Monday, February 25, 2013

The Decline in High End Pricing; a South King County Case Study

Always wanted a view or waterfront home?



Now is the time.

Depending on the area, studies show high end pricing (greater than $500,000) in King County having decreased 30-50%.

Here is an extreme example, on a home I love.  It's an EXTREMELY private mid-bank waterfront home in Normandy Park, WA.  It has full, protected, unimpeded sunset/Vashon views.

It started at $4,250,000 in May of 2008 right before the Real Estate Collapse:

http://www.matrix.nwmls.com/Matrix/Results.aspx?c=AAEAAAD*****AQAAAAAAAAARAQAAAEsAAAAGAgAAAAQ4MTMyBgMAAAABMwYEAAAAATEKBgUAAAADMTA5BgYAAAADMTA5DQIGBwAAAAExDQYGCAAAAAItMQ0GBgkAAAACMjUGCgAAAAEwCgYLAAAAATANAgYMAAAABktDw6vDqw0sBg0AAAABMQoL

More than 2 years later, it was listed a full $1,500,000 less than it had originally been offered for:

http://www.matrix.nwmls.com/Matrix/Results.aspx?c=AAEAAAD*****AQAAAAAAAAARAQAAAEsAAAAGAgAAAAQ4MTMyBgMAAAABNQYEAAAAATEKBgUAAAADMTA5BgYAAAADMTA5DQIGBwAAAAExDQYGCAAAAAItMQ0GBgkAAAACMjUGCgAAAAEwCgYLAAAAATANAgYMAAAABsKrbsKsHQ0sBg0AAAABMQoL

Currently, it is listed at $1,695,000, a full 60% decrease in listing price:

http://www.matrix.nwmls.com/Matrix/Results.aspx?c=AAEAAAD*****AQAAAAAAAAARAQAAAEsAAAAGAgAAAAQ4MTMyBgMAAAABNgYEAAAAATEKBgUAAAADMTA5BgYAAAADMTA5DQIGBwAAAAExDQYGCAAAAAItMQ0GBgkAAAACMjUGCgAAAAEwCgYLAAAAATANAgYMAAAABQTDk0MPDSwGDQAAAAExCgs)

Obviously, no single example is an accurate reflection of the market as a whole.  But, where family/median price homes fell around 35%, the high end market fell more.  Your discount on these homes, now, the ones listed, is significant.

There are some good ones out there!


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