Condo Auction a Symptom of Ailing Housing Market
by Scott Horsley
All Things Considered, October 5, 2007 · Nervous homebuilders were eyeing San Diego last weekend to see just how soft the real estate market has gotten.
One of the nation's largest homebuilders, DR Horton, auctioned off more than three dozen condos that had previously gone unsold. The condos went for an average of 30 percent below the peak price previously advertised.
There are many Chicago are developer auctions. Most are still available if you want to catch a falling knife.
3 comments:
in the end .....you won't even be able to give condo's away.
You won't be able to give away about half of them, for a fact.
The late speculative rampage triggered a wave of conversions of apartments that are not conversion-eligible, that were built as minimal rentals, such as 400 sq ft studios in 4+1 buildings in Rogers Park. During the bubble years, I was offered condos that I wouldn't live in on a rental basis just out of college.
If it's unfit to rent, is it a good thing to commit $100K-plus to?
There will be many de-conversions in the coming years, just as there were in the real estate bust of the early 90s.
if you buy a condo now (i mean a really good deal) you still will have to contend with fellow owners who are tapped out having streached to buy with an A.R.M. these people will be unable to deal with issues like repairs to cheap construction materials/methods and HOA non payment due to foreclosures in the building.
makes renting sound good.
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