Realty Digest
A Quirky Collection of News and Information
From Malcolm Carter

**** November 4, 2006 ****

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IN THIS ISSUE:

• Items of Interest
• Out and About
• Third-quarter market update
• New Listings

Items of Interest
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Research

THOSE BABY BOOMERS ARE AT AGAIN: This time the trend is owning second homes. In 2004, 43 million American households aged 50 or older owned their main residence. Fifteen percent of this group, or 6.6 million households, also owned a second home. Although the second-home market is relatively small, there will be sustained future growth in second-home mortgage activity because of the sheer size of the Baby Boom cohort, not because baby boomers own these properties at a higher rate than older generations. So concludes a study conducted by Gary V. Engelhardt and jointly sponsored by Radian and the Research Institute for Housing America (RIHA). Since second-home purchases are geographically concentrated in well known vacation areas, local and regional economic conditions related to employment growth and migration will have important influences on the collateral value and credit risk of these properties, according to the researchers. The typical second home is held for about 15 years, but turnover is high: 45 percent of older homeowners with such homes disposed of them within the six-year window of the data analyzed. Changes in marital status and health, not income or employment, drive the decision to dispose of a second home. Most second-home owners make limited use of their homes: half of them spend fewer than two weeks (or so they tell the IRS) and two-thirds spend fewer than four weeks a in the home. Also, only 12 percent of owners intend to sell their main home and eventually occupy their second home.

BOTH ENDS AGAINST THE MIDDLE: North Carolina is the state where American most want to live, while California got the most votes of foreign respondents in a recent study, the Anholt State Brands Index, says Realtor magazine. The index analyzes the brand strengths and weaknesses of all U.S. states. According to U.S. citizens, Virginia, Florida, Colorado and Oregon, in order, followed North Carolina. North Carolina and Virginia also ranked highly as lifestyle destinations, and they consistently placed in the top 10 for climate, physical attractiveness, amenities, ease of finding employment, commercial opportunity and education. The survey polled more than 9,000 U. S. citizens and 12,000 people in 15 other countries. New Jersey ranked lowest on the index. Iowa had the dubious distinction of being the most boring state, while New Mexico and Kentucky were considered the best for food in addition to New York. (You gotta wonder about this survey if Kentucky made the list, no?) For international respondents, the top five states after California were, respectively, Florida, Hawaii, New York and Washington State, the last perhaps because of confusion with the nation's capital. Among the survey's many findings is that Britons and non-Americans generally think Texas is the most unfriendly state, suggesting, said Anholt, the effects of its association with President Bush and also the oil industry.

HOMES SEEN BOTH AS PLACES TO LIVE AND AS INVESTMENTS: According to a Wells Fargo annual survey of more than 1,300 homeowners, 25 percent said that their home primarily provides a sense of security and 24 percent said it is a great investment. Despite the changing market, the survey found that 90 percent of homeowners expect their own home value to stay the same (27 percent) or increase (63 percent) during the next 12 months. A large majority (80 percent) of respondents are satisfied with their home purchase, indicating they would likely purchase their current home again. Additionally, the majority (54 percent) said they like their current home and would make improvements.
 

The Mortgage Biz

RATES HEAD DOWN AGAIN: The 30-year fixed-rate mortgage (FRM) averaged 6.31 percent for the week, down from last week's 6.40 percent and equal to last year's 6.31 percent, according to Freddie Mac. The 15-year FRM this week averaged 6.02 percent in comparison with 6.10 percent last week. A year ago, it was 5.85 percent. Five-year Treasury-indexed hybrid adjustable-rate mortgages (ARMs) were 6.05 percent this week, down from 6.14 percent the previous week and up from 5.76 percent the same week of 2005. One-year Treasury-indexed ARMs averaged 5.53 percent this week, down from 5.60 percent last week. At this time last year, it was 5.09 percent. "Lower than expected third quarter Gross Domestic Product (GDP) figures helped to put a damper on rising rates this week," commented Frank Nothaft, Freddie Mac vice president and chief economist. "With mortgage rates down this week, we may see a spurt of refinancing by those who want to get out of ARMs that are scheduled to reset in the next year while interest rates are still comparatively low. We are also seeing a higher number of homeowners who are taking cash out of their homes for home improvement or other needs rather than opting for a prime rate home equity loan now that the prime rate is over 8 percent."

