It’s no secret that real estate in New York City is expensive. Most city residents have resigned themselves to the fact that if they don’t already own property in the city limits they probably never will. But what if you do earn enough to make buying a house or apartment in New York a viable option? Would it even be worth it? Buzzfeed has put together a list of six lovely picturesque castles in France that while expensive, cost less than some houses and apartments on the market in New York City. What could possibly explain why a modest living space in New York could demand a higher price than an extravagant French chateau?
It all comes down to supply and demand. New York City crams about 8.3 million people into 302.64 square miles with many more people wanting to move in. By owning property in the city you are not only close to the office where you earn your money, but you also have the ability to make a killing renting your property. Living in New York also comes with the advantages of not having to own a car and all of those related expenses as well as fairly easy access to markets for goods and services that you want and need. All of those factors are what drive property values in New York up to the astronomical levels that they’re at now.
Now lets compare that to the French castles. Yes they’re quite large, luxurious, and have incredibly beautiful views. However, Many of them are out in the French countryside further away from shops, services, and places where people work. Also maintaining those incredible lawns and gardens can’t be cheap. There is also the issue of taxes. If you earn anywhere near the amount of money where you can afford one of those castles you’re going to pay far more in taxes living in France than you will in America. When you consider all of those factors together, that is why enormous French castles are cheaper than New York real estate. The list price of a New York apartment is far closer to the true cost of ownership than it is for a French castle. But I will defiantly keep that article in mind in the incredibly unlikely chance that I win the Powerball.
I’ll take that over a Bed-Stuy townhouse any day.