Why Sales Will Remain Depressed

Started by Apt_Boy

about 17 years ago

Posts: 675

Member since: Apr 2008

Discussion about

Many people, if not most, have their savings for down-payments in the stock market or other investments. As such, it is very difficult to take a major loss (40%) and aply it towards a new apartment. They would rather wait it out, and hope the markets rebound before tapping an asset that has depreciated so greatly and so quickly. So, until the markets rebound, home sales Nationaly, not just NYC, will be depressed. This does not even take into account all of the hedge fund investments that are illiquid because every other fund is either gateing or suspending and will pay out over the next 2-3 years. This is obviously more of a NYC issue. Does anyone have a legitimate arguement to this?

Response by RECraze

about 17 years ago

Posts: 53

Member since: Jun 2006

No argument here. I think a lot of sellers are just going to have to start setting more realistic prices on their overpriced apartments. Here is a good example:

http://www.streeteasy.com/nyc/sale/357297-condo-184-thompson-street-greenwich-village-new-york

Finally smartened up and lowered their asking price by 100 dollars 6 hours ago. They’re really taking this whole "price chop" thing seriously. This one should be in contract by the time I finish writing this post….

Ignored comment. Unhide

Response by i_want_to_buy_in_09

about 17 years ago

Posts: 113

Member since: Dec 2008

lol, off by $100, now that's a bargain!
seriously, $1000 psf cannont materialize any more, they will understand it in 3/4 months after the bonus season.
my guess, 700/800psf

Ignored comment. Unhide

Response by nyc10022

about 17 years ago

Posts: 9868

Member since: Aug 2008

Money magazine notes that they surveyed a bunch of home sales in New Jersey. Turns out those that initially priced lower than average for comparable homes sold for more on average than those who started higher...

Message is, chop early and often and deep.

This $100 crap is stupid.

Ignored comment. Unhide