UNSURPRISING STATISTICS FROM THE MORTGAGE INDUSTRY: First-mortgage originations volume decreased 16 percent during the first half of the year from the first six months of 2005, according to the Mortgage Bankers Association. The survey results continue to show strong demand for interest-only (IO) and payment option mortgages, so-called "non-traditional" products. The change was driven by a 10 percent decline in purchase mortgage volume and a 22 percent decline in refinance volume. IOs accounted for 26 percent of originations in the first half of 2006. However, the composition of IO originations changed, with fixed rate IOs accounting for 24 percent of all IOs in the first half of 2006 compared with 13 percent in the second half of 2005. Payment option mortgages ("Option ARMs") accounted for 15 percent of the dollar volume of originations in the first half of 2006, up from 8 percent in the second half of 2005. First-time homebuyer purchases represented almost one in three home purchases in the first half of 2006. Their average loan amount was $189,883, significantly less than the average loan amount of $236,517 for repeat home buyers.

HEY, BIG LENDER, CAN YOU SPARE A RATE BELOW PRIME: Mortgage lenders are making it easier to get loans as the housing market cools and even as the number of borrowers struggling to make their payments continues to rise, new studies show, reports the Wall Street Journal. The number of past-due mortgages continued to rise in the three months ended Sept. 30, according to data from Equifax and Moody's Economy.com. The increase is particularly notable because bad loans normally climb when the economy weakens and job losses rise, leaving more borrowers unable to make their monthly payments. By contrast, the latest increase appears to be more closely tied to looser lending standards, borrowers tapping their equity and slowing home-price growth. Some 2.33 percent of mortgages were delinquent at the end of the third quarter, the highest level since 2003, according to Equifax and Moody's Economy.com. A separate report by the federal Office of the Comptroller of the Currency found that lenders continued to ease credit standards over the past year. Still, mortgage delinquencies have been at low levels in recent years, and the recent uptick only brings them closer to historical averages. The seasonally adjusted mortgage-delinquency rate reached its most-recent peak of 2.53 percent in the first quarter of 2002, according to Equifax and Moody's Economy.com. The Comptroller's report found that competitive pressures are driving many banks to further loosen their credit standards. More than one-third of the lenders relaxed their standards for home-equity loans in the 12 months ended this March, according to bank examiners, while fewer than 5 percent tightened their standards. Over the same period, 26 percent eased their mortgage-lending standards, most often by increasing the use of nontraditional mortgage products.

BUYERS ARE STILL NOT LEAPING TO LENDERS: For the week ending Oct. 27, mortgage loan application volume slid by 3 percent on a seasonally adjusted basis from one week earlier, according to the Mortgage Bankers Association. On an unadjusted basis, the decrease was 3.3 percent compared with the previous week and 11.2 percent compared with the same week one year earlier. Seasonally adjusted, refinancings went down by 4.5 percent from the previous week, and purchase applications slipped by 1.8 percent from one week earlier. The refinance share of mortgage activity declined to 45 percent of total applications from 45.6 percent the previous week, and the adjustable-rate mortgage (ARM) share edged down to 25.9 percent from 26.1.

BANKS ARE COMPETING HARDER TO LEND YOU $$$: With competition for home loans increasing, Bank of America is encouraging its customers to apply for a mortgage with the bank and then shop around. If they decide to get their home loan elsewhere, they receive $250 to cover a portion of their closing costs, says the Wall Street Journal. Such is the latest sign some lenders are beginning to emphasize price, service and stronger customer relationships in the face of slowing loan volume. Another example: Charles Schwab Corp. said it would give most of its bank and brokerage customers a 0.25 percentage point discount on the rate for a new adjustable-rate mortgage or home-equity loan and a 0.125 percentage point discount on the rate for a fixed-rate mortgage. Until now, the discounts were available only to clients who had combined bank and brokerage account balances of more than $250,000. And in August, E*Trade Financial Corp.'s mortgage unit began offering $500 off mortgage closing costs to the company's banking and brokerage customers who have less than $100,000 in total assets at E*Trade. E*Trade customers with assets of $100,000 or more get a 0.125 percentage point mortgage-rate discount. Other lenders are using rewards programs to try to boost customer loyalty. National City Corp. gives customers enrolled in its rewards program 50,000 bonus points when they take out a mortgage with the bank. Customers also earn bonus points for tapping a new home-equity line of credit. Citigroup Inc. offers special reward points to customers with a Citibank mortgage or home-equity loan, provided they also have a Citibank checking account and debit card. Some lenders are wooing customers with pricing guarantees. LendingTree.com is offering a $500 price guarantee to certain borrowers who use its loan network to shop for a home mortgage.

