Bearish Brownstoners Miss Mark on 2nd Street Sale
So far we have precious few data points on the predictive powers of the pricing widget. For a while, the only HOTD or COTD to sell was 316 Cumberland Street, which sold for $2,250,000 in June, a shade less than the asking price of $2,295,000 but almost $360,000 more than widget voters predicted. And now…
So far we have precious few data points on the predictive powers of the pricing widget. For a while, the only HOTD or COTD to sell was 316 Cumberland Street, which sold for $2,250,000 in June, a shade less than the asking price of $2,295,000 but almost $360,000 more than widget voters predicted. And now our second data point shows an equally bearish disposition: 93 2nd Street, which generated a predicted selling price of $914,379, just closed for $1,086,312; in our defense, we said at the time that “We could see it getting pretty close to” the asking price of $1,125,000. Interesting, eh?
House of the Day: 93 2nd Street [Brownstoner]
widget +/- 5% you win 1x;
+5% 10% 15% I win 3x AND you have to admit you’re wrong publicly.
you name the size of the bet.
Northheights: Closing adjustments. Assume the contract price was an even $1.08mm or something like that.
Others: It really doesn’t matter what the buyer’s motivation is or how stupid or uninformed you may think he is. This is a very recent trade. Don’t fight it. This, as of the date this went into contract, was the market price. If you are of the view that prices are going down, this doesn’t mean you are wrong. A prediction means you think something will happen in the future. This price isn’t “wrong” – it is irrefutably the current market. I predict that market prices will continue to go down for some period of time. That doesn’t mean they are already at whatever bottom I think we might reach — clearly they are not, which a fortiori means market prices are above where I think they will be.
NorthHeights, ACRIS sometimes incorporates transference fees or transference taxes into the price so maybe the house went for $1,080,000 and $6,312 were the taxes or some sort of a fee.
The prompt in the widget says “your appraisal”, not “guess what it sells for”.
I think Biff was about right on his quick calc that he mentioned a while ago. Take the widget price and multiply by 1.2 (20% increase from the widget price). It seems to come close to the closing price so far.
Appraisal Rules Spark Confusion
http://online.wsj.com/article/SB124830543450973871.html
Fannie Mae and Freddie Mac are seeking to dispel confusion over a new code of conduct for home appraisers that has sparked protests from real-estate brokers and others who charge it is further weakening the housing market.
Brownstoner never profiles the house in his neighborhood. It’s always Park Slope, Cobble Hill or (Name High Priced Hood Here) but never around his own house!
The Retards time is very short and I can’t wait for this fall. The Jackasses who overpaid is going to have a nasty surprise!
“There is a massive herd/stampede mentality on this board.”
QOTY!!!!
The What (Clinton Hill and Bed Stuy Brownstoner!!!!)
Someday this war is gonna end…
Its because people are entering the price they WISH properties were selling for, not what the actually think the seller can reasonably expect in the market.
Who pays $1,086,312?
Buyer: “I offer $1,086,137.”
Seller: “I won’t go lower than $1,086,487.”
Buyer: “OK let’s meet in the mdidle at $1,086,312.”
I think it is interesting that there were 406 appraisals…
Who cast multiple ballots??
For what it’s worth, places that sell quickly will be those selling close to ask. Most sellers won’t accept a low ball offer right away — they’ll wait for a while to see if they can get a better one. This could skew early results.
Although I do think a bunch of people just use the widget to pop in 25% off ask or whatever without considering if the ask is reasonable or if the ask is Corcoran.