PHILADELPHIA | Highrise Development Thread IX

[SEFTA]

I forgot to turn off Logan Square.
Until I did that I didn't realize how massive Logan Square would be as an actual square. I think it would be relatively simple to do and should be done.

I don't acknowledge 1001 S Broad

[City Wide]

Originally Posted by mcgrath618

You forgot 1001 S. Broad
Regardless, awesome work.

Great work!
One building under construction to add on the next go round in the new hospital at HUP.

[3rd&Brown]

Originally Posted by iamrobk

I *think* you can sometimes do as low as 3% on a house but condos usually require at least 10%. I only put 10% down on my current condo but my understanding of most "younger" people I know (I'm 27, FWIW) is they're still aiming to have 20% down, if only because it's what their parents have told them...

Most first time buyers put down 5-10%.

Some put down less (2-3%).

You should remind your friends who are waiting to accumulate a 20% down payment that when their parents bought their houses, they paid $50K, having to put down 10% ($5K) at a time when they were probably making $25-$40K a year. Now, we're making maybe twice or 3 times that and trying to save 20% for a down payment on a house that is 6X as expensive as their parent's starter home was. Basically, you'll die waiting.

[cafeguy]

Originally Posted by 3rd&Brown

Most first time buyers put down 5-10%.

Some put down less (2-3%).

You should remind your friends who are waiting to accumulate a 20% down payment that when their parents bought their houses, they paid $50K, having to put down 10% ($5K) at a time when they were probably making $25-$40K a year. Now, we're making maybe twice or 3 times that and trying to save 20% for a down payment on a house that is 6X as expensive as their parent's starter home was. Basically, you'll die waiting.

If you have 20% to put down...then you're gonna buy a more expensive house...and in the end, still only put 5-10% down. ha

[McBane]

Or you can live within or under your means. My wife and I bought a rather modest townhome in a good school district for around $300k with no plans to move up to a larger home (even though we could swing it). I don't care how much money I make, I'd rather live it up, retire early, go on vacations, etc. than sink more money into a pricier home. If anything, I'd love to raise my family in a neighborhood like Spruce Hill, Society Hill, or Mount Airy but that's simply too expensive.

[El Duderino]

FHA at around 3%, have it appreciate and then refinance with a conventional loan. looking at a first home as an investment (focused on short-term ROI) can change the trajectory of future home purchases if done right. buying in a solidly appreciating area with a 3-7 year selling plan can reap massive benefits, though with the obvious risks (and the associated PMI with the FHA loan, too). i'm surprised more buyers in the general population don't take this route...though perhaps i shouldn't be as the risk can be slightly off-putting if you're not fully in.

[mja]

Put 3% down on a condo in the early 2000s, sold it two years later for $100K more, then put 10% down on a 2 story house in Fairmount, sold it 9 years later for 50K more, then put 20% down on a 3 story in Fairmount with money to spare.

There's no way I'd be living in the house I'm currently living in or have as much equity as I have if I didn't make that initial 3% down purchase.

[Sgalla04]

Originally Posted by El Duderino

FHA at around 3%, have it appreciate and then refinance with a conventional loan. looking at a first home as an investment (focused on short-term ROI) can change the trajectory of future home purchases if done right. buying in a solidly appreciating area with a 3-7 year selling plan can reap massive benefits, though with the obvious risks (and the associated PMI with the FHA loan, too). i'm surprised more buyers in the general population don't take this route...though perhaps i shouldn't be as the risk can be slightly off-putting if you're not fully in.

I put 3.5% down (FHA w/ PMI) on a house in Manayunk and lived there for 5 years before renting it out the past 3 years. The house hasn't appreciated much. Probably would not take much of a gain if I sold it, after the transfer taxes and fees. Refinancing wasn't an ideal option. I didn't want to get 20% equity with a lump sum just to get rid of PMI. I wanted that cash for my second house. However, the tenants' rent pays $300 more a month than the mortgage payment (including insurance, PMI, and taxes). I figure long term I'll be looking good. Had a deposit on a place for a year and finally closed in Aug. putting 20% down on a place in Olde Kensington and the last 3 units of the development are asking 17% more than I paid! Crazy appreciation in just 1 year. So some investments work out better than others. Point being is that diversifying all of your assets are probobly the best bet.

[skyscraper]

This is all fascinating, and obviously directly related to the topic , but maybe it would be even better suited for a personal finance thread.