REFINANCE ACTIVITY REMAINS HIGH: In the third quarter of 2006, 89 percent of Freddie Mac-owned loans that were refinanced resulted in new mortgages with loan amounts that were at least five percent higher than the original mortgage balances, according to Freddie Mac's quarterly refinance review. This percentage is up from the second quarter of 2006, when the share of refinanced loans that took cash out was a revised 88 percent, and is the highest since the second quarter of 1990. "Mortgage borrowers continue to refinance their mortgages at a higher frequency than historically would have occurred given the rise in mortgage rates over this year," said Frank Nothaft, Freddie Mac vice president and chief economist. "But the wide proliferation of adjustable-rate mortgages (ARMs) originated in the past few years that are nearing their first interest-rate adjustment provides borrowers an incentive to refinance into a lower-cost ARM or fixed-rate mortgage. In addition, borrowers who might have considered a prime rate home equity loan for a home improvement or other need are turning to cash-out refinance options now that the prime rate is above 8 percent." Still, the refinance share of applications did slip for the third consecutive quarter to 41 percent from 42 percent in the second quarter of 2006, according to Freddie Mac's Primary Mortgage Market Survey.
 

The soothsayers

FED ECONOMIST SEES NO BURSTING BUBBLE: U.S. housing prices may decline "a little" within the next year, but any such drop is likely to be mild and inconsistent with a bursting housing bubble, according to a paper written by a Federal Reserve economist, says the Wall Street Journal. Based on an analysis of housing futures and options and derivatives of housing-related company shares, "market participants expect home prices to decelerate sharply or actually decline a little within the next year," wrote J. Benson Durham, an economist with the Fed's monetary affairs division. However, the anticipated drop in prices "is mild compared to some estimates of the purported overvaluation of the housing market," he added. Durham perceived suggestions in the futures market "that investors see more risks to home prices going forward." That higher uncertainty, however, is "generally inconsistent with the perception of a "bubble,'" he wrote. Having examined options on shares of certain homebuilders to gauge whether investors see upside or downside risks to home prices, Durham saw indications "that market participants do not, in fact, view the risks to home prices or, perhaps more accurately, to the broader housing sector as especially tilted to the downside." The paper's conclusions seem in line with the thinking of Fed officials that the sector will slow substantially through the rest of 2006 and into 2007 but is unlikely to derail the economic expansion.

BUSINESS WEEK TAKES THE LONG VIEW: You may find comfort in an article in the magazine online. Visit businessweek.com/magazine/content/06_45/b4008063.htm?chan=top+news_top+news+index_top+story for the publication's perspective.
 

Home and hearth

IF IT SMELLS LIKE A DUCK AND REEKS OF A DOG, HERE'S HELP: Textile manufacturers have taken some of the home's most odor-absorbent materials, re-engineered them and created a host of new products that promise to neutralize bad smells, notes the Wall Street Journal. Among the latest technologies: fabrics treated with bacteria-killing silver ions, upholstery its maker says is woven so tightly that smells can't get in, even drapery embedded with the same sort of enzymes found in yogurt. Researchers say the market is ripe for such products. Americans are more obsessed with sanitation and personal hygiene than many other cultures, says chemist Craig Warren, a visiting scholar at the University of California in San Diego and the science adviser to the Sense of Smell Institute in New York (really). Fabrics that clean up after themselves are an attractive alternative: Americans spent an average of 12.3 hours a week on housework in 2004, down from 14.05 hours in 1985, according to John Robinson, a sociology professor at the University of Maryland. To make matters worse, soft surfaces like carpets, drapes and couches are hard to clean, so they get cleaned less often, says Dr. Warren. "They become the home's odor sinks."

