when the right buyer comes along it gets sold 2) it is simply overpriced and should be in the range with the other nice but less than extraordinary condos.

The old real estate axiom: Every seller thinks their property is unique and better than the identical unit next door. The old "but we used better nails" defense.

Hoboken Condos 2008

2 Bedrooms
$650k+, less than 1100sqft

Active 3

under contract 0

Sold 1Information deemed reliable but not guaranteed

Going Greyhound.

I don't know what all those MTA guys are fussing about. The bus is a really attractive option for folks in Hoboken.

Top 5 Reasons to Consider A Hoboken Condo Near The Bus Line

5) There are multiple routes.

4) Avoid nasty PATH delays.

3) You will likely walk a shorter distance to the Bus.

2) The seats are more comfortable.

1) In most areas of Hoboken, you won't have to pay a premium like a condo close to the PATH.

Back to the MTA guys. I am not making this up...The board of directors held a secret meeting to decide to give back lifetime perks of using the MTA for free. Keep in mind that these guys are super wealthy and get paid thousands of dollars per hour actually worked to be on this board. Another political joke on the public. See it's not only Hudson County....Coming soon to a commute near you...Fare Hike.

Hoboken Condos 2008

Advertising Close to Bus
Active 60
under contract 30
Sold 91

Information deemed reliable but not guaranteed

All The New That's Fit To Print

Anyone see the Hoboken Real Estate article in the NYT this weekend? http://www.nytimes.com/2008/06/22/realestate/22njzo.html?ref=communities

The numbers didn't seem to reflect what I am seeing on the ground here. So I did a little statistical exploration.

Here's an excerpt from the article "Meanwhile, the average price for a one-bedroom unit has dropped 9.3 percent since January — to $420,797 — and 40 percent of those units now on the market have had their asking prices reduced, by an average of 3.3 percent."

I have no idea what they are talking about. Asking price? Is that any indicator of the market? Why print it at all? I think I'll list a ten million dollar one bedroom just to show how useless it is to look at average ask price.

My research says that in Q4 2007 seventy three Hoboken one bedrooms sold for an average sale price of $391k. Since April 1, 2008 seventy seven Hoboken one bedrooms sold for an average price of $416k. This is about 6% INCREASE not a 9.3% decline.

Maybe the stats should be left to the Wall Street Journal.

Hoboken Condos 2008

One Bedrooms

Q4 2007

Sold 73

Avg Sale price $391k

Since 4/1/08

Sold 77

Avg Sale price $416k

Information deemed reliable but not guaranteed

Armstronging It.

There are a lot of bikers in Hoboken. Not the Harley kind, but the Tour De France kind or the I don't want to walk and I don't want to pay for a cab to the PATH kind. There's even a new bike advocacy group at http://www.bikehoboken.com/. The group has ambitious goals of making Hoboken more bike friendly. Now I wouldn't hold my breath for bike lanes anytime soon, but it can't hurt trying.

Sellers. This bike riding segment can be marketed to. Does your building have bike storage? Hooks in the garage for storing a bike? Room in front of your parking space for a bike? If your on 5th and Monroe, throw in a bike to sweeten the deal.

Buyers: Let your agent know that bike accessibility is important. There are a lot of bike friendly buildings in town.

Who knows Hoboken could be the New Amsterdam. Heck some people already think were part of the old New Amsterdam.

Hoboken Condos 2008

w/ bike storage advertised
Active 18

Information deemed reliable but not guaranteed

Pump You Up.

Summertime and the living is easy. Time to go to the beach and bare it all.... Maybe time to hit the gym first. Luckily Hoboken offers nearly 40 condo buildings with a gym included. Now not all gyms are equal but they all provide at least some minimal offerings to get you in shape. Most buyers really like the gym aspect even if they are fooling themselves into thinking they'll use it.

Buyers should take into consideration that the big name gyms in town are north of $100/month plus initiation fees. The added maintenance of a gym in your building is a small fraction on that. Plus on the cold winter days, there is no excuse.

Sellers: if your building has a nice facility, make sure the showing agents have access by leaving the fob/pass key where a showing agent can get it. I'm not saying the gym will be the reason someone buys, but it could push someone on the fence over the edge, or give you the upper hand in two similar units.

Muscle beach here I come. Gonna Pump You Up!

Hoboken Condos 2008

W/ Exercise room

Active 151
under contract 53
Sold 94
# Buildings 38 (not including the sky club)
Information deemed reliable but not guaranteed