Jump to content
House Price Crash Forum
Sign in to follow this  
200p

New York Apartment Sales Down 50%, Prices Down 24%

Recommended Posts

http://www.cnbc.com/id/31703460

Manhattan apartment sales plunged more than 50 percent and the average price dropped 21.4 to 24 percent from a year ago, as the U.S. recession forced many who own a piece of the Big Apple to eat humble pie, several reports said.

The average price of Manhattan apartment in the second quarter slid to $1,312,920 down from $1,669,729 a year earlier, according to a Prudential Douglas Elliman Real Estate report released Thursday.

Share this post


Link to post
Share on other sites
That sounds like a huge drop, and big volatility in just one year.

But it's really not.

Here's Hong Kong:

============

TOP:

Week Ending CCLI : MMI x 46: EstCC / CaribC

==============

03/02/2008... 73.98 : 71.07 x46: $3,269 / $ N/A

2nd high:

06/28/2008... 73.38 : 70.27 x46: $3,232 / $3,111 ($3,295- 06/07/08)

LOW:

12/15/2008... 56.71 : 54.77 x46: $2,519 / $2,541 ($2,496- 11/24/08)

=from HIGH - 23.3% -22.9%: == - 22.9%/ ==== ( - 24.2%)

NOW:

06/28/2009... 68.42 : 66.77 x46: $3,071 / $2,955

=from LOW : 20.6%: 21.9%: === 21.9% / 16.3% (+ 18.4%)

That's volatility !

Prices fell by 22% in less than 6 months,

and then rose by 22% in just over 6 months, to be just 2-4% below

where they were a year before

The key with America is this is happening 30 months into their crash (I know Manhattan has held up well in the early part of the crash which for me makes it even more significant), here in the UK and it seems HK the optimism is causing a bounce, when true reality sets in I see 3-5% down in a month being realistic as our markets play catch up fast.

Share this post


Link to post
Share on other sites
HK has some reason for it (massive savings, and money from Mainland China).

Transactions are on par with the peak last year too.

London has nothing but low rates, low transactions, and unfounded hopes.

Yes not exactly comparing like for like but people are clearly buying into the decoupling myth in HK, when this burst and China is exposed to have many of it's own problems HK will resume where it left off surely. Would you class HK prices as cheap/fair value atm? UK is so far from fair value it is laughable people are buying in at this level.

We stayed with a friend in HK back in 2005 and had a fantastic time and stayed in his newly renovated flat, it was quite small and far from being cheap back then. I remember at the time thinking it was yet another place that was going to suffer when the bubble burst, we had just finished a trip around the World and I can't think of any place on our travels that had not seen huge rises in house prices in the previous 10 years.

Share this post


Link to post
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
Sign in to follow this  

  • Recently Browsing   0 members

    No registered users viewing this page.

  • The Prime Minister stated that there were three Brexit options available to the UK:   291 members have voted

    1. 1. Which of the Prime Minister's options would you choose?


      • Leave with the negotiated deal
      • Remain
      • Leave with no deal

    Please sign in or register to vote in this poll. View topic


×

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.