FURNITURE THAT'S A BOON FOR MULTITASKERS: Finally, a piece of furniture that reflects how we really live, exclaims the Washington Post. Imagine a cabinet/desk/console that recharges multiple cell phones, docks iPods and provides Internet access and data ports for laptops. Imagine! This multitasking design is so new, it doesn't even have a name. But it's being touted as a command center for families and households because it organizes the overload of high-tech domestic gadgets and entertainment components piling up in America's kitchens and front hallways. In a period of weak sales for most home furnishings, manufacturers introducing lifestyle solutions for 21st-century living were the ones that drew attention at October's High Point Market, the twice-yearly design powwow that attracts industry executives, retailers and journalists from around the world. Store buyers crowded around the new designs as though they were concept cars at an auto show for one reason: They're useful. Another reason: They don't seem to have a life.

DO YOU HAVE GAS: A substantial drop in natural-gas prices won't help some U.S. consumers with their heating bills this winter. Some utilities that raised rates significantly last year, in the aftermath of gas-production disruptions along the Gulf Coast, will offer substantial reductions this year because of the fall in gas prices. Others will have modest increases or decreases depending on whether they locked in gas supplies when prices were high or rolled the dice on the spot market. Gas-commodity costs make up 50-80 percent of a common residential bill, and gas heats more than half of all U.S. homes. About 70 percent of gas utilities enter into financial hedges to protect their customers, according to the American Gas Association, a trade group. ConEd expects the average household to pay about 5 percent less this year than last. That means a total gas expense of nearly $2,000 from November through March, compared with an average cost of $2,090, $1,658, and $1,415 the prior three years.

SO WHAT IF HALLOWEEN HAS PASSED: You still can track down ghosts by visiting hauntedrealestate.com, the Web site of an enterprising California Realtor, Mary Pope-Handy. Says she, "My approach would be to talk (out loud) to the spirit person and ask him or her, nicely, to please move along or at least co-exist quietly. Some of them don't know they're dead and may not appreciate being told so. And I'm not especially subtle - OK, I am blunt - so it's very possible my approach may backfire." Well, wouldn't that be a problem?

IF YOUR PLACE IS TOO SMALL, TRY THESE WEB SITES: Your first visit might be garnethill.com, where Realty Times notes you'll find some space-saving techniques as well as nifty items that collapse completely flat when not in use. A storage basket that holds up to 55 pounds can be used for a picnic or as part of your home décor in the bedroom or bathroom area. Or you can order hanging storage shelves that provide space where you need it and then collapse when you don't need the extra storage. At leevalley.com, the company's collapsible vase holds your floral arrangement with a stylish twist. The vase is delivered to your home as flat as a sheet of cardboard. When you fill the vase with hot water you can then mold it to any shape you like. If you need more desk space but want the furniture to appear smaller when the extra surface-top space isn't needed, homedecorators.com has a beadboard version that fold down and out of the way, allowing this piece of furniture to collapse to less than half the width.

A HOME INSPECTION CAN OFFER PEACE OF MIND: Seventy-five percent of real estate transactions include home inspections. To see and hear what a professional home inspection is all about, the American Society of Home Inspectors offers a virtual tour in which you can learn about some common problems that may be discovered. To take the tour, check out ashi.org/customers/vhi_tour.asp.

BLUE MAY BE THE NEW GREEN: Manufacturers are showing sofas and tables in pale shades ranging from robin's egg to Tiffany as a fresh alternative to the sheaf of greens that have been lingering so long in fashion and home décor, observes the Washington Post. At Mitchell Gold + Bob Williams, light blue has already been a winner. Chalky blue is one of the company's best-selling upholstery colors this year in denim, linen and leather. A Paige oval ottoman in chalky blue and a pale blue backdrop grace the cover of the designers' new book, "Let's Get Comfortable" (Meredith Books, $34.95) to be published in March. On some upholstered furniture introduced at this fall market, they've used a slightly deeper blue christened "cornflower." Designers at Century Furniture used sky blue to update traditional pieces, including coffee tables, sideboards and etageres. "This color takes forms that are traditional and contemporizes them," says Ed Tashjian, Century's vice president of marketing. Because the best-selling furniture finish these days is brown wood, Tiffany-like blue is a good counterpoint. "It's hard to go wrong with Godiva and Tiffany," Tashjian says.
 

