Price Reduced! 11/19 - 11/26
It's time for yet another episode of Price Reduced! For all the newcomers to this blog, Price Reduced! takes a good look at a handful of significant price reductions across Northern NJ. The purpose of this exercise is to serve as proof that the Northern New Jersey real estate market has long since been overvalued and has started the long hard decline back to the mean. These listings are in no way an endorsement by myself, nor do I believe they are a bargain or a value. Even reduced, I still believe these homes are still grossly overpriced. With that, the listings please!
MLS# 2218495 - Belleville, NJ
Original Price $210,000
Reduced Price $155,000 (26.2% Reduction)
MLS# 2060526 - Hardyston, NJ
Original Price $1,199,900
Reduced Price $989,900 (17.5% Reduction)
MLS# 2093259 - Clifton, NJ
Original Price $300,000 (Reduced from $329,900)
Reduced Price $249,999 (16.7% Reduction)
MLS# 2200794 - Millburn, NJ
Original Price $1,550,000
Reduced Price $1,300,000 (16.1% Reduction)
MLS# 2210412 - Parsippany, NJ
Original Price $389,900
Reduced Price $329,900 (15.4% Reduction)
MLS# 2101635 - Newark, NJ
Original Price $699,900
Reduced Price $599,999 (14.3% Reduction)
MLS# 2203333 - Bloomfield, NJ
Original Price $725,000
Reduced Price $625,000 (13.8% Reduction)
MLS# 2200880 - Madison, NJ
Original Price $1,495,000
Reduced Price $1,295,000 (13.3% Reduction)
MLS# 2108706 - Mendham, NJ
Original Price $1,425,000
Reduced Price $1,250,000 (12.3% Reduction
MLS# 2211051 - Roxbury, NJ
Original Price $439,900
Reduced Price $390,000 (11.3% Reduction)
MLS# 2095841 - Blairstown, NJ
Original Price $640,000
Reduced Price $570,000 (11% Reduction)
MLS# 2212566 - Wayne, NJ
Original Price $999,999
Reduced Price $899,999 (10% Reduction)
And now, for some jaw dropping statistics (GSMLS Only)..
Reduced Listings This Week: 554
Average Price Reduction: 4.12%
Total Dollar Reduction: $12,015,099
I tried to grab a set of towns I haven't grabbed before. If someone asked for a particular town and I didn't include it, just please reply to this post and I'll drop one or two in for you.
Now, to all the buyers and readers of this blog, I am not posting this information for you to drool over thinking these are great deals. These are not great deals. These are the first price reductions along a very long road downward. If I threw a knife up into the air, would you try to catch it on the way down? No, you'd wait until it hit the ground and then pick it up. The same rule applies here. Alot of people lost alot of money buying on the downside of the stock market after the Nasdaq crash in hopes of a fast recovery. There will be no fast recovery here. Sit tight, grab some popcorn and enjoy the ride.
Caveat Emptor!
Grim
MLS# 2218495 - Belleville, NJ
Original Price $210,000
Reduced Price $155,000 (26.2% Reduction)
MLS# 2060526 - Hardyston, NJ
Original Price $1,199,900
Reduced Price $989,900 (17.5% Reduction)
MLS# 2093259 - Clifton, NJ
Original Price $300,000 (Reduced from $329,900)
Reduced Price $249,999 (16.7% Reduction)
MLS# 2200794 - Millburn, NJ
Original Price $1,550,000
Reduced Price $1,300,000 (16.1% Reduction)
MLS# 2210412 - Parsippany, NJ
Original Price $389,900
Reduced Price $329,900 (15.4% Reduction)
MLS# 2101635 - Newark, NJ
Original Price $699,900
Reduced Price $599,999 (14.3% Reduction)
MLS# 2203333 - Bloomfield, NJ
Original Price $725,000
Reduced Price $625,000 (13.8% Reduction)
MLS# 2200880 - Madison, NJ
Original Price $1,495,000
Reduced Price $1,295,000 (13.3% Reduction)
MLS# 2108706 - Mendham, NJ
Original Price $1,425,000
Reduced Price $1,250,000 (12.3% Reduction
MLS# 2211051 - Roxbury, NJ
Original Price $439,900
Reduced Price $390,000 (11.3% Reduction)
MLS# 2095841 - Blairstown, NJ
Original Price $640,000
Reduced Price $570,000 (11% Reduction)
MLS# 2212566 - Wayne, NJ
Original Price $999,999
Reduced Price $899,999 (10% Reduction)
And now, for some jaw dropping statistics (GSMLS Only)..
Reduced Listings This Week: 554
Average Price Reduction: 4.12%
Total Dollar Reduction: $12,015,099
I tried to grab a set of towns I haven't grabbed before. If someone asked for a particular town and I didn't include it, just please reply to this post and I'll drop one or two in for you.
