NYC Home Sellers Are Slashing Prices “Like It’s 2009”

 

Easy money creates malinvestment.

Sooner or later people become aware of the malinvestment and start looking for exit doors. We might be seeing a bit of this happening in New York right now.

This is what happens with monetary central planning. It almost always does. But the system works “well” for the connected.

(From Zerohedge)

The crumbling New York City real estate market has continued apace during the third quarter, after more than half of homes sold in Manhattan during the second quarter closed below asking price – the worst Q2 tally since 2009. And while real-estate brokers had hoped that the seasonal shift during Q3 would help lift sales as a flood of higher-quality offers hit the market, it appears canny buyers – wary of being left holding the bag after nearly a decade of asset appreciation – are refusing to indulge sellers’ lofty asks.

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