Manhattan Sales up- Prices Down from 2010!!

The Foreigners are Coming, Hooray, Hooray!

Dottie Herman, the chief executive of Prudential Douglas Elliman, said many of the high-end sales were going to foreign buyers. “We’re seeing more foreigners than we did during the boom,” Ms. Herman said. “It’s because the dollar is so weak and with the whole world in a mess, people feel that real estate in New York is still a lot more stable than elsewhere.”

HAHAHAHAHA!

http://www.nytimes.com/2011/10/04/nyregion/rise-in-sales-helps-manhattan-housing-market-recover.html?ref=nyregion

Let's see what happens now.

Income's still going down
unemployment going up.
euro defaulting
Wall street layoffs
All financial companies getting crushed-- ie. Golmand Sachs stock $90/sh(Oct 2010' $146), MS $12/sh(10/2010' $25), BoA $5.5/sh(1-/2010' 13.5)
Global Double dip recession
Will the foregn buyers still be there?

here-
http://www.nypost.com/p/news/business/worry_stalks_street_bh821ZO061Sd0bLcQyahYM

as i always said. as soon as the dollar gets stronger vs other currencies, euro in particular, these foreign buyers will dump their RE holdings. even selling at 20% discount can give them at 20% return on investment in local currency.

a little more worry in Europe and this will occur.

"even selling at 20% discount can give them at 20% return on investment in local currency"

You can make the exact same profit just by putting the money in the bank, no risk, no transaction costs, no nothing. Silly analysis....

Medians are up QoQ though, overall and for the smaller units.

Granted, I have to imagine the transactions that started last month or two, which will show in Q4, will look a bit different.

Bill Gros, "There are no double-digit investment returns anywhere in sight for owners of financial assets. Bonds, stocks and real estate are in fact overvalued because of near zero percent interest rates and a developed world growth rate closer to 0 than the 3 – 4% historical norms. There is only a New Normal economy at best and a global recession at worst to look forward to in future years.”

http://blogs.marketwatch.com/thetell/2011/10/03/bill-gross-goes-all-populist/

Bill Gross's, on the other hand, is NOT a silly analysis.

stevie, the foreigners want to put a few mil in and are afraid of not having it guaranteed. don't you know hat Manhattan RE was always guaranteed to go up, up and away????

it's also so much more fun to "have" something rather then money in the bank.

I understand there's a new skyscraper going up in Dubai that's so tall you can see Manhattan from the penthouse.

No bubble there, either.

NYC hiring freeze.. chilly

http://www.nypost.com/p/news/local/bloomberg_to_impose_hiring_freeze_XbYLOcYeZp0xizGrv1HWzO

http://streeteasy.com/nyc/market/reports

Except in Juicy's building, where comps are UP 20% from March 2008.

HAHAHAHA!

http://www.truth-out.org/reign-one-percenters/1317665855

http://www.nytimes.com/2011/10/04/nyregion/rise-in-sales-helps-manhattan-housing-market-recover.html?ref=nyregion

why do brokers always insist the market is good(flat) when it is really down?

http://www.bloomberg.com/news/2011-10-04/manhattan-apartment-sales-jump-as-economic-turmoil-fuels-bipolar-market.html

all brokers always insist, or some brokers always insist?

Foreign buyers?

http://www.bloomberg.com/news/2011-10-06/irish-trophy-homes-lose-allure-as-property-millions-disappear.html

Is this not an oxymoron: "Irish Trophy Home"