Thursday, March 11, 2010

Loft Prices Surge

There are few things I hate more than the over-generalizations the media has been so graciously making about the real estate market in the past few years. Headlines like "HOME PRICES DROP" have been common place. It all goes back to the fact that news media has placed more focus on attention getting drama than on true reporting. I guess that sells more papers.

Well, if you can't beat 'em, JOIN EM! is what I say.

Looking at the sales for the first two months of the year, the number of sales increased and the average price increased by nearly $7,000, which is meaningless considering that doesn't allow for the size condition or location, but hey, "Loft Prices Surge" is a great headline, so there!

Also encouraging is that the number of sales jumped, and the days on market dropped by over 100 days. It underscores how bleak things were in early 2009.

Unfortunately the price per square foot has dropped. The good news, is that we are going to be seeing more short sales until prices raise to 2006 levels, and banks may be absorbing some of those drops as well as paying realtor commissions.

In truth, prices aren't really surging.  Some great deals are out there, and its best to hang onto your space and ride this market out if its possible. 

The data is below. Here's to the turn around!

             2009 Sales   Listing $    SqFt    Listing Pr/SqFt    CDOM      Sale $      Selling Pr/SqFt
                (12)         $190,244  1364      $147                314       $179,692        $139

2010 Sales                Listing $    SqFt     Listing Pr/SqFt   CDOM      Sale $      Selling Pr/SqFt
   (21)                      $197,090  1346      $150                207       $184,954         $132