Brokers Charge Fees In New York
Buyers: Sellers pay a broker’s fee of 5 to 6 percent, divided 50-50 between the buyers broker and the seller’s broker. The good news is that it means buyers don’t pay a fee. The bad news: Those fees are baked into the seller’s asking price.
Tip: To reap substantial savings while retaining the most important services of an agent, work with a brokerage that offers a commission rebate if you do some of the legwork on your own. Prevu will handle pretty much everything, including sending you to listings that fit your needs, advising you on the right price to offer, preparing the offer, negotiating with the seller, and assembling the board package youll need to prove your worth to a co-op or condo board. As a participant in Prevus Smart Buyer program, youll pocket a rebate of two-thirds of the commission paid to the buyers broker at closing. On a $1 million condo with a 6 percent commission, the rebate equals 2 percent of the purchase pricea cool $20,000.
Renters: In NYC, renters pay broker fees too, and theyre steep. Brokers frequently charge 15 percent of the yearly rent as their fee, but that can sometimes be negotiated down to around 12 percent or even one month’s rent, especially if you’re willing to move fast on an apartment. During the doldrums of the pandemic, landlords were willing to cover the broker fee, but with the rental market so frenzied, they are not inclined to do so now.
Median Rents In New York City
I learned that of the three main selling points to an apartment rent, location, size most places only had one feature. I ranked these three things by personal value and was able to find a place in my budget, my Brooklyn 2BR apartment is less than the average low of 2BR’s in NYC.
The apartment gods smiled on me when I found my place because not only was my rent within my budget, but I loved the location the size however, is comparable to my parent’s walk-in closet. The best piece of advice I got when looking at apartments, was “use your imagination”.
The Ideal Income To Live In An Expensive City
I believe $200,000 a year per person is the ideal income for maximum happiness. To put things into perspective, a 30-year-old second year Associate makes anywhere from $170,000-$250,000 on average in finance as do second year lawyers. 32 year old doctors who dont do fellowships make $150,000-$250,000 as well.
If two, $200,000 income-earning people can combine forces, then even better. Nowadays, a family earning $300,000 a year in an expensive city is considered middle class.
Whats also interesting is that two people making a combined $400,000 annual income is right at the limit for where President Biden wants to raise taxes.
$200,000 Income Breakdown
Effective Tax Rate : 35%
Net Income: $118,625
$200,000 Budget Breakdown
Rent For Two Bedroom In Mid Town: $5,500
Food: $1,000. Now we can afford to eat four $100 dinners a month with $500 left over for lunch and breakfast.
Beverages: $500. You can go out twice a week now or feel more comfortable buying a couple rounds of drinks for three friends four times a month.
Cabs: $200. Instead of taking the subway when its super hot or really late, you get to take a $15 cab ride a little more often for convenience.
Subway : $114. Same old monthly commuter plan.
Cable / Internet: $100. Same old package.
Entertainment: $500. A little more breathing room here because now you can afford to take out a date!
Mobile phone: $100. Upgrade to a larger data package because youre on the move more often.
Total Expenses: $8,300
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The Yellow Ones Do Stop
The second you step off the plane you will be greeted by a guy in sunglasses and a leather jacket offering you a ride. A seasoned New Yorker knows never to take him up on his offer no matter how good it sounds. Private car services are notorious for up-charging their patrons, plus they typically do not accept credit cards. Although these cars sometimes seem to be the more convenient choice, go for a yellow cab to avoid paying more.
Ogdensburg: Reside In The Second Cheapest City In New York
This small town is close to the USA Canada border, so it’s very far north and can get quite cold during the winter time. Despite its distance from NYC and chilly weather, it is a fairly cheap option if you want to reside in New York.
Surprisingly, Ogdensburg is known as one of the most popular spots in New York people like to retire at. More perks to living here are the endless trips you can take over to theCanada border to have a little getaway!
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The Suspect Shot And Killed Himself The Authorities Said Here Is The Latest
MONTEREY PARK, Calif. The man sought in the late-night slaying of 10 people at a ballroom dance studio in Monterey Park, Calif., was found dead on Sunday afternoon inside a van about 30 miles away, the authorities said, ending a daylong manhunt across the Los Angeles region. Officials offered no motive for the rampage, but said they believe the gunman tried to carry out a second attack nearby.
Here are the details:
Monterey Park Police Chief Scott Wiese said his officers were on the scene in less than three minutes after the first emergency call, and were among the youngest officers on the citys force. The scene they encountered was chaos, he said, with people dead and injured and witnesses running away.
