Compared to last year

I have been looking since last August and I can report on the market segment that I am interested in which his $2.5-4M. Most developers are very stubborn but some of the brokers are pushing them to make deals. Reasons are obvious such as not wanting to mark to market because of finance situations. Individual sellers are more anxious and I have seen major price drops like from $6M to $3.6M, (generally $500K per drop) and can probably be bought for <$3M. So when I say $2.5-4M, I mean that I am looking to buy something that was originally listed $5-6M. I don’t want to mislead since those artificially high prices were for the most part not based in reality but on irrational exuberance.

ieb...please post the link for the apts that has dropped from 6mm to 3.6mm...i would like to see the evidence behind your statements

My observation has been that there's more interesting listings. Last year, the market I am interested in was something of a wasteland. I have noted that some of the marketing terminology has changed, although not too many "bring offers" unless the apartment is in a really fringe location. Haven't made any offers, so can't comment on that process.

Brokers seem more willing to chat with me, rather than brushing me off. It's a little disconcerting, since now I am less serious about buying than I was, due to changed circumstances.

Here's an interesting one. Price drop from $5895 to $3899.

http://www.streeteasy.com/nyc/sale/433216-condo-291-seventh-avenue-chelsea-new-york

Sorry, was off a few $K.

@ieb

maybe if they change brokers one or two more times, it will sell. Cause it has nothing to do with the million dollar chops, but finding the right brokerage to market it. puhlease, these sellers are delusional

evnyc, YES!! i have a situation that's kind of the opposite, my circumstances make it much more realistic to buy, but I have even less inclination.

and it will get better. check out the listing at 50 Pine, not our neighborhood, but just take a look. i'm finally seeing price movement downtown, more than just one or two properties. (and i don't mean fidi, i just thought this was interesting).

A_B. Here's one.

http://www.streeteasy.com/nyc/sale/157887-condo-25-central-park-west-lincoln-square-new-york
12/01/2007 Listed in StreetEasy by Brown Harris Stevens at $5,500,000.
01/04/2008 Price decreased by 5% to $5,200,000.
01/29/2008 Price decreased by 4% to $4,995,000.
02/16/2008 Price decreased by 2% to $4,900,000.
03/15/2008 Listing is no longer available.
03/26/2008 Re-listed by Brown Harris Stevens.
03/26/2008 Price decreased by 3% to $4,750,000.
07/03/2008 Price decreased by 5% to $4,500,000.
11/04/2008 Price decreased by 5% to $4,295,000.
03/17/2009 Price decreased by 7% to $3,995,000.
04/30/2009 Listing is no longer available.
05/01/2009 Later Listed in StreetEasy by Prudential Elliman at $3,995,000.
06/12/2009 Prudential Elliman Listing sold.
06/12/2009 Sale recorded for $3,300,000.

A_B. Slightly lower price point (sub $5mm down to sub $3mm) but same % drop as the $6mm to $3.6mm hypothetical)

http://www.streeteasy.com/nyc/sale/211308-coop-1165-park-avenue-carnegie-hill-new-york
03/31/2008 Listed in StreetEasy by Prudential Elliman at $4,750,000.
05/08/2008 Listing entered contract.
05/30/2008 Re-listed by Prudential Elliman.
08/09/2008 Price decreased by 3% to $4,595,000.
10/10/2008 Price decreased by 8% to $4,250,000.
12/06/2008 Price decreased by 6% to $3,995,000.
02/10/2009 Price decreased by 5% to $3,795,000.
03/02/2009 Price decreased by 8% to $3,495,000.
04/09/2009 Listing entered contract.
06/30/2009 Listing sold.
06/30/2009 Sale recorded for $2,800,000.

One thing I think will happen: the first to grab the buyers in the $2.5 to $4 million buyers will be the winners: as opposed to other market points (like especially the "low end") where you have new potential buyers reasonably constantly "entering the market", I'm not so sure in that price point there aren't a more inelastic amount of buyers, where when the "stock of buyers" is "used up" that there's much of a "shadow inventory" of buyers behind them.

30-years, that's an interesting observation, and mostly coincides with what I've observed. Can you elaborate on what you're seeing in terms of "shadow buyers"?

AR -thanks for the tip! I will surely take a look. At work tomorrow, assuming my inbox isn't hopelessly clogged after vacation.

Just to point out a recent example of an attractive, yet still slightly too expensive (for me) and a bit too small to make it work long-term apartment, here's a link to 32 8th Ave:
http://www.streeteasy.com/nyc/sale/432226-coop-32-8th-avenue-park-slope-brooklyn?email=true

Reasonably priced and it went into contract after less than 3 weeks on the market. If it had been $500k, I'd have had more success with convincing my SO that it was worth looking at. The disparity between my income and the pricing on this lovely place is still a little out of whack, but coming closer, but there is still some pretty intense competition in this range. There are, it seems, a lot of shadow buyers in this market. I am less sure that big declines will come to it; I think they will be more modest than I had previously hoped.