Now, to all the buyers and readers of this blog, I am not posting this information for you to drool over thinking these are great deals. These are not great deals. These are the first price reductions along a very long road downward. If I threw a knife up into the air, would you try to catch it on the way down? No, you'd wait until it hit the ground and then pick it up. The same rule applies here. Alot of people lost alot of money buying on the downside of the stock market after the Nasdaq crash in hopes of a fast recovery. There will be no fast recovery here. Sit tight, grab some popcorn and enjoy the ride.
Caveat Emptor!
Grim
24 Comments:
I see it is finally happening. Hissssss! Great blog BTW.
Since the Hudson coast, especially Hoboken, is one of the many communities said to have special powers to resist the decline I'd be heartend to see it happen there too.
Extra credit if we're not talking about some $600k Shtbox across the street from the projects.
Grim,
The town of Iselin please ....
Idiots raise your hand.
You bought a overinflated castle. Unfortunately, 10% off is no discount.
Jim,
Some details on your reduction list are not correct. E.g MLS 2210412 is not in Parsippany (07054) but in Allamuchy (Warren County, 07820).
My lookup shows 2210412 as being in Parsipanny. Different MLSs can have the same MLSid
Grim -- can you do Edgewater NJ, or do you not have access to NJLMLS data ?
I don't have as 'direct' access to NJMLS or Hudson MLS as I do to GSMLS.
You folks want to hear something funny? I'm in the process of setting up a corp and getting a real estate license.
grim
Jim, How much commission will you charge? (smirk)
That ranch house in wayne (mls#2212566), how on earth can they ask $900,000 thousand dollars for that. Do you they think someone who can affort to spend close to a million on a home will live in that 8 room ranch house? Crazy. (disclaimer: no offense to any of you who may now be living in million dollar ranch houses)
You want to see how little people are willing to live in for $900,000? Just go to Marin County, CA, land of the fools:
http://marinpos.blogspot.com/
Grim,
Let me know when you're licensed because I'd LOVE to have you represent us as a buyer's agent!!! ;-)
Marinite et al - My husband and I just sold our 3/2 about 25 miles outside of San Francisco for just under $1.1M.
!!!!!!!!!
So glad we sold when people were still mega-silly!
Cheers,
Michelle
Grim,
Your famous! Businessweek's Peter Coy mentions your blog.
http://www.businessweek.com/the_thread/hotproperty/archives/2005/11/the_hot_new_gam.html#comments
Buy a house with creative financing and be a bankrupt fool in a few years.
the housing market is slowing big time. hearing thru the grapevine.
Can you plese include North Edison, South Brunswick, Bridgewater and Morristown too please.
Imitation is often the sincerest form of flattery, but in this case it's also the lamest. See Curbed's original "PriceChopper" for the inspiration for "PriceReduced!"
What is that all about?
Great blog; found you via BW. Just sold in DC after a move to NY (now renting) and this is very interesting analysis.
Yes, checked out the Peter Coy write-up. Congragulations ! The full URL is
http://www.businessweek.com/the_thread/hotproperty/
When I buy in 2007 I hope to use Grim Realtors.
I dont know why only the 'h' appears from the 'hotproperty' in the URL.
This is fantastic.
Three cheers for Grim!!
I have seen a decline in the Mendham, Chatham, Madison markets but seems things are still nuts. Builders have been keeping prices high but their inventory has been sitting longer.
CDF
I fail to see how I'm imitating Curbed at all.
grim
I'll wait until I see the Fed pause before I start to speculate about the Fed might do even further into the future Everything I've seen leads me to believe that the fed is not yet done tightening. Remember, despite what was said in the minutes, the last FOMC vote was unanimous.
grim
njgal --- if you look at the realtor.com local market conditions for Hoboken, NJ, the realtor still claims that condos are selling very well. Plus. lots of new construction Is he just lying or what ?
I personally think that Hoboken is overdue for a good solid correction. The town is crowded as hell, the schools are awful. For young couples without children, maybe its OK but not for all others.
Just because a unit sells considerably below it's listing price...does this really mean the "bubble" is bursting?
I mean, you really have to compare the sales to the sale price of a similar unit one year ago. If it's higher than the previous years price - this ain't no bursting bubble.
I think it would be great if such comparisons could be made on this blog. Not easy to do, I know, but compare a recent sale price to a price of a similar unit 1 year back. Probably easier to do with condos and townhomes than single family homes.
Can you list Windsor, Plainsboro and Princeton.
I think people are listing way above correct pricing just to see if they get any takers. They're still making huge profits if they've owned over 2+ years.
I'm curious how the multi-family properties in Hudson County will do in the next year, as I have a couple of them. The good thing is that if things sour, I can just continue to rent and ride out the storm... hopefully it will pass quickly...
Does anyone have any info on Jersey City area? Things still seem pretty hot here. I'm looking to sell in the spring, but if it's going south, I'll just stay put!
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