I just sold an apt in Boston. I think that it may shed some light on what’s going on in Manhattan, since in many ways Boston is like a mini version. It’s a very nice condo that I paid $760K for in 2006 at the height of the market. It was on the market for about 15 months and sold for -12% of 2006 peak price. The buyer’s bank appraised it at -14% per CS index. I split the difference with the buyer... [more]
I just sold an apt in Boston. I think that it may shed some light on what’s going on in Manhattan, since in many ways Boston is like a mini version.
It’s a very nice condo that I paid $760K for in 2006 at the height of the market. It was on the market for about 15 months and sold for -12% of 2006 peak price. The buyer’s bank appraised it at -14% per CS index. I split the difference with the buyer so sold it at $660K.
The decline from peak looks very similar to nyc market? So I’m thinking that maybe all the bears are wrong.
My ny search is not typical $3-5M penthouse or something similar and for the most part what I track sells usually in 1-2 months at close to asked price. The few low ball offers that I’ve made(-20%) have been rejected.
I read all about how dismal the future will be with deflation and all but life goes on……
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Response by alanhart
about 16 years ago
Posts: 12397
Member since: Feb 2007
Why would all the bears be wrong based on this? Boston is also heavily supported by financial services, and benefited (temporarily?) by a massive one-time infusion of federal cash. It bought some insulation from the overall dismal national/world economy ... let's see how long that lasts.
Manhattan has the added burden of the 2-year sublet limit at most coops. That also bought many people some time, but what happens when all those people have to sell at the same time?
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Response by somewhereelse
about 16 years ago
Posts: 7435
Member since: Oct 2009
We had a crash. A major crash. Bears were right, by definition. Bulls were wrong, by definition.
What's so confusing about that?
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Response by maly
about 16 years ago
Posts: 1377
Member since: Jan 2009
Very authoritative! You just sold your Boston condo, so clearly you can explain the New York market to the rest of us. Thanks!
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Response by ieb
about 16 years ago
Posts: 355
Member since: Apr 2009
Just the observations above, Can't predict the future and hate hubris. But maybe human nature is mostly positive so prehaps things not so bad. More millionares than 2008 and for the working stiff no increase in real wages in decades? Really don't know what to make of it.
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Response by inonada
about 16 years ago
Posts: 8085
Member since: Oct 2008
Ieb, I'm not getting your point. How much had you put down? Beyond the nominal $100K, what were your other costs?
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Response by hol4
about 16 years ago
Posts: 710
Member since: Nov 2008
except have the people who sold in Boston (sf, dc, et al) did so they could move to a real city like Manhatta..
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Response by hol4
about 16 years ago
Posts: 710
Member since: Nov 2008
*half
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Response by ieb
about 16 years ago
Posts: 355
Member since: Apr 2009
inonada - sure you could do better like staying in cash, money market, munis ect, or worse like all common stock but the point is that real estate in places like Boston and New York appears to have a cusion so delcines more moderate and maybe not much more on the downside. I'm not saying buy now but looking for much more on the downside may not be in the cards.
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Response by somewhereelse
about 16 years ago
Posts: 7435
Member since: Oct 2009
"Very authoritative! You just sold your Boston condo, so clearly you can explain the New York market to the rest of us. Thanks!"
lol
again, ieb, you just don't have your facts straight, no matter how many times you repeat them.
Why would all the bears be wrong based on this? Boston is also heavily supported by financial services, and benefited (temporarily?) by a massive one-time infusion of federal cash. It bought some insulation from the overall dismal national/world economy ... let's see how long that lasts.
Manhattan has the added burden of the 2-year sublet limit at most coops. That also bought many people some time, but what happens when all those people have to sell at the same time?
We had a crash. A major crash. Bears were right, by definition. Bulls were wrong, by definition.
What's so confusing about that?
Very authoritative! You just sold your Boston condo, so clearly you can explain the New York market to the rest of us. Thanks!
Just the observations above, Can't predict the future and hate hubris. But maybe human nature is mostly positive so prehaps things not so bad. More millionares than 2008 and for the working stiff no increase in real wages in decades? Really don't know what to make of it.
Ieb, I'm not getting your point. How much had you put down? Beyond the nominal $100K, what were your other costs?
except have the people who sold in Boston (sf, dc, et al) did so they could move to a real city like Manhatta..
*half
inonada - sure you could do better like staying in cash, money market, munis ect, or worse like all common stock but the point is that real estate in places like Boston and New York appears to have a cusion so delcines more moderate and maybe not much more on the downside. I'm not saying buy now but looking for much more on the downside may not be in the cards.
"Very authoritative! You just sold your Boston condo, so clearly you can explain the New York market to the rest of us. Thanks!"
lol
again, ieb, you just don't have your facts straight, no matter how many times you repeat them.