I always wondered how things would play out in the Downtown condo market where you have regular people...aka "flippers"...competing with deep pocketed developers...that I would venture to guess...have much more room to lower their prices yet still realize some sort of a profit...or at least be able to deal with a small loss just to get rid of product. Obviously I can't paint all developers with a broad brush as I honestly have no idea how deep their pockets are and for all I know...some may even be on the cusp of bankruptcy. (At least that's what I read on Ben K's blog.) Still...until I read it in a credible source...you know...like the newspaper...I can neither confirm nor deny the financial status of any of the downtown developers.
I do however think that Vulcan has some pretty good capital behind it though...I mean really...can you imagine what it must cost for Paul Allen to fill the gas tanks on Octopus ?
So...being that my best guess is that Vulcan has some deep pockets...let's revisit the two condos that were neck and neck about a month and a half ago.
http://2200life.blogspot.com/2007/10/lets-get-ready-to-rrrrrrumble.html
Lets see where things stand today.
It appears as if The Flipper is still shooting for $389,950 whereas Vulcan has lowered their price from $392,000 to a slightly less astronomical price of $369,000...no free years worth of homeowners dues this time around however...sorry folks.
So...how will this play out?
Dunno.
But I gotta give Vulcan credit for not playing that silly $xxx,995 or $xxx,999 game with their pricing. I wonder when prices will be like gas stations with a 9/10 at the end.
Tuesday, December 4, 2007
Subscribe to:
Post Comments (Atom)
5 comments:
EconE, you should check out this post on ending prices: http://blog.redfin.com/blog/2007/03/pricing_advice_make_the_last_3_digits_-500.html
Of course they can't offer one year of free HOA anymore. Once the 2008 budget for 2200 is ratified this month, even Vulcan could not absorb that sort of increase!
"Once the 2008 budget for 2200 is ratified this month, even Vulcan could not absorb that sort of increase!"
Did your management fees increase as significantly as I predicted? What are the big increases from?
Stay tuned, the budget Q&A meeting is this week and then the annual meeting is a few days later.
They sent a survey out a few weeks ago asking for the preferred level of concierge service hours, etc.
There WILL be an increase, the big question is just how much things will go up.
Peck "Ms Cleo" Hammer,
Not sure I recall when the prediction was made but I want to clarify if you are speaking about the fees that CWD Group charges for doing nothing more then electronically taking our HOA checks. I keep asking what it is that they do for the fee and keep getting some generic ambiguous response.
If those fees go up it will be the biggest scam I have dealt with since I got the email from Nigeria that said I have a million dollars in an account and all I have to do is send them money to get access to the money.
Post a Comment