Where are offers being made and how are sellers reacting?

I'd be curious to know if anyone has made any 2bed/2 bath bids on the UES.

Large 2b/2b in mid 70s east of 2nd asking 1.3M. Offer of 1.1M (w/ willingness to negotiate slightly) was rejected immediately with broker claiming offers "above" 1.2M. Apartment was pulled off market 2 months later w/o being sold.

I don't think prices are quite as negotiable as people think, unless you find a desparate seller AND apartment has been sitting on market for a while. Would love to be proven wrong, of course. Frustrating not knowing where prices are since liquidity is not existant.

Decent 2b/2b in UES asking $880k, bid $650k, rejected immed. Was willing to negotiate but seller said only wanted full asking price.

Do you know what happened w/ apartment since then? Did it sell, and for what price?

I have quite a few friends that didn't need to sell and ended up pulling the apts. It's not only that they don't want to sell at a certain price, they also changed their mind about upgrading since they are not sure about their jobs. Many have paid down apt, so only pay a couple of thousand a months so they feel they can continue living there even w/o great job.

Nice 2b/2b in low 70s east of 2nd. Pre-Lehman asking 1.25M. One deal rejected by board. Final offer of 990k was seriously considered before being withdrawn (they were playing games). Desperate sellers ultimately accepted offer of 950k post-Lehman. Was still above 2006 prices.

nycapt1234, but wasn't the price of $880 already very reasonable? Sounds decent for 2br/2b.

carnegie - very interesting dynamic. I can easily see how a lot of people would be in this situation. If the trade-up cycle - buying, increasing income/wealth, then selling and buying a upgrade - breaks down, I guess it would tend to stabilize the lower and mid-range part of the market and increase pressure on the high end (no new buyers) over time.

> I have quite a few friends that didn't need to sell and ended up pulling the apts.

Well, there's not enough of them since inventory is still going up off figures 60% higher than any previous year.

> It's not only that they don't want to sell at a certain price, they also changed their mind about upgrading since they are not sure about their jobs.

So there's another buyer off the market too.

Is there any movement downward? I sort of thought there would be migration from Park Avenue, looking to cut their living costs by moving to less fancy digs?

I read somewhere recently that, on average, contracts are being signed at 13% below ask. A broad brush certainly, but people may be using this number to inflate their asking price accordingly.

that is an interesting thought, but i think that inflated prices may end up getting even lower lowball offers. the comps - few and far between lately - are what matters. when i am doing searches and i see some of the new stuff being listed i can't help but laugh, thinking 'wow, they must really not have a clue what is going on.' the deals that are getting done seem to have been chopped a few times. what makes them think they aren't going to follow suit?

Another reason to ignore asking prices. The end price determines the discount from ask, not the converse. The only thing a high ask should do is brace you for a higher likelihood of a scowl and a rejection.

midtown east 2bd/2.5 bath condo on market for almost a year. investor paid $2.2m, asking $2.5m, i bid $1.5m no contingencies. turned down flat, broker said owner wants full asking price.

So it will sell in 2020. That's how long $1.5m appreciating 5% a year will take to get to $2.5m. Market awaits the rental listing.

crescent 22 - the condo was listed for rent last week - broker said "our seller doesnt get the market" - and the rental price listed is almost $3k per month higher than comp rentals in the bldg

This is like the great childhood trick of putting a dollar on some fishing line and leaving it on the sidewalk. This will be fun to watch.

has anyone taken a look at the listings in the Atelier? what could those buyers have been thinking?

I can't blame them for renting. Why would they take a $500-700K loss? They might be liquid enough not to need to sell.

carnegie, but they're not renting. one bedrooms are ranging from $2500 to $4500. there are fifty units available, at 42nd and who knows what avenue, when the rental market is tanking.

and there are 87 for sale (obviously some of those overlap, but still).

aboutraeady, Sorry, was talking about the condo in midtwon.

sounds like even renting they are not being realistic

is anyone aware of any accepted offers?

not realy, look at the number of "closed" deals on UES for last 3 mnts

Seems to be picking up. I bid on two E96th St apts and they went under contract with higher price than my bid.

i am currently in contract (as seller) but would rather not get into all the details until i close in june/july.

carnegie - if you know the listing price and offers were accepted higher than your bid, approx. what % off list (or peak) did they go for?

I would guess 15-20% below peak.

Sniper, how much below were you?

i would rather not get into details until deal is closed. i have promised, at that time, to share all details although i am not exactly sure what peak price was for my place. a similar unit sold for $950K in my building but i have met the owners and i think they were taken.

I heard of lots of bottom feeder offers (no harm in asking right?) but none have been accepted or countered based on some glib talk with a broker the other day in the elevator. Purportedly, the average starting offer was 15% off ask but these are for midrange properties (1-2br priced under 2.5MM) so I think the biggest concessions are probably in the ultra high-end properties. It was frustrating for the broker who was cursing at both sides.

It seems like the impasse will continue for as long as there's a surprising lack of desperation in the seller community and belief by buyers that pricing should be much lower.

Let's see....equity market off 50% in a year. Homes, which are less liquid, are up (in some buyers minds). The government needs a plan to help motivate sellers.

> I can't blame them for renting. Why would they take a $500-700K loss?

Better than a $1 mil loss after losing thousands each year renting it out below carrying cost...

"I bid on two E96th St apts and they went under contract with higher price than my bid."

This is exactly why you bitter renters need to stop being chepskates and bid what the apts. are REALLY worth, not the Wal Mart disocunt price you have inside your empty heads!

Its a business decision that anyone can make. I have a friend who bought a 1 bedroom in 2005 and is now having a baby so needs to move. Not interested in selling at a loss to buy a bigger place, so is instead going to rent his place out and rent a 2 bedroom for his family. He put down 35% on the apartment when he bought, so monthly payments aren't crazy. His hope is that in 2 years (which is how long he is permitted to rent it) market is looking better. Sure, its a risk, but its a calculated business decision.

I never understand why some people seem so angry when sellers don't aggressively drop prices. Its business.

> bid what the apts. are REALLY worth

Yes, alpine, they are all REALLY worth $1200 per square foot, 20% premiums to rent-equivalent, making the whole city assetp rices 5x income.

What is striking is that inventory keeps building despite the huge number of potential sellers who are "waiting until things are better." Of course they will all realize at roughly the same time that things aren't getting better. By that time the impatient buyers should be nearly gone as well leaving nothing but value buyers (who are capable of doing price vs rent math) to insist on massive declines. Will be interesting to watch.

"This is exactly why you bitter renters need to stop being chepskates and bid what the apts. are REALLY worth, not the Wal Mart disocunt price you have inside your empty heads!"

Whenever anyone says "bitter renters" these days, its always in a post that very well demonstrates the bitterness on the other side of the coin... and this one is an obvious example.

And the true value of a thing is what someone else will pay for it. Just because you WANT it to be worth something doesn't make that the case.

Denial is just that.

shopping for a 2b or 3b on the UES myself.
I have made to recent bids that where respectable and where dissed.
1175 York Avenue #PHB5 ask was $1,295,000, bid $1,250,000 answer...Kiss my ask (true that!)
180 EEA 4F ask $1,200,000 bid 1,050,000...Kiss my ask
NO COUNTER OFFER from seller!
Think it's my breath?
The UES is filled with patient sellers with elephant size memories. The cure is time. A year from now I forsee 3 distinct possibilities:
1) the markets continue to suck and sellers relent another 10-15%
2) the markets recover and you will have missed the boat (doubt it)
3) slow sidways movement with a good deal here and there for the dilgent or lucky.