Prices Drop for Luxury New York Real Estate

New York City real estate continues to sell for astronomical prices, but there are signs the market is heading back toward earth. 

Bidding wars, brokers say, are less frequent. Few open houses have lines out the door. And asking prices, while still lofty, are increasingly moving down, especially for luxury properties. 

“I have seen more broker incentives and price reductions in the last few months than I’ve seen in the last three years combined,” said Leonard Steinberg, the president of the real estate brokerage firm Compass. “The market got carried away with itself in the first half of 2015. Some people went in with crazy pricing expectations.” 

In the last four months of 2015, about 1,040 available listings in Manhattan cut their asking prices, said Bennett Rosnick, an analyst at Compass. That’s 20 percent of the roughly 5,120 properties on the market then, up from nearly 10 percent during the same period of the previous year, when about 520 properties out of some 5,380 available listings had price cuts.

Read full article here: http://www.nytimes.com/2016/01/17/realestate/prices-drop-for-luxury-new-york-real-estate.html

Related article: http://paintbynumbersblog.blogspot.com/2015/04/real-estate-of-mind-exploring-new-york.html