Home Sales in November Fell at Faster Pace Than Expected
The median price of a home plunged 13 percent from October to November, to $181,300 from $208,000 a year ago. That was the lowest price since February 2004.They’re about as god-awful as they can get,†said Robert Barbera, chief economist at ITG. “This is pretty breathtaking stuff.â€
The median price of a home plunged 13 percent from October to November, to $181,300 from $208,000 a year ago. That was the lowest price since February 2004.They’re about as god-awful as they can get,†said Robert Barbera, chief economist at ITG. “This is pretty breathtaking stuff.â€
Actually, the real staggering news is that 45 percent of the sales were “distressed.” (Either short or foreclosed.) That’s incredible!!!
Another amazing thing is the story says that median housing values have gone down 21 percent since the peak of the market, which was July 2006.
I’m very surprised to hear that. I was under the impression the rest of the country (outside New York) had fallen earlier and farther. When in fact, the rest of the country’s fortunes have moved in lockstep with subprime New York (East Flatbush, Bushwick, Queens).
(Please note that Bed Stuy and Crown Heights seem less affected — isn’t that interesting? More long-term owners to start with…maybe fraud or inadvisable HELOCs are bigger problems there than outright subprime purchases.)
Aren’t more ARMs going to reset in 2009? (The ones sold in 2006.)
A drop of 21 percent doesn’t seem like all that much, even though the story is all doom and gloom. Though I guess I should keep in mind this is the median.
I bet the numbers will be far worse in December with many fewer sales. Because the credit impasse started the second week of October, right?
How much lower do you all think it could go?
Dave, what’s happening with the market in Philadelphia right now?
SnarkSlope, by how much? Are you talking about asking or closing? Miss Muffet, any details on drops on ask or closing sale prices in the townhouses you are monitoring? Anyone been looking in Bed Stuy and care to chime in? Seems like a few places have recently gone for 10 percent below last year’s prices, but I’m not sure. And not to sound like a broken record, but prices on two-family houses in Bushwick have definitely fallen 40 percent since 2006. That pretty much covers the three major housing types/markets in Brooklyn, so we should be able to get a good picture.
Not if they have a hall pass, slip me a Benjamin, or are VGL and WTPO.
SnarkSlope, I’ve heard of hall monitors, but never a co-op monitor. Do you scream at the shareholders to get back to their apartments after a certain time?
Prices are dropping in every Brooklyn co-op building that I am monitoring.
Why is this posted? This is a Brooklyn blog, more pricisely, a brownstone brooklyn blog. These national numbers do not apply to Brownstone Brooklyn. Too much doom and gloom here (and it seems with glee). Unfortunate.
Great image!
I would think they’d plunge further in Dec and Jan, since closing prices then are more likely to reflect the horror of the second week of October.
I agree. Even coop apts didn’t budge.
Apparently no one has told the Brooklyn home market this news.