The United States housing market has taken a tumble since Tax Credits on home purchases were withdrawn in April, but Manhattan's luxury homes market is enjoying a boom.
Prices for Manhattan homes valued at USD2 million or more are rising, because Wall Street bonuses and earnings are on the up, Miller Samuel Real Estate Appraisers reveal. In any case, buyers of luxury homes don't need tax credits, so its withdrawal is relatively unimportant.
But don't get too excited, Manhattan's luxury homes market is not problem-free. Overpricing of new build homes means the stock of these properties is equivalent to seven years of expected take up Miller Samuel reports. Another negative, mortgages remain scarce.
Meanwhile the rest of the US housing market is on course for a double dip in prices following the withdrawal of tax credits. Prices will drop 5 per cent nationally in 2010, consultancy, Capital Economics, forecasts.
http://globalpropertynews.blogspot.com
No comments:
Post a Comment