Weekly News (March 14, 2018)

1. NJ Affordable Apartment will be increased

Judge Mary Jacobson sentenced to build more affordable apartment in Princeton (753 units) and West Windsor (1500 units) in NJ by 2025
Two towns were receiving funds for affordable housing, but not many affordable units built → Two towns must submit their construction proposal by 7/24/2018 to the court
FSHC (Fair Share Housing Center) mentioned that it is positive decision for about 100 towns that built very little number of affordable units
Princeton’s median income is $167,000 / West Windsor’s median income: $118,000
In 1975 affordable housing law initiated, but not followed (190 towns agreed, but 100 towns did not performed)

2. Pilgrim Church building in Paramus sold at $6.5 Million

Sold to The True Light Presbyterian Church (They have to sell their own church: worth of $5.5 Million)
MOU signed → Buyer starts paying the mortgage($30,000) for balance of $4.5 Million
Payment for 3 month till May will be deducted from principle amount
From June, 50% of payment go to principle reduction
Balance of $2 Million is owner (PCUSA) financing (4%, for 5 years)
Deed will be transferred when owner mortgage starts. PCUSA hold lien till owner mortgage ends.

3. Englewood Town will investigate Leonia’s banning non-residence vehicles

The town will request The State, DOT to investigate the legality of Leonia’s rule
Two towns were trying to negotiate the solution, but leads to impasse
Zudah Zeigler, Leonia’s Mayor keeps his position:
No complaining from Palisades Park, Fort Lee
If a car stopped, no scrutinizing and it takes 10~15 sec
This rule helps residents’ and students’ walking to shop and go to school

4. Manhattan Luxury Apartment sold at $30 Million

Owner: Saudi Prince (Heritage at Trump Place at 240 Riverside Blvd, #6A-T)
6 Units combined into 1 unit ( 5^th FL~ 7^th FL): 10,500 SF → 3Br / 4Bath, 3 Terrace
Listed at $75 Million in 2012 → $48.5 Million in 2015 → $40 Million recently → Sold at $30 Million
Monthly M fee: $27,500

5. Toys R Us will shut down around 800 stores nationwide

If there is no last-minute save to bail out → Will cease re-organization plan under Chapter 11
1948 established → 1996 Babies R Us established → 1600 stores worldwide
Amazon took on-line market / low response to mobile shopping trends
Toy Manufactures: Mattel, Hasbro → Stocks dropped by 7.6%, 3.6%

6. Mortgage Rate → 4.46%: Highest during last 4 years

7. House Flipping is increased under short inventory

According to CNBC, 207,000 flipping nationwide in 2017 → Increased by 10% from last year
Highest flipping since 2006 (Highest in 2005 → 347,000)
Profit rate →49.8% / 51.9% in 2016 / 28% in 2006
65% of flippers are cash buyers (Fannie Mei allows up to 10 houses for investor mortgage)
Highest Profit: 168.2% → Scranton, PA. Pittsburg, PA →5%, Baton Rouge, LA:122.9%, Philadelphia, PA:115.7%

8. 2016~2017 Fiscal Year, F-1 Visa issue: 390,000 → Dropped by 16.6%

Universities / Colleges are concerned (Foreign Students spend $2.7 Billion each year)
Korean students: 22,856 → Decreased by 9.9% ( 2010~2011 Fiscal Year: 45,638)
Reasons: Visa process become difficult / Anti-America → Go to Canada, England, Australia / Hard to get a job with H-1B after school