posted on Mar, 30 2007 @ 06:38 AM
I'm sorry, I should have said Manhattan and not NYC. NYC encompasses Brooklyn, Queens, The Bronx and Harlem.
The link you gave shows all properties in the 5 boroughs. you need to go to the last few pages for Manhattan properties and it looks like they are
mostly small 1 bedrooms and studio apartments. A 450 square foot box for $365,000? they dseserve to lose it all paying more than $150 for a
The reason you won't see a big number of foreclosures in Manhattan is as I said earlier, a result of the co-op boards having ridiculous rules for
purchasers. I have seen some boards that won't allow more than 50% financing. The average is more than 20% in the area. While this doesn't mean
people won't lose their homes, it does mean that they have more to lose if they put 20% down. In the case of the sub prime lending, many of the
borrowers not only had crappy credit scores (sub prime) but they borrowed 100% or more of the value of the home, putting no money down. If things go
bad they walk and they are right back where they started. For a home where you put down 20%, you stand to lose that money and that can be a hell of a
motivating factor to sell, refinance etc.
The sub prime folks can't refinance because the rates are higher, they don't have the income or the assets to support the documents and they cannot
afford the payments at today's rates.