Corco Cutting Prices East of Classon
It can be hard to spot a trend in the real estate market until after the fact, but we couldn’t help but notice when we were perusing Natefind yesterday that Corcoran had cut prices on six of its townhouse listings in Bed Stuy and Crown Heights within the past week. (The biggest cut, both in…
It can be hard to spot a trend in the real estate market until after the fact, but we couldn’t help but notice when we were perusing Natefind yesterday that Corcoran had cut prices on six of its townhouse listings in Bed Stuy and Crown Heights within the past week. (The biggest cut, both in absolute and percentage terms, was at 36 Monroe Street.) Is this a coincidence, do you think, or could there have been some word from on high that drove these cuts? Taken as a whole, do the cuts signify anything about the market in those neighborhoods or is this bad news balanced out by bidding wars at places like 100 Decatur?
56 Monroe Street [Corcoran] GMAP
36 Monroe Street [Corcoran] GMAP
470 MacDonough Street [Corcoran] GMAP
1300 Carroll Street [Corcoran] GMAP
1416 Sterling Place [Corcoran] GMAP
610 Eastern Parkway [Corcoran] GMAP
Real estate prices are going down across the country… there was a ton of bad new lately on the bubble front (or good, I guess, depending on your perspective). NYC is not immune.
Fixed link from 2:15.
http://www.nyc.gov/html/lpc/downloads/pdf/maps/clinton_hill.pdf
There’s that “bubble” word again. Doomsayers have been talking about this “bubble” for years, now, and prices continue to climb (with occasional little dips). All normal. This isn’t the 70s, friend: People WANT to live in NYC like never before, crime is wayyyyy down, and something like a million more peeps are forecast by the city to move here in the next 20 years. And you think this is going to push prices downward? Supply and demand, baby. Why do you think Harlem, Hell’s Kitchen, the Bronx (the Bronx!) and so many formerly bombed-out parts of Brooklyn are so sought-after now? Buy while you can, or you’ll never be able to.
Meanwhile, spring and early summer are busy times for real estate. I guess late June is a bit early to call the dog days, but still, summer is when a lot of people travel, spend weekends in the Hamptons or Catskills or wherever, and the market softens. And then, come fall, people are back in town and ready to buy. No?
“Is this a coincidence, do you think, or could there have been some word from on high that drove these cuts? Taken as a whole, do the cuts signify anything about the market in those neighborhoods or is this bad news balanced out by bidding wars at places like 100 Decatur?”
No coincidence. More and more townhouse prices are showing up reduced on Natefind. It signifies a crash in slow-motion (real estate declines take years to work themselves out) that is headed towards Clinton Hill. Reduced asking prices don’t lie but Corcoran does (For Clinton Hill border, see http://www.nyc.gov/html/lpc/downloads/pdf/maps/clinton_hill.pdf). Bidders like those for 100 Decatur are born everyday. Anybody paying anywhere near (within 25%) prevailing asking prices for a brownstone right now is either very wealthy (wouldn’t buy in Stuy Hts.) or very mis-informed. The mis-informed outnumber the wealthy by many to one. Read people.
http://www.nychousingbubble.blogspot.com
http://www.youdovoodoo.com/80sbubble.htm
http://www.stock-market-crash.net
Lots of folks living in Bed Stuy with $800k and houses in PS and FG. Wake up 1:56.
You mean people with $800k+ don’t want to live in Crown Heights or Bed Sty.
Shocking!
Optimism. Excitement. Thrill. Euphoria. Anxiety. Denial. Fear. Depression. Panic. Capitulation. Desperation. Hope. Relief. Optimism.
http://bp3.blogger.com/_wFWqWIH-WFU/Rn46Vnf5w2I/AAAAAAAABZQ/W1_uALvLnVE/s1600-h/Bubble-lifecycle.jpg
This is the life cycle of a bubble.
The question is, where are we in this cycle right now? My guess is that we have moved from Anxiety to Denial.
Fear, Depression, Panic and Capitulation will be something to witness in the coming years..
We would be paranoid to think that it’s a sweeping command from up on high to cut prices in particular neighborhoods, but we would also be immensely naive to believe it’s just a case of market forces exerting pressure on these neighborhoods.
Corcoran is notorious (among some of the other brokers) for inflating prices in “hot” neighborhoods.
Not long ago, there was an NY Times article about how Bushwick is the new boomtown with quote after quote from Rudy Lucchese, who mentioned later that he just happens to own in that neighborhood.
This could all just be an adjustment to their inflated prices, or it could also just be their way of A) hooking the sellers by telling them they can get a lot with a high asking price and then B) starting a bidding war with the price reductions.
Also, I thought the summer is usually when the market heats up? Why would prices be dropping if it weren’t a cooling market (as much as I wish it weren’t the case).
why is this bad news. It is good news and further price drops will be great news. Do you not care about affordable housing or are you just interested in developer profits.