Interest Rates are down.
East Village may not happen. I can’t say that I am that surprised to hear that the development company is pulling out of the residential project right now with the slow market and extremely high amount of condo/loft/townhome inventory available in the downtown market right now. I calculated the absorption rate for condos/lofts/townhomes from downtown to the Plaza, and, at the rate properties have been selling, it would take 2 years (about 23 months) for the market to “absorb” all these properties.
- A six months supply signifies a balanced market.
- Less than six months supply reflects a sellers’ market.
- More than six months supply reflects a buyers’ market, which is what we have here.
I am starting to see some incredible deals out there and prices are dropping in response to the current market situation.