Cost counts in red hot financial district.

Value, value, value. When it comes to buying real estate, Manhattanites want more bang for their buck.

Although the average apartment sold for more than $1 million last year, buyers are still dollar conscience and certain spots in Manhattan are getting considerably hotter.

"I think the growth in these areas is more along the lines of buyers seeking less expensive areas," said Jonathan Miller, of Miller Samuel, a Manhattan real estate appraisal firm. "In other words, as the overall market rises, secondary markets often have more upside, especially in the entry level markets where people are seeking out better values."

Many areas of the island are made popular by being considered more chic than others, but if the value isn't there, buyers look elsewhere, say brokers.

"Some areas are a little more hip, like the West Village," said Andy Gerringer, Prudential Douglas Elliman, managing director. "But it's really all a matter of value and dollars."

"It's not so much that the "non" hot spots lose favor, it's that the hot spots gain favor," Miller said.

One of the areas that is booming right now is the Financial District.

"People are killing themselves to get into them," said Gerringer of 56 Pine Street, where 80 of the 90 units sold in just four weeks. "We have appointments two weeks out that we will never get to because we will sell them before we can get to the end of the list."

Although, the services are lacking downtown, that will soon change and buyers are getting in on the deals before prices rise. Right now, apartments in the Financial District are going for $850 to $1,000 per s/f.

"If they had the services, the prices would be higher," Gerringer said

And size does matter when it comes to the island. One and two bedrooms are selling faster than three or four bedrooms right now.

"You have to build the right size product," said Gerringer. "One and two bedrooms are more in demand than three or four bedrooms. The size of the unit has gotten smaller over the years."

"The financial district posted large gains in one and two bedroom apartments as this area is positioned for future upside with the development of the World Trade Center site," Miller said.

Midtown is also attracting buyers seeking a bargain.

"The largest growth area, in terms of price per square foot, was Mid town West," Miller said. "The growth in smaller apartments was seen in neighborhoods with a heavy stock of smaller apartments like midtown west and east, Chelsea, Greenwich Village and Yorkville."

Another trend that is driving the entry level market is commercial conversion to residential, especially in certain areas of the city, said Louise Phillips Forbes, senior vice president at Halstead Property LLC.

"I feel there will be an upswing over the next four years between 26th and 34th streets from 5th Avenue to Park Avenue," said Forbes.

Several properties now available in the area include 50 Madison Ave., 225 5th Ave., and 35 East 30th St. And with the Gift building, and possibly the Toy Center, being converted to residential, with one million s/f soon to follow, Forbes predicts more residential conversions will occur, a virtual domino effect.

The draw for the some areas are a park view at a considerably lower price per square foot. Prices around Madison Square Park are averaging $1,250 a s/f compared to those on Central Park West at $2,200 a s/f.

"To me Madison Square is a tremendous opportunity for people who can't afford the Gramercy area or the Flatiron area," Forbes said.

She also said up and coming areas are, of course, the ever changing Harlem and the east village.

"I think Harlem has been quite expectable opportunity for families in addition to single people,"' she said. "I think lastly there is a tremendous amount of product in Alphabet city, as well as the east village between Avenues A and B, and between C and D."

Bellmarc Principal Neil Binder explains further why certain areas are ripe for real estate investment, whether by entry level buyer or a seasoned real estate investor.

There are few un-gentrified/un-price inflated neighborhood "deals" left to be had in what's considered by mainstream Manhattanites to be "livable,"/desirable, said Binder, who uses a tool that many developers use, called "Bridging Neighborhoods."

"Between two islands of prosperity, there's often a 'river of malaise' where the current prices and desirability are lower," said Binder, who just released the" third edition of his book "The Ultimate Guide to Buying and Selling Coops and Condos. "You want to encroach on this river and make it go away."

"An example of a neighborhood that was bridged and is now in high demand (so ultra low inventory and sky-high prices) is Chelsea--it was an undesirable wasteland years ago and now is "so overpriced and aggressive in its pricing that the bridging is over ... it's 'done,'" Binder adds.

There are two top areas still ripe for bridging: East Midtown, from 54th Street to 65th Street ... getting evenhotter with the new Bloomberg building, among other factors.

And, the West Side/Hell's Kitchen, 8th Avenue area between 44th and 58th streets, predicted to be among the next "up-and-coming' locale

Bridging Neighborhoods are viewed in five-year horizons, with an up-and-coming one already underway at Washington Heights.

Another way buyers are discovering bargains is buying on the fringe of a prosperous neighborhood, which Binder calls "Expanding the Coast." The values there will rise and begin radiating out to the surrounding blocks.

"An example of this is the effects that Columbia University's announcement that it would be expanding its campus have had on increasing real estate prices farther from the current campus hub, said Binder.

"I'm a big believer in Harlem," said Binder. "There's going to be tremendous opportunity there."