Neighborhoods, Not Just Properties, Compete Too
Posted by Jonathan J. Miller -Saturday, January 28, 2012, 1:55 PM
1 Comment
In the Sunday New York Times there is an interesting real estate cover story: So You’re Priced Out. Now What? that compares core neighborhoods with competing, less expensive alternatives. I provided the data fodder for the piece. Not always perfect apples to apples comparisons because neighborhoods in the boroughs are generally not homogenous, but clearly there is some linkage.
In analyzing real estate trends, I tend to think in terms of competition:
- House versus house
- Buyer versus seller
- Buyer versus buyer
- Seller versus seller
- Bank versus bank
- Brokerage versus brokerage
- Agent versus agent
- School district versus school district
- Location versus location, etc.
And on the location aspect of value, I certainly think about prices in one neighborhood versus another (i.e. Soho vs. Tribeca, Upper East Side vs. Upper West Side) all day long (it’s how I make my living) but I look at them on a correlative basis not a competing basis – how one poaches or syphons off buyers from another.
I’m not exactly sure what it all means but I’m rethinking it.
The data really helps paint a clearer picture. Thanks for putting that together. You are fast!