Has the Bubble Finally Burst?
The NY Post certainly thinks so. They report that single-family home prices fell in the city 7.4% from July of ’07 to July ’08 (though the number is 16.3% for cities they surveyed overall). They point to a Park Slope brownstone whose price has sunk from $2.8 million in January to $2.35 million now; still…
The NY Post certainly thinks so. They report that single-family home prices fell in the city 7.4% from July of ’07 to July ’08 (though the number is 16.3% for cities they surveyed overall). They point to a Park Slope brownstone whose price has sunk from $2.8 million in January to $2.35 million now; still seems like pretty close to bubble prices to some folks around here. We’ve been seeing prices fall in some new condo projects around town. So is this it, the moment you’ve been dreading or dreaming of?
NY $$-Home Bubble Bursts [NY Post]
Bubble. Photo by Pepa….!
i blame suze orman for this entire housing meltdown
Prodigiously Sung?
I can’t find this handle in this thread…
Sorry for any misunderstandings, Prodigal Son. I was actually referring to Prodigiously Sung’s comments. Yes, Prodigiously Sung really sounded full of himself in one, if not more, of his comments today. Oh, well. Doesn’t do much for me but one of the comments jumped out as being a bit too much and I had to say something. Why bother. Everyone’s dropping this thread anyway…end of the day…
BrooklynGreene-
I’m happily married, going on 20 years.
Full of myself? It comes from all the attention I get from people like you. Thanksfor playing…
My, my, my! We all did a LOT of TYPING today! Wow!
Anyway, I haven’t always agreed with Polemistisis but you guys were a bit to rough on him today. Some of the ideas he put out there were quite valid. One wag commenting that Polemistisis should write a WSJ editorial since these ideas were so out-there…well, you showed a good deal of ignorance today. So lay off Mr. P. Sure, he’s wrong about NYC being the best place to be during the energy crisis but hey, his heart’s in the right place, Mr. P.’s heart is.
Effesaregee,
Get with the program. We’re addicted to fossil fuels. All the great stats you spouted off currently can only be sustained with the present level of oil, coal and gas use. Maybe, a huge amount of oil is still extracted in and around the US…BUT, we only produce a small fraction of what we use.
Prodigiously Sung was awfully full of himself today. Was I the only one who noticed? I assume he’s single or something like that.
BG
Hoboken: I can understand your POV, but your POV creates the very high prices for areas like Cobble Hill and Brooklyn Heights because you are not the only one looking to buy in those neighborhoods. You help to create the demand that keeps the prices high. IMHO those areas will not see a significant decrease because the second the price declines all that demand will jump on the limited supply.
Now if you were looking for a house in – I don’t know – Cambria Heights in Queens, you would be able to get a big house for a low price because the demand for a house in that neighborhood is much lower. (In fact, I think most of the NYC house price declines come from neighborhoods in southeast Queens, where defaults and supply are high but demand is low.)
If you can get a brownstone in your desired neighborhood for a great price, good for you. I just don’t see that happening.
bubble bubble toil and trouble
bankers fall
and defaults double.
11233, I for one don’t won’t a brooklyn townhouse unless it is in cobble hill or the heights. But I will say this. The truth is that the housing market will continue to fall but not by another 40 percent. I would say another 10 to 20 percent from current prices. And that still leaves many unable to buy. But it also leaves the owners of alot brownstoners flat or a bit under or over on their homes. If you are smart and have cash as I do, then you will get a good deal, just not in the best locations for they will always attract buyers. So yea, my heights home is out of the question…
“What is certain is value of real estate relative to other necessities like food and energy will likely return to historical norms.”
– Polemicist
Forget that energy sources like oil, natural gas and coal are finite and food products supply is subject to finite variables like land to cultivate it and that such itmes are subject to global supply and demand. Let’s concentrate on all the 19th C. brownstones in Brooklyn that you all hope will fall in price by 40% so you can buy them. Unless brownstone Brooklyn falls into some abyss, you all want a piece of the action. Guess what …. there is a finite supply. And as more people “discover” Brooklyn, the demand will only increase. Though I don’t question that prices might decline in the very near term, your self-assured comments don’t jibe with the reality on the ground.