The Hoboken Cafe 

I moved here about 10 years ago. Recently I found a copy of the Reporter from June 1991 in with some of my old papers. $106,000 could buy you a "nice 1 1/2 br on quiet street." A 2 br could be had for less than $200K.

With all the new construction going on and Wall Street teetering, does anyone have any predictions for the direction of the local real estate market?

Just curious.

I don't know but all those units under construction are probably already sold before construction began. It may have been ideal to wait it out but who knows how many units would be around. The RE market will probably take a dip in the next few months. The summer months are prime months for moving (i.e., kids out of school, etc.) but than economic indicators point to slow housing starts. If you have patience you can probably hold out for another 3 months when persons selling homes in the area may drop price just to make a sale.

However, if you go down to the Shore area below Forked River the RE is picking up.

Dan

What do you consider the indicators that the market is slowing? I haven't been watching the real estate market much until recently, but I have started, because I would like to purchase a condo in Hoboken in about 1 or 2 years. So I've got time to wait it out! (I'm in a great renting situation right now, but you can't rent forever....) Any thoughts on the long term prospects? The prices right now are SO out of hand, I just can't stomach spending a quarter of a million dollars on a condominium.

After black monday in 87, the RE market crashed for the next 2 years - you couldn't give condos away. Then the market picked up for a couple of years before nose-diving again for about 3 years following the 91 recession. The RE market tends to be about 1 year behind Wall Street, so we're well overdue to take a hit.

I recently sold my 1 br condo for $279k and am now renting.

GOod news for you... bad for the person who paid $279k!!

Why did you go back to renting after owning? I always though it was a one way street... lol...

Thanks for the info!

Actually, I know one or two people who've done the same. Owning is not always a good economic decision especially if your horizon is short.

I checked out some new construction condos and did the math. In investment terms, most are priced at above break-even meaning that if you rent it out you may or may not cover your costs. This may be fine but if Wall Street stubs its toe, things could get precarious.

If you're gonna be there for 10 years then you can do the deal tomorrow and it won't really matter. But you better not grow out of it.

Also, owning is a hassle. When the roof leaks it's your problem. The boiler needs to be replaced? Your dime as well. Then there's the condo assn. and I don't even want to go there.

I was walking through the A&P parking lot and looked at those "Space is Luxury" lofts. I told my friend they're priced at nearly $1/2 million. His reply "for that kind of money, I'd rather have a really nice house with a yard where I don't hear cars horns and fire engines all night long."

I bought my condo during the last recession, 100's of condos
for sale with no buyers.You can get great prices back then in 89/90/91/92, not the case right now

I graduated during the last recession and couldn't get a job at Burger King, much less a publishing house or PR firm like I was hopin'.