Another crazy seller

04/07/2008
Listed with Corcoran at $1,800,000
05/23/2008
Price decreased to $1,750,000
06/06/2008
Price increased to $1,800,000
06/11/2008
Price decreased to $1,750,000
06/16/2008
Price decreased to $1,690,000
07/02/2008
Price decreased to $1,650,000
09/23/2008
Price increased to $1,800,000

That's pretty funny.

And it's small. Ridiculously priced.

Idiots on crack.

hilarious. but on a serious note, could the price increase be somehow related to some tax abatement or something they recently received? unless that $1 is a typo (probably since on the corcoran site its $771).

this is why this mess will last for years?

I believe dco is talking about unrealistic / irrational sellers.... who will likely cling to the idea of "breaking even" and try to wait it out, just slowing down a correction that needs to happen.

But it's cable TV ready!!!

This is what brokers always say "people just won't sell for losses."

First of all, there are a lot of people who didn't buy in 2004 or 2006, but who bought in 1995 and will make a killing even in prices fall 50%

Second, The reality is people have all kinds of reasons for selling besides absolute financial necessity

1) moving
2) need more space
3) divorce

Actually, NYC is unusual in that there are almost always more people who MUST sell than MUST buy (not who want to buy or sell - this is a different story).

Unlike most places, there are a lot of attractive rental options (as somebody who moved a lot as a kid I can tell you that even wealthy suburbs have a dearth of nice places to rent). Second, unlike many places, growing families are much more like to run out of space. E.g., a family with 2-3 kids who bought a starter home may feel a bit cramped, but not as cramped as those sitting in a 2 br with 2-3 kids.

check out this one.http://www.streeteasy.com/nyc/sale/31523-coop-105-east-38th-street-murray-hill-new-york

No recent price movements but still actively being shown. Broker claims he is an investor and if it doesn't sell close to his price, he will just keep plugging away at it (has done nothing but gut it for 3 years) and sell it for $5-$6 million when it's done. It's in a crappy building of 1 and maybe some 2 bedrooms, needs at least $1-2 million in renovations (broker says about $500K?!) and has absolutely no views (walls mostly). You can put a cute little terrace on the roof but nothing overly exciting in terms of views there either.

"I believe dco is talking about unrealistic / irrational sellers.... who will likely cling to the idea of "breaking even" and try to wait it out, just slowing down a correction that needs to happen."

I know what he's talking about, why is that why the "mess" will last for years. Maybe I don't know what "mess" we're talking about. And why does a correction "need" to happen?

ccdevi- Are you serious? You are getting more comical by the day.

nice answer. again, why or how do people asking for excessive prices for their apts keep us in the "mess"?

> And why does a correction "need" to happen?

Because bubbles lead to inefficiency, and eventually collapse under their own weight. The faster that happens, the better. Just rip off the band-aid in one swoop.

Give ccdevi a break...he just spend a fantastic sum of money on a new condo in the madison square park area...his responses are only natural given the amount of real estate he owns.

well thats not quite correct but regardless, what responses? I asked a question and all I've gotten in response is "bubbles lead to inefficiency" (which may be true but seems pretty vague). I believe prices are coming down, I just don't understand why anybody cares if someone asks a lot for their place, so it won't sell, so what?

I agree (I think) with ccdevi. In any market, there are always "buyers" who really don't want to buy but would if they could get something far below market and there are always "sellers" who really don't want to sell but if someone is willing to pay too much for their place, they'll take it. I don't think either extends/reduces this mess.

What clears the mess is the people that have to sell when there's a lack of buyers. Prices/comps go down and then people who want to sell (vs. need to sell) will price accordingly. People who don't really want to sell will continue to ignore things as they see fit.

" I just don't understand why anybody cares if someone asks a lot for their place, so it won't sell, so what?"

Its called a lack of liquidity. Its very tough to judge a market when transactions are few and far in between. The quicker the market price is "realized" the quicker things can sort themselves out, and a more normal pattern of sales can resume.

a lack of liquidity for whom? are you blaming the credit crisis on unrealistic sellers?

no, you are confusing two markets. I'm simply talking about lack of liquidity in the Manhattan RE market.

well in that case again I have to say I'm not sure why its a big deal. if a seller needs to get liquid that seller will drop his or her price until it sells, if the seller doesn't need to sell, then perhaps he or she won't and will just let it sit. I just don't see why thats such a problem. the lack of liquidity (or sale volume I think you mean) is a problem for people in the real estate market and I guess would hurt the city and state's tax revenue, but it certainly isn't the reason the larger economic issues we face happened or will continue (which is the only "mess" I'm really aware of).

Actually I think it's Brokers, that lie to seller, to get the listing. It's a classic example of believing what you want to hear.

i meant people in the real estate business, ie brokers, lawyers, title people, mortgage people, etc