By Jane Han
Staff Reporter
Vienna native Thomas Guss, who started as a foreign real estate investor in New York City, says he understands why Koreans feel iffy about putting thousands of dollars into the U.S. housing market.
``When you can't see the property for yourself, you're not familiar with the local regulations and uncertain about the outlook, it can be difficult to make decisions,'' Guss, who is the president of real estate company New York Residence, said in a Korea Times interview yesterday. ``However, buying property in the U.S. is simple once those cloudy areas are cleared up.''
The real estate expert, who previously owned an advertising company, realized how tough it is to buy an apartment in Manhattan when he first started looking around for a property to invest in.
After moving to the Big Apple, he started doing more in-depth research on the U.S real estate market and ended up starting a business three years ago that helps people who are in the same shoes he was in _ to invest in Manhattan.
Since founding his company dealing with clients from over 20 countries, Guss authored a book called ``Maximum Profit with New Construction,'' which zooms in on investing specifically in Manhattan properties.
``Many people are wary about the U.S housing market, but Manhattan is an area that's irrelevant to the country's general real estate climate,'' he explained. ``Because there is always shortage of property, prices are always on the rise _ the only change might be how steep the rise is.''
About 10,000 Manhattan apartments come into the market every year, he says, and more than 1.1 million people have flocked to the city since 1980.
``We're talking about an area that is still very vibrant and it's the capital of many industries, including fashion, advertising and finance,'' he said.
He said over 200 Koreans bought property in the city this year alone, and the number is rising.
``It's always a good idea to invest money in a different currency,'' Guss said. ``And especially in a currency that is undervalued at the moment, for example, the U.S. dollar.''
He said the most up-to-date top picks in Manhattan are the financial district, midtown east and lower east side.
The fastest growing residential area is the financial district, as the city plans to pump another 10 billion dollars into development in the area this year, says Guss.
``Riverfronts are also being rediscovered by New Yorkers,'' he added, pointing out that people didn't care much for being along the river before, but nowadays, the apartment prices along the Hudson are going up.
At current market prices, a decent-size studio can be bought for about $500,000, and a one-bedroom for twice as much, he said.
``The price is reasonable considering the amount of money New Yorkers make,'' said Guss, explaining that they make up to three times as much as Seoulites, but the real estate price is almost at the same level. ``That gives enough reason for Koreans to invest in New York.''