The weapon seized from the suspect in Alhambra is probably not legal to possess in the state of California, the sheriff says. Earlier, he described it as a magazine-fed semiautomatic assault pistol that had an extended large capacity magazine attached to it.
Moving To Nyc After College More Ways To Save Money In Nyc
Here are several quick tips for reducingyour overall budget in New York.
Dont bring your car.Heading to the Big Apple after graduation? You may want to ditch your car. Not only is parking extremely scarce and a total hassle in most areas of the city , the city is well connected via public transit. Save major bucks on insurance, gas, repairs, and parking by selling your wheels before you arrive. Check out Yelp reviews for car-sharing services like Car2Go and Zipcar for those occasional times when you really need a car or just want to get away from the city.
Do the math on transportation costs.Before you spring for a monthly unlimited Metro pass, actually sit down and calculate how often youre taking the subway and bus. If you work from home a few days a week, it may be worth it to continue paying ride-by-ride. Or perhaps its the opposite youre constantly riding the train to commute and get together with friends. You may find those unlimited rides will save you significant cash.
Shop at local markets for cheaper produce.Grocery shopping in New York City is not one-size-fits-all. Start exploring local farmers markets and street vendors for produce instead of heading to a superstore for any and every purchase. An extra stop could save you big!
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Net Effective Rent Is Lower Than What You’ll Actually Pay
When demand is lower, for example during the winter, you may find a rental with a free month . Lots of NYC landlords offer this freebie at the beginning or end of a lease to encourage you to sign a lease. Some landlords spread the discount over the term of the lease in what’s called the net effective rent or the advertised rent, but the net effective rent is less than the amount you will actually have to payknown as your gross rentduring your non-free months.
Brick Underground’s Gross Rent Calculator enables you to easily calculate your gross rent, make quick apples-to-apples comparisons between apartments and avoid expensive surprises. All you’ll need to figure out your gross rent is 1) the net effective rent, 2) the length of your lease, and 3) how many free months your landlord is offering.
What County In New York Has The Lowest Cost Of Living
The county in New York with the lowest cost of living is Tompkins County. The average living wage in Tompkins County is $101,647 according to MIT data. Tompkins County has the lowest cost of living because it has relatively less expensive childcare and housing costs compared to New York as a whole. Childcare costs $20,571 a year in Tompkins County for two children compared to the New York average of $23,262. Housing costs, defined as a blend of the average rent and average mortgage payment, are $15,228 per year in Tompkins County compared to $20,091 on average in New York.
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Transportation: Walk Ride Bike Or Carpool
If you really want to save, do NOT bring a car. In some metropolises like New York or Chicago, you often dont need one to get from place to place. No gas expenses, oil changes, or parking nightmares necessary.
In other cities, like sprawling Los Angeles, a car may be essential. Carpool if and when you can. Know the public parking laws to avoid tickets and fines. And dont drive if you dont have to. Owning an inexpensive car you drive on a need-to-use or emergency basis may be a reasonable compromise.
Avoid Broker Fees At All Costs When Searching For An Apartment
Ive never paid a broker fee in NYC, and neither should you. A broker fee for renting an apartment in New York City is usually equal to one month of rent on the lease, so this amounts to paying 13 months of rent in a year, instead of 12.
You can search for apartments by filtering for no fee, and you can learn more about this in our guide to renting in NYC.
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Syracuse: Home Of Syracuse University
Syracuse is the home to two very popular schools, Le Moyne College and Syracuse university, so a lot of younger generations enjoy calling this vibrant city their home.
If you’re considering studying abroad, taking a gap year, or just want to be in a city that has lots of young energy, Syracuse is certainly the right choice to make!
It’s possible to enjoy the small town feel in a medium size city with big opportunities and a great chance to save money and live on a budget in New York.
How To Live Affordably In New York City
New York City is an amazing place to live, but it comes at a price. With 8.5 million people crammed into just 302 square miles, rents are as high as the skyscrapers. Other regular expenses like food, transportation and utilities are also notoriously sky-high. All things considered, not all New Yorkers are millionaires, but it is possible to live in NYC on a budgetand have fun at the same time.
Here are a few tips for managing your budget and living cheaply as possible in NYC while enjoying the wonderful things the city has to offer.
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If You Want To Eat Out Opt For Fast Casual Rather Than Sit
If you do eat out at restaurants from time to time, and we sure do, when we have occasions to celebrate or splurge, we opt for fast casual for a few reasons.
First, you can usually sit outdoors and enjoy a sidewalk meal just as you would at a sit-down restaurant with waiter service, but second, fast-casual allows variety and sticking to a budget if you want to get something small, or just a drink, or just a dessert or snack, and still have a restaurant dining-out experience.
