Manhattan Condo, Co-op Sales Decline Most in 18 Years

[marmar]

from Bloomberg:



Manhattan Condo, Co-op Sales Decline Most in 18 Years (Update2)

By Sharon L. Lynch

April 2 (Bloomberg) -- Manhattan apartment sales plunged the most in 18 years in the first quarter as buyers faced the prospect of a recession and job cuts at Wall Street securities firms.

Sales fell 34 percent from a year earlier and inventory rose 4.6 percent to 6,194 units, New York-based real estate appraiser Miller Samuel Inc. and broker Prudential Douglas Elliman Real Estate said in a report today. The median price of a Manhattan co-operative apartment or condominium increased 13.2 percent to a record $945,000.

``If it continues along this pattern, we're in a period of transition to a weaker market,'' Miller Samuel President Jonathan Miller said in an interview. ``You typically see a slowdown in sales activity precede a slowdown in pricing.''

Financial companies have cut at least 34,000 jobs in the past nine months as losses and writedowns related to mortgage- backed securities climbed to at least $230 billion. Wall Street drives Manhattan real estate, with the median apartment price roughly tracking bonuses paid by investment banks since 1997, Miller said.

``There are a lot of buyers out there,'' said Prudential Douglas Elliman Chief Executive Officer Dottie Herman.

``It's not that they're not looking, but there is no sense of urgency,'' she said. ``If you continue to see inventory rise, that would be a sign that you are going to see a price dip.''

The complete piece is at: http://www.bloomberg.com/apps/news?pid=20601087&sid=aePySgcg3hXg&refer=home

[rolleitreks]

1. Good news for me. I'm hoping to move back to Manhattan next year. n/t

[katmondoo]

2. I love N.Y.

[Clear Blue Sky]

3. Great news! I can pick up a $15M apartment now for only $12M...

[enid602]

4. few bucks

And don't forget the $2,000 monthly maintenance fee. But what's a few bucks to DU-ers; hell, we're made of money.