By: KeyCrew Media
A two-bedroom rental in Harlem, NY, costs about $5,000 a month, by Daniel M. Berger’s estimate. For renters deciding whether to keep paying that or buy, the choice comes down to more than the monthly number. It is also about control, flexibility, and how open you are on location.
Daniel, a Licensed Broker/Owner in New York and Connecticut with RE/MAX Prestige Properties, specializes in Westchester County, NY, and Fairfield County, CT. He recently sold a two-bedroom condo on 116th Street in Harlem, and that sale offers a practical look at what buying in the neighborhood can mean compared with renting.
What $5,000 a Month in Rent Compares To
The condo Daniel sold went for about $770,000. The building dates to 1910 and was converted to condominiums in the 2000s, so the unit has large bay windows and high ceilings that set it apart from newer construction. A comparable two-bedroom in more central parts of Manhattan, Daniel says, would likely cost double that or more.
The location adds to the value. The building is just north of Central Park, near Columbia University and the Cathedral of St. John the Divine, with hospitals nearby and easy access to buses and subways. “While it’s not central New York, it is Manhattan,” Daniel says.
Rent and a purchase are not the same expense, and owners take on costs that renters don’t, such as repairs and taxes. Still, the numbers show how Harlem can put Manhattan ownership within reach for buyers who might be priced out of other neighborhoods.
Owning Gives You Control Over the Space
For Daniel, the biggest difference between renting and owning is control. “If you’re renting, you’re really just living in someone else’s place,” he says. For most people, he sees renting as a step on the way to something else.
Ownership changes that. A home you own may gain value, and you can change it to fit how you live. The Harlem condo is a good example. Its floors, bathrooms, and kitchen were dated, and the buyer plans to bring in a contractor and redo much of it. Daniel describes a place like this as a canvas: the space and character are already there, and the owner decides what comes next.
He is careful not to promise appreciation. If New York City and Harlem keep improving, the condo could be worth more in the future, “but you don’t know that for sure,” he says. The more certain benefit is having a say over the home you live in.
Why a Condo Offers More Flexibility Than a Co-op
Not every purchase gives you the same control. Co-ops are common across the New York area, and they work differently from condos. In a co-op, you don’t technically own your unit. You own shares in a corporation that come with a proprietary lease for your apartment. A co-op board also weighs in on many decisions, which can make renovations or renting the unit out harder to get approved.
With a condo, you own everything inside the unit. That gives buyers more options: fix it up and live there, fix it up and rent it, or some of each. Daniel points to buyers who spend part of the year in New York and want to rent their place out the rest of the time. That is generally easier in a condo than in a co-op, though building rules and New York City’s short-term rental regulations still apply, so buyers should check both before counting on rental income.
Being Open to More Neighborhoods Can Pay Off
Part of what makes Harlem a realistic option is a willingness to look beyond the usual addresses. Twenty or thirty years ago, Daniel says, Harlem did not have the appeal it has today. With more people wanting to live in New York City than there are apartments, buyers have spread out to Queens, Brooklyn and Harlem.
Daniel encourages buyers, especially in a seller’s market, to stay flexible. If you insist on one town or one block, you compete with everyone else who wants the same thing, “and the way that you fight is with more money,” he says. Buyers who are open to several areas that meet their needs have more homes to choose from and more room to decide.
That doesn’t mean everyone should compromise. Some buyers have a specific block in mind and the budget to get it. For renters weighing $5,000 a month against owning, though, widening the search can be what makes buying possible. Daniel’s resources page is a helpful place to start for buyers working through the next steps.
Daniel M. Berger is a Licensed Broker/Owner in New York and Connecticut with RE/MAX Prestige Properties. He specializes in Westchester County, NY, and Fairfield County, CT.
Disclaimer: This article is based on information provided by the expert source cited above. It is intended for general informational purposes only and does not constitute legal, financial, or real estate advice. Readers should conduct their own research and consult qualified professionals before making any real estate or financial decisions.
