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Anonymous
Anonymous
18 years ago

That 6+ % drop is only half
That 6+ % drop is only half the story, as incentives are probably another 6+% too.

bubble_contagion
18 years ago
Reply to  Anonymous

I would another 6-7% once
I would another 6-7% once you add quality and location.

ARMwrestling
18 years ago

A buddy of mine just sold
A buddy of mine just sold his condo, in Walnut Creek CA (A suburb of San Francisco, for those not in the know). He originally listed in March 2006 for $509k, and only just now sold it for $425k….and it’s a little worse than that in fact, because he rebated $3k for the buyer’s agent and for 6 months HOA fees.

So he didn’t get what he wanted but he’s glad to get the monkey off his back. IMO it’s worth half what he sold it for. It’s a decent place, in a good town, but it’s a mid 1980s condo complex and lacking in charm.

lamoneyguy
18 years ago

I recently visited a condo
I recently visited a condo complex in S. Pasadena with 16 units, three for sale. All the exact same size and dimensions. Last completed sale, $655k in 10/05. For sale listed at $632k, $619k and the last at $578k. They have been on the market for 100, 28 and 86 days respectively. Is there anything to distinguish these from the $655 sale a year ago? Perhaps the $655 property had more interior upgrades. Regardless, the current sellers keep thinking about that $655 sale, telling themselves, “I can get almost that much!”

~lamoneyguy

Bugs
18 years ago
Reply to  lamoneyguy

Using average sale prices is
Using average sale prices is always a problem though, because it assumes the datasets consist of comparable data.

I say that because the loss might be more or less than shown depending on whether or not there is a larger or smaller percentage of the high dollar units selling now vs. earlier. I can’t think of why datasets involving condos would be that different, but we have seen the dissimilar datasets in other market segments and those dissimilarities do dork the results of the comparison.

I’m just sayin’…….