Co-op of the Day: 96 Schermerhorn Street, #7G
This studio at 96 Schermerhorn Street in Brooklyn Heights is only 505 square feet, but the owners, and architects, have managed to pack in quite a bit of stuff through a system of custom cabinets and sleeping platforms. It’s very attractively done, but it’s hard to imagine someone with a small child electing to make…
This studio at 96 Schermerhorn Street in Brooklyn Heights is only 505 square feet, but the owners, and architects, have managed to pack in quite a bit of stuff through a system of custom cabinets and sleeping platforms. It’s very attractively done, but it’s hard to imagine someone with a small child electing to make this place their home. After all, having your toddler asleep behind a curtain while you try to watch TV just a few feet away seems suboptimal to us. Seems more likely that this sells to a bachelor who converts the crib alcove into guest crash-pad. The maintenance is $877 and the asking price is $340,000.
96 Schermerhorn [FSBO] GMAP P*Shark
It’s really rather to absurd to suggest this is better than renting. In 5 years, you’re going to be paying over $1000 in maintenance for a STUDIO! That’s not equity, that’s called flushing your money down a poo mist laden toilet!
$1,000 is fine for a 2 bedroom (or even a 1 bedroom in the Heights) but those numbers aren’t going down.
Boerum… I’m just saying, everything up to that point made a lot of sense. Then you tossed in that chestnut. So silly. Of course you’ll have $XX of equity (immediately) in your home if you pay that much up front. But you also have that much equity BEFORE — in your piggy bank or other investments.
Not to mention that $4,000 in principal payments was completely offset by your lawyer fees and costs associated with getting your sweet ass into this co-op unit.
If you stopped at “Your net costs would be around $1,900 per month after tax deductions… oh, and you are of course building a *small* amount of equity each year.” Then I would (a) still think the price is silly for a funny loft studio, but that’s just me, and (b) not think you were blowing smoke out of your ass when you claim you magically have $72,000 in equity after the first year.
I’m not someone who wants to ever live in a doorman building, so considering my maintenance is $275 a month, it makes places like these really difficult to digest.
For the extra $600 I month I’m saving by not living in a Brooklyn Heights doorman building, I could pay someone to stand outside for 8 hours on each of the days I was expecting a package and still have enough left over to drink as many jameson and gingers as I want to.
Or maybe as McKenzie said the other day…the whole purpose of this is to keep riffraff like me (and BHO) away from Brooklyn Heights. Yes, we were the two she singled out on this blog as riffraff. I’m honored.
Then keep renting tybur6.
0% equity isn’t terribly convincing to me, but to each his own.
So, Boerum, that’s great and all… but the last bit of your calculations is a bit ridiculous.
>$72k in equity… Yeah, that’s from the $68,000+ down payment. You gained almost nothing in equity with your monthly payments. I don’t call emptying your savings account (i.e., LIQUID cash) and converting it into a frozen asset terribly convincing…
the 60 remsen studio is really nice!
meant to say “or” saving is foreign concept
@ current fixed 30 yr rates, payment is $1,444 – $2,321 with the cc/mnt. Prolly half the monthy fees are deductible (underlying mortgage).
So first year out, you lay out $27,827 in monthly payments – of which $18,500 gets written off on your schedule A. 28% bracket (e.g., AGI between 87-174K) that is a tax savings of $5,180 (>$430 per month). Between the down payment and the applied principal your equity is >$72K.
Yep, total sucker deal.
Kudos. Very cleverly done. Agree with DH about occupants. It’s not Brooklyn Heights. And it’s prolly not Boerum Hill which ends at State. So I’d call it “Downtown”.