Certainly not here, in the Hamptons!!!!
Again, we can’t help but take everything we hear about national trends, here in the fabulous Humptons, with a grain of salt ( make that Kosher or rock salt – the grains are bigger and more robust). After all, we are “the playground of the rish and famous”, but what a difference 6 months make, right Bernie M?
But, while we are no Las Vegas, NV or Naples, FL or Bakersfield, CA where overbuilt condos or subdivisions have resulted in prices falling 50% or better, we are certainly seeing our fair share of the drop in values. Properties that ARE selling right now, appear to be selling for between 25-45% below what we percieved to be “peak” values at the end of 2006. Unfortunately, we have such undependable and inconsistent record keeping, it’s hard to tell. And, without an MLS or any kind of market-wide public data, all data we get is homegrown and a minumum of 3-4 months behind – not very helpful in these erratic times.
That being said, After the Fall: Opportunities and Strategies for Real Estate Investing in the Coming Decade by , may offer some valuable insight that might even be applicable to us here on the East End.
Looking ahead, two residential sectors Bergsman expects to underperform the market include: condominiums (especially those in popular vacation areas such as Las Vegas or South Florida) and, at least until the next decade, second homes.
However, due to future demographic trends pointing to an aging population, smaller families and a growing preference for returning to the city centers, condos located in urban areas that haven’t been overbuilt could return to health as early as 2010, he said.
Book review: ‘After the Fall’
By Patrick S. Duffy, Friday, April 24, 2009.