Accuweather: Winter Storm To Impact Parts Of New York On Sunday
– A graph shows different areas of the northeast and their expected precipitation for Sunday night’s storm on the AccuWeather website.
STATEN ISLAND, N.Y. Areas of northern New York have been seeing steady snowfall, but the city has yet to see any accumulation. Sundays anticipated storm will surely bring rain to the city, but snow remains unlikely.
Parts of upstate New York received accumulated snowfall on Friday, a sight that New York City has not witnessed in more than 10 months. The city is currently in the fourth-longest snow drought in its history.
Theres some snow falling up across a lot of places in central and northern New York, as far south as Binghamton and places like that, said AccuWeather Senior Meteorologist John Gresiak in regard to Friday evenings weather. Snowfall totals up there in most areas havent been a huge amount. Once you get far enough up there, there has been some pretty heavy snow. A lot of it is winding down at this point.
Sunday promises wet weather for New Yorkers in the city. Although there still remains a chance at catching some stray flakes.
Its going to be rain in the city, but again, areas north and west are probably going to see some snow once again,’ Gresiak noted. There could be a mix pretty close to the city, and even maybe a few snowflakes in the city itself. They will be very scant and just melt on the way down or as soon as they hit the ground.
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Don’t Drink Your Calories
Every television show or movie you’ve ever seen about New York City features a group of friends circled around a bar or a coffee shop. While you can certainly do this once in a while, do not drink away your rent money. Cocktails, in particular, are quite expensive at NYC bars . What you may want to do is find a few bars that serve drinks that you like at a price you can afford AND they have specials like buy one, get one. Happy hours are the best bet and they are EVERYWHERE! Now, they won’t be the glitziest of bars like those pop up speakeasy’s that everyone likes but they are closer to your local pub bars where you can go and feel comfortable with a group of people.
Even better, you may want to skip bars altogether and go to your local Trader Joe’s – you can get cheap wine or mixers there and make your own. You are paying rent for your apartment, so why not use it?
Another great tip for living cheap in NYC is to skip buying your coffee at Starbucks, Joe’s Coffee, Juice Generation or Pret a Manger. Instead, get yourself a reusable coffee mug and make your own coffee at home. While this might seem like a common suggestion, it is actually one of the easiest ways to live in NYC cheap – they know we will pay a premium for coffee if we need it. If you do have to buy coffee, stick with drip coffee instead of a latte. Use those as a reward for getting through the week, going to the gym regularly, or meeting a goal at work.
Not All Rentals Are In Rental Buildings
Renting an apartment in a rental building is not the same thing as renting an apartment in a co-op or condo building. The latter will probably be a bit nicer in terms of appliances, finishes, and amenities, but there is a lot more red tape involved , plus higher application fees, and frequently, restrictions on how long you may rent. For more information, see Brick Undergrounds pros and cons of renting in a co-op or condo building.
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Hudson: Get Down By The Hudson River
Hudson is another city that is closer to the cheapest places to live in New York. The infamous Hudson River is so conveniently located in this city which means there are plenty of fun water activities to get into.
This town is very historical so there is plenty to see on your time off. As of 2021, the population of Hudson was recorded to be 5,964 so you’ll get that small town cozy feeling while being in a very popular city that has loads of opportunities both young and old!
The monthly rent prices are also very welcoming pricing at around $900 per month for a one bedroom apartment which is very generous considering the fact some New Yorkers pay over $1,900 to live in a studio apartment.
Charge Your Roommates More
We would never EVER condone this behavior, but if youre the kind of person that would overcharge your roommates so you dont have to pay rent, this is for you.
Throw an ad on craigslist looking for roommates for your 4 bedroom Lower East Side apartment. Tell the potentials that the rent is $1,733 each for the 3 remaining rooms , and then enjoy your rent free life.
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Make Your Coffee At Home Or At The Office
I used to have a friend whose girlfriend bought coffee at a cafe every single day on the way to work. At $5 a day, thats $25 a week, and $100 a month, and $1200 a year.
ON COFFEE. Especially in NYC, youll see coffee get expensive, rarely below $2 and often $4-5 per cup if youre getting a nice drink like a latte, or cold brew, or something iced, to-go.
If youre like us, youve learned how to brew your own coffee at home and brew it well, while enjoying the experience. Its the same reason we also make our own coffee when we travel.
By buying a big bag of coffee for $12, and each of us drinking a cup every morning with our Chemex, weve saved thousands of dollars, based on the math above. This is one of our favorite and enjoyable ways to save money living in NYC.