Prices Increasing?!!!

Either the broker is an idiot who suggested to the owners to raise the price or the owners are morons who think raising the price will hit the radar of a higher price point buyer. But if the potential buyer has a fraction of a brain, he/she can just hop on to Streeteasy and look at the historical info and see the game that is being played.

This was actually discussed yesterday: http://streeteasy.com/nyc/talk/discussion/22384-what-is-the-concept-behind-a-price-increase

"What in the latest economic data on housing makes the sellers think that it is okay to increase prices now?"

Nothing. Manhattan real estate has its own rationale and does not follow any data points from the outside world. It's totally different because it is an island and there is no more room to build and everyone wants to live there. Don't look for explanations, just accept it.

If there is no more room how come we have thousands and thousands of new units in new construction with either empty or unfinished. Manhattan real estate absolutely follows economic data points, it has through out history. It might lag a year or two, and has its own eccentricities, the ridiculous run up in wall street salaries over the past decade for one, but this whole Manhattan is different is urban legend

dcorreale:

pulaski was being facetious - see below

Facetious: Humour or humor (see spelling differences) is the tendency of particular cognitive experiences to provoke laughter and provide amusement.

These are the death throes of fish that have been pulled out of water, and the ocean is all dried up.

OK, everyone count to three and raise your price 20%!

@ dcorreale: Well, technically pulaski is right about the "there is no room" statement. There are incredibly few plots of land in Manhattan, and even if you did buy one, the height of the building is limited by the area and city. So where is the influx of units?

1) Rentals being converted to condos.
2) Groups of buildings being torn down to make room for a bigger building.

We can't build out, so we build up.