this past week we’ve seen 9 houses listed at a million and up – 4 of them new listings, the remaining 5 re-listed old listings.
Their average/median list price is $1,814,444/$1,390,000 @$333/sf
And 2 have gone to contract at an average/median of $1,154,500/$1,154,500 @ $216/sf – appreciably less than those being listed.
This imbalance, between the price of homes being listed and those selling, has been going on, day in day out, for 2 or 3 years now. I’ve alluded to it frequently on these pages. And that imbalance, combined with low sales and high inventory, is going to lead to a new round of distress sales that will shake the high end, wake a few people up, and lead to some last ditch, desperate price reductions by others.
And some of this will be on even higher-end, more mainstream properties than we’ve seen in the past. Properties for which most people would forever deny the possibility of anything but the happiest of endings.
And worse yet, I don’t see any way around it. We’re now too far downstream to turn around.
