Chalk it up to the end of summer and the chill in the air hinting that winter is just around the corner. (Ok, not just around the corner, but at least in the next block!) I’ve been glued to the MLS feed all day, watching price reductions come through. There were 23 price reductions today, and that adds up to a total of 74 since Sept. 1st. A lot of the price cuts have been pretty dramatic — 10% or more.
The biggest action is at the upper end. A pretty fabulous renovated farmhouse on 10 acres with a pond in Tyler Hill, PA, dropped from $529,000 to $459,000 (original asking price was $579,900). Click Here to View Listing. (UPDATE on this Sept. 6 — the $459K price only lasted a few hours. The price was increased this morning to $499,000, which is much more ho-hum.) A ‘vacation chalet’ style house on 39 acres with a pond and inground pool near Livingston Manor was just reduced from $524,000 to $469,000 (Original listing price $599,000). I’m pretty excited about these 2 particular moves, because both moved decisively under $500K. They’re joining a third property, a lovely farmhouse on 26 acres near North Branch (Click Here to View Listing) recently reduced to $459,000, in firming up a market for great properties with some acreage, water and/or views in the mid $400’s. These aren’t Rockefeller estate-quality properties, but they can amply satisfy most country desires without a lot of compromise. A year ago, buyers who wanted this quality of setting had to push into the $500’s.
While 3 properties do not make a market, these 3 are significant because they are setting a bar. Many other properties currently priced in the $500’s or even low $600’s are going to have to compete with them. These 3 are the lean, buffed players, and some of the other properties on the market are going to have to go on a diet if they want to make the team.