Buying a brownstone or townhouse? Here are 10 things to consider

[ad_1] New York Metropolis brownstones and townhouses have lengthy appealed to patrons who need extra sq. footage and personal outside area with out having to decamp to the suburbs, the place you will pay larger property taxes. However in comparison with a co-op or rental, dwelling in a brownstone is a extra hands-on funding that can put important calls for in your time.

The variations between shopping for an house and a brownstone begin with the pre-sale course of, which will probably be extra thorough and require you to make use of an lawyer, lender, and insurance coverage dealer with brownstone expertise. However that’s not the place the variations finish.

You’re in all probability already conscious that you just will not have the perks of NYC house dwelling, like having a brilliant to name each time one thing wants fixing and employees to just accept your packages.

Within the post-pandemic period, one other distinction—dwelling on a number of flooring—is now not thought of as a lot of a downside. “One of many issues that individuals used to search out intimidating or unappealing about townhouses was the verticality and the separation of areas,” mentioned Lindsay Barton Barrett, a dealer at Douglas Elliman.

Now patrons recognize "the flexibility to create distinct areas—for work, in addition to locations to return again collectively as a household," she mentioned. "Moreover, the autonomy that comes with proudly owning a townhouse, controlling all the areas, having a house health club, laundry, and many others., has develop into newly appreciated.”

[Editor’s note: An earlier version of this post was published in October 2024. We are presenting it again with updated information for September 2025.]

What you might not be relying on are all the opposite myriad tasks that may—and inevitably will—rear their head at any time.

“I at all times pre-warn patrons of the sorts of issues they'll be answerable for and to know at the very least the fundamentals in case one thing crops up in the course of the evening,” mentioned Kemdi Anosike, an agent at Compass. Assume water leaks or a flipped electrical change.

He additionally identified that changing into a DIYer is a small value to pay in trade for privateness, a yard, and the ability to make your own home all your individual.

In the event you’re contemplating shopping for a brownstone, right here’s what you'll be able to anticipate.

1) Repairs is your duty as an proprietor In contrast to with a co-op or rental, if something goes fallacious with the property, it’s your duty to rent an expert—no extra calling your constructing’s tremendous to say, “I’ve received an issue.” That goes for coping with rodents, clogged drains, and trash elimination.

“Patrons for certain take into consideration shoveling snow and tending the backyard, however not getting service contracts to maintain mechanical tools in working order,” Barton Barrett mentioned. Having owned a townhouse within the Cobble Hill Historic District for over 15 years, she famous that "it is the continued however rare tasks, comparable to neglecting a persistent however seemingly minor leak, that may create essentially the most havoc."

Anosike makes a degree of reminding brownstone patrons to pay their water payments, which you don’t must do in a co-op or rental. “I’ve had purchasers name me two months after closing, questioning why their water has been shut off,” he mentioned.

You'll need to be proactive about routine residence upkeep, primarily for the boiler, furnace, and plumbing, in addition to cleansing the gutters and making any roof repairs (or changing it as wanted, usually after 20 years for asphalt shingles, longer for slate).

Then there’s the matter of portray or in any other case protecting the facade and stoop in good restore. Be ready to shell out bucks to switch home windows for higher insulation and soundproofing, too.

The town additionally requires you to maintain your sidewalk in good situation—and can maintain you liable if somebody slips on the ice or if a tree root comes up and lifts a part of the sidewalk, making a tripping hazard. (It occurs rather a lot, per Barton Barrett.)

Now for the excellent news: Odds are you received’t be going it fully alone. Anosike reported that neighbors typically collaborate by hiring a communal tremendous to deal with all their wants.

Here is one other concept, in case you’re coming from a co-op or rental: Anosike had a consumer rent their former tremendous to return to their new place as soon as every week to assist out.

2) You may want a strategy to settle for deliveries and packages Given fashionable know-how, forgoing facilities like doormen or concierges to deal with your deliveries is now not such a downside. Putting in a distant doorman system like Digital Doorman, which you management through the app, is one workaround; when the supply particular person presses the buzzer, you'll be able to see who it's and supply entry to a protected spot to depart packages. Another choice is a Field Lock, that includes a sensible lock with a built-in scanner that works with any container that may be secured with a padlock.

