Buying your first home in New York City is both exciting and intimidating. With co-ops, condos, and highly-competitive inventory, NYC plays by its own real estate rules. As a Downtown Manhattan broker, I’ve helped dozens of first-time buyers navigate the process successfully. Avoid these common mistakes if you want your offer accepted and your deal to close smoothly.
1. Not getting pre-approved before shopping
In NYC, serious sellers and agents won’t consider offers from buyers who haven’t submitted a mortgage pre-approval. Trying to “shop around first” can cause you to miss out on properties that go under contract quickly.
2. Underestimating total closing costs
Unlike other parts of the country, NYC closing costs can reach 2%–4% of the purchase price for condos, and up to 5% for co-ops. Between mansion tax, attorney fees, mortgage recording tax, and move-in deposits, failing to plan can derail a deal.
3. Choosing the wrong type of property (co-op vs condo)
Co-ops usually have lower purchase prices, but are more restrictive — requiring board interviews, liquid asset requirements, and longer processing. Condos are more expensive but offer more flexibility, especially for investors or non-U.S. citizens. Knowing the difference can save time and heartache.
4. Lowballing offers in a competitive sub-market
Downtown inventory remains tight. Serious buyers who come in with strategic, data-driven offers often win bidding wars — not those trying to “test the waters.” A skilled agent will show you comparable sales to guide your offer.
5. Working directly with the listing agent
The seller’s broker works for the seller. Having your own buyer’s agent costs you nothing and can help you negotiate better pricing, terms, and protect your interests all the way to closing.
If you’re considering buying in NYC, preparation and strategy are everything — and I’m here to guide you every step of the way.