[City Wide]

I think the beginning of all this was a question about why aren't there more high rise condos where the units are less then "luxury" priced. I and others said that there was a market for them but then the question was of how to afford a $700K condo-----------
Aren't the 'rules' for condos mortages different, and isn't 10% down still the norm for condos?

[iamrobk]

Originally Posted by City Wide

I think the beginning of all this was a question about why aren't there more high rise condos where the units are less then "luxury" priced. I and others said that there was a market for them but then the question was of how to afford a $700K condo-----------
Aren't the 'rules' for condos mortages different, and isn't 10% down still the norm for condos?

I got a mortgage on a condo in November/December 2015, and they had just changed the down payment requirement for conforming mortgages from 15% or 20% (I forget; whatever it was raised to after the recession) down to 10%. No idea if it's still at 10%, and that's only for conforming mortgages anyway.

[DudeGuy]

Amazon is looking to build a 2nd U.S. headquarters, and Philly checks all the boxes. Our political leaders better get on this ASAP (50,000 jobs!)

And it’s setting out some of the parameters that it wants to follow: a city must have a population of more than 1 million people, be a “stable and business-friendly environment”, be “urban or suburban locations with the potential to attract and retain strong technical talent,” and “communities that think big and creatively when considering locations and real estate options.”

It also notes that optional details include the ability to build an urban or downtown campus that would be similar to Amazon’s footprint in Seattle, and might be already developer-prepped ahead of Amazon getting involved.

https://techcrunch.com/2017/09/07/amazon...eadquarter-city-a-full-equal-to-seattle/

[ScreamShatter]

Originally Posted by DudeGuy

Amazon is looking to build a 2nd U.S. headquarters, and Philly checks all the boxes. Our political leaders better get on this ASAP (50,000 jobs!)



https://techcrunch.com/2017/09/07/amazon...eadquarter-city-a-full-equal-to-seattle/

I thoughts exactly. They encouraged areas to think big and bold. Schuylkill Yards is that. Philly has a ton to offer, and I could see it being very competitive with the right tax package attached.

How awesome would that be for us to get a new large company and 50k jobs?

[Mikieman]

Amazon wants to open a $5 billion second HQ in North America

http://money.cnn.com/2017/09/07/technology/amazon-second-headquarters/index.html

Seems like Brandywine has been prepping for this all along and has a huge head start. What's the over/under they land it?

[iheartphilly]

Re: Amazon East Coast HQ

All hands on deck for this one. This would be a REAL game changer for us if they land here. It's a once in a lifetime opportunity for the developers, investors, and politicians to court a highly valued publicly traded tech/retail company.

[eixample]

"Business-friendly environment"? Darrell Clarke and city council? I could see this making sense on several levels though, and Amazon could certainly force tremendous change to our business environment (and built environment for that matter).

[skyscraper]

Originally Posted by iheartphilly

Re: Amazon East Coast HQ

All hands on deck for this one. This would be a REAL game changer for us if they land here. It's a once in a lifetime opportunity for the developers, investors, and politicians to court a highly valued publicly traded tech/retail company.

I can't find the clip, but Philly should be like when the Simpsons' Springfield was bidding for the Olympics. Chief Wiggum told the committee "Whatever you want, it's yours. You'll be completely above the law. What do you want, women? Guns? Money? They're yours."

[mcgrath618]

Not only does Philly fit the bill, but it's the ONLY city on the east coast (besides NYC) that fits the bill. I really think they would choose us over NYC seeing as we have the development prepped and ready, in addition to having just cheaper real estate.

[Groundhog]

Originally Posted by eixample

"Business-friendly environment"? Darrell Clarke and city council? I could see this making sense on several levels though, and Amazon could certainly force tremendous change to our business environment (and built environment for that matter).

That's exactly what stuck out to me as well. It's likely they would bend over backwards for this though (while continuing to treat the rest of the business community like crap).

We're really well positioned for everything else they want, here's hoping!

[Milksteak]

Originally Posted by mcgrath618

Not only does Philly fit the bill, but it's the ONLY city on the east coast (besides NYC) that fits the bill. I really think they would choose us over NYC seeing as we have the development prepped and ready, in addition to having just cheaper real estate.

Boston most definitely fits all of the criteria and I would say is one of our biggest competitors (keep in mind the land mass of Boston is small, so the city proper doesn't have over a million people, but the immediate metro certainly does).

This is a massive opportunity for Philly, imagine the possibilities...