The high end of the market is just getting slaughtered in New York and the surrounding areas. A recent report indicated that the price of Manhattan townhouses was basically clipped in half in the first quarter.
And the same trend is bad news for tony Hamptons real estate brokers selling summer homes:
Bloomberg: Home sales in the Hamptons, the New York oceanside communities favoured by financiers and celebrities, plunged 67 per cent in the first quarter from a year earlier as Wall Street job cuts and investment losses stifled demand for second homes.
Across 11 eastern Long Island towns, 96 homes sold in the three months ended March 31, marking the biggest percentage drop in at least 27 years, property broker Town & Country Real Estate said. It was the biggest percentage drop in their records, which date to 1982. In the same quarter of 2008, 287 homes sold.
What’s more, average prices have fallen by 28%. So when you factor that in to the 67% volume decline, you’re looking at dollar volume down by about 77%. That’s a crash’s crash.