High End Condo Market Surges Hot
By Anthony Longo 20 08 2008
The article
If you’re looking for a high-end, luxury condominium, there’s more choice out there but you won’t find any bargains in Boston or New York, Los Angeles, San Francisco, or even Miami. That’s right, Miami.
And don’t make too much of the credit crunch or the housing slump. It won’t help you much in the high-end condo hunt.
Our high end is surging, says Boston realtor and marketing executive Kevin Ahearn, president of Otis & Ahearn, which controls 14.5 percent of the downtown market. Pricing and fundamentals are as strong as they’ve ever been.
As of mid year, transactions are Otis & Ahearn were running 7 percent over 2007, a record year when it netted $450 million in sales.
The company’s closely-watched market data are forecasting a record year in several metrics and the inventory level is now at just 3.6 months.
Sales of $1 million-plus units now represent almost 15 percent of the total, double that of 2004. As of late July, the number of $2-million-plus transactions had already surpassed the 2007 peak. The $3-million-plus segment is the fastest growing, 33 properties have closed, double that of 2004.
The credit crunch has been digested to a large degree, says Ahearn, who describes his customers as not a very heavily-leveraged group. Continued
Source: CNBC: By Albert Bozzo Senior Features Editor
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