Barton Barrett famous that some New Yorkers rent home managers who will be there to just accept packages and meet the plumber or different staff, as these people typically have development administration expertise. Or you'll be able to take one other frequent (old-school) method and ask a neighbor who's residence through the day to take your packages.

As for the dearth of constructing safety, you'll be able to set up wi-fi safety methods from Ring, SimpliSafe, and Vivint, or "get a extra elaborate 24/7 monitoring service," Anosike mentioned.

One ultimate caveat: As a result of it is extraordinarily uncommon to search out an elevator in a brownstone, you must also take into account the way you’ll be transferring furnishings and home equipment into your new dwelling. (Trace: Take cautious measurements before you purchase.)

3) You must do a title search Any liens on the property, code violations, and open permits will probably be found by the title firm when it searches and prepares its report, usually after a signed contract, though you'll be able to order these searches earlier.

Your lawyer could uncover liens or violations through the ordinary due diligence, as properly. It's also possible to do your individual analysis on the Division of Buildings’ web site.

It’s price taking into account that brownstones can simply be 100 years outdated or extra in NYC, and through that lengthy historical past, “one thing could have occurred,” Barton Barrett mentioned. As well as, as a result of house owners are inclined to renovate these properties, there’s better potential for a contractor’s lien or open work permits.

“Many individuals overlook the should be ready if a title search goes awry. Points can come up after the contract is signed, and solely a certified lawyer will help you navigate them. Generally the title report can present violations that weren't recognized within the preliminary public document report,” she mentioned.

Not that these are essentially deal-breakers, however they will drag out the sale, by weeks and even months.

4) Test the C of O if you wish to lease out items In the event you 're contemplating shopping for a brownstone as a multi-family property to lease out items, you’ll wish to examine with the DOB to confirm its authorized designation underneath the Certificates of Occupancy. It's because a three-family setup may very well be labeled as a two-family designation, or a two-family residence is likely to be thought of a reputable single-family residence . In case your plan is to purchase a two-family with the objective of renting an house out, you wish to make it possible for the home is certainly a authorized two-family.

And in case you’re getting a mortgage, the brownstone’s precise use will should be in keeping with its authorized use; in any other case, your lender could not shut on the mortgage.

5) Your supply is determined by passing the inspection The overall pondering is that any supply ought to be contingent on the property passing a website inspection, which you must schedule earlier than you signal the contract. Ask your dealer or mortgage banker for a house inspector advice or seek for one right here.

“It’s a good suggestion to work with a licensed inspector who's skilled with brownstones, which have a complete set of potential issues not related to fashionable buildings,” Anosike mentioned. These embrace the presence of lead paint; mildew within the basement (“that’s quite common”); issues with the facade, basis, or roof; a leak from an oil tank; and an outdated heating system or electrical wiring.

6) Landmark standing impacts renovation plans If the brownstone is in one of many metropolis’s coveted landmarked districts, you’ll be required to undergo the Landmarks Preservation Fee to acquire approval for exterior renovations. It may be a time-consuming course of, and you’ll be restricted in what you are able to do.

“It does add a layer of complication when renovating, however I personally assume it’s not as a lot of a ache as individuals assume it's,” Barton Barrett mentioned. Easy updates will be authorised on the employees degree, for instance, fairly than having to get a full evaluate.

Apart from the uncommon occasion the place the inside can also be landmarked, it is possible for you to to make adjustments to the within of the constructing, although you’ll nonetheless must submit all of the design plans.

“However if you wish to add one other story or modernize the outside, a landmarked brownstone might not be for you,” Anosike mentioned.

7) Extra items imply an even bigger down fee It is sensible that for higher-priced properties, you’ll want a bigger down fee. Additionally, the required down fee will increase with the variety of items, which is one thing to contemplate if you're shopping for a multi-family dwelling to stay in or are planning to be a landlord.

That actuality, in fact, limits how a lot you'll be able to borrow.

Whereas there is no actual distinction in rates of interest for a rental, co-op, or brownstone, the speed will rely on elements comparable to buy value, mortgage quantity, property sort, and your monetary profile (e.g., credit score rating and post-close reserves).

On one other be aware, a Federal Housing Administration mortgage, which is extra available for brownstone purchases, means that you can put down as little as 3.5 p.c for a down fee. However the loans are capped at $1,209,750, which can not work for costly NYC properties.

8) It is tougher to be a landlord in NYC now In the event you’re shopping for a brownstone and plan to be the only occupant, your lawyer ought to be sure the constructing is delivered vacant.

In any other case, in case you intend to be a landlord and use a part of the property for earnings, you must know that being a landlord isn’t what it was, mentioned Adam Stone, an actual property lawyer at The Stone Regulation Agency, which additionally acts as a property supervisor for purchasers who personal rental buildings.

"There are at all times new NYC rules placing extra of a burden on property house owners not solely to adjust to the assorted rules, but in addition to provide you with the funds to have the ability to keep in compliance."

For instance, due to the lease regulation adjustments in 2019, "you both want to supply a lease renewal or present discover in case you're not renewing the lease—and the size of discover is determined by how lengthy the tenant has been there," he mentioned, including, "There’s rather a lot that individuals wouldn’t know.”

Stone teaches persevering with training programs on shopping for brownstones and townhouses which can be geared to brokers; nonetheless, patrons are welcome to attend as properly. Contact him for extra particulars.

Notice that rent-regulated tenants usually pay lower than market-rate tenants, which may issue into your monetary equation. Additionally they have automated lease renewal. To remain knowledgeable about these necessities, take into account hiring a property administration agency or a regulation agency with expertise in property administration.

9) You'll need the best insurance coverage While you purchase a brownstone that requires renovation, your insurance coverage "will be a difficulty as a result of something greater than primary beauty work can void an ordinary coverage," mentioned Jeff Schneider, president of Gotham Brokerage. "Patrons must inquire if a number of months of emptiness or renovation work would require a unique sort of coverage. (The overall contractor’s protection shouldn't be adequate, even if you're named as an extra insured.) The proper protection will be costly, however not as a lot as an uncovered loss,” he mentioned.

Different insurance coverage issues additionally crop up when dwelling in a brownstone. For instance, if there’s a hearth or heavy winds, most insurance policies won't cowl the prices of restoring a brownstone to its authentic development—that means they received’t substitute crown moldings or mahogany wooden, Schneider mentioned.

The insurance policies that do cowl intensive repairs are significantly extra pricey; be ready to spend at the very least 50 p.c greater than what you'll on an ordinary insurance coverage coverage.

“With extra erratic climate and an getting old infrastructure, that means older dwellings with outdated pipes, insurance coverage firms are very delicate to water points,” he added. As such, many insurers would require you to have water-flow cut-off switches on higher-value or renovated brownstones to restrict water harm after a damaged or frozen pipe incident. They could additionally need sump pumps with back-ups.

Though FEMA flood protection is nearly at all times out there, it may be costly. The fee additionally varies broadly relying on elevation and distance from potential water sources, Schneider mentioned.

Commonplace insurers are inclined to draw back from the coast although they don't present flood protection. In response to Schneider, some firms will now not cowl properties inside 2,500 toes of the shore, “particularly if you're on the water facet of the BQE," as they're involved about wind and massive storms, like Hurricane Sandy, the place it's not at all times clear whether or not flooding or wind-driven rain did the harm.

You should still be capable of get normal hearth, theft, and wind protection, “however your selections could also be restricted and that’s one thing to pay attention to,” Schneider famous.

10) Property taxes are the silver lining Now for the excellent news: Brownstone house owners get a break on property taxes as a result of one- to three-family homes are in a unique tax class than co-ops and condos. Typically talking, NYC property taxes are additionally decrease than these within the suburbs.

And as Barton Barrett sees it, you'll be able to put these tax financial savings—and any rental earnings—towards growing the extent of providers and quality-of-life options in your bespoke brownstone residence.