The market

HOUSING SUPPLY SINKS ALONG WITH SALES: Sales of previously owned homes plunged last month, but so did the number of homes available for sale, according to the National Association of Realtors (NAR). In addition, prices fell. September sales - including single-family, townhomes, condominiums, and co-ops - dipped 1.9 percent from August to a seasonally adjusted annual rate of 6.18 million units. Compared with September 2005, which was the third strongest month on record, sales were down 14.2 percent. "Considering that existing-home sales are based on closed transactions, this is a lagging indicator and the worst is behind us as far as a market correction," commented David Lereah, NAR's chief economist. "When consumers recognize that home sales are stabilizing, we'll see the buyers who've been on the sidelines get back into the market, and sales will be at more normal levels in the wake of the unsustainable boom that we saw last year." Total housing inventory levels fell 2.4 percent at the end of September, when it normally declines, representing a 7.3-month supply at the current sales pace, and the national median existing-home price for all housing types was $220,000 in September; that was 2.2 percent below September 2005, when the median was $225,000. Single-family home sales slipped 1.6 percent from August and were 13.8 percent below September 2005, which was the second highest month on record. The median existing single-family home price was $219,800, down 2.5 percent from a year earlier. Existing condominium and cooperative housing sales fell 3.2 percent, 16.0 percent below the pace in September 2005. The median existing condo price was $219,800 in September, 2.8 percent lower than a year ago.

NEW-HOME SALES REBOUND BUT FALL WAY BEHIND 2005: Sales of new single-family homes rose 5.3 percent in September, according to figures released by the U.S. Commerce Department. Yet volume was down 14.2 percent from a year ago. "Recent declines in mortgage interest rates and energy prices also have buoyed consumer attitudes and home buyer demand," said Chief Economist David Seiders of the National Association of Home Builders (NAHB). "Surveys of consumer sentiment show that increasing numbers of households view this as a good time to buy homes." The Commerce Department reported that the median price of new homes sold in September was $217,000, 9.7 percent below a year earlier. Seiders noted, however, that the monthly price numbers are notoriously volatile. For the third quarter as a whole, the Commerce Department reported that the median sales price was down by 1.7 percent on a year-over-year basis. The inventory of new homes for sale fell for the second consecutive month to the equivalent of a 6.4 months' supply at the current sales pace. Completed homes for sale were 28 percent of the inventory. Units still under construction represented nearly 56 percent of the inventory, and units for sale that were permitted but not yet started represented 16 percent of the inventory level. The median length of time that completed homes for sale were on the market was 3.5 months, the same as in August and down from 3.8 months a year earlier.

THE NUMBER OF PENDING HOME SALES FALLS OFF: The Pending Home Sales Index, based on contracts signed in September, slipped 1.1 percent to a level of 109.1, following a 4.7 percent gain in August, according to the National Association of Realtors (NAR). Pending sales are 13.6 percent below September 2005. Spins David Lereah, NAR's chief economist: "The present level of home sales is relatively high in historic terms, and we can expect generally minor movements around this level. We don't expect to see any changes of note until early next year, when we're likely to see a modest lift." He maintains that "in the meantime, there's some build-up in demand that will move when consumers realize that conditions are optimal for them."
 

The real estate biz

ZILLOW IS FORMALLY ACCUSED OF INACCURACY: The Web site that provides free home valuations has been accused by a coalition of community activist groups of undervaluing the homes in black and Latino neighborhoods, reports the New York Times. In a letter sent by the National Community Reinvestment Coalition to the Federal Trade Commission, the group asserted that Zillow's Web site misrepresented home values and placed residents in low-income neighborhoods "more at risk for discriminatory and predatory lending practices." The organization also asserted, but would not provide substantiation for the accusation, that real estate and lending industry professionals use Zillow's information to "perpetrate fraud." An improper appraisal could force a homeowner to borrow more than the value of the home and put money invested in the home at risk, according to the group. It urged the F.T.C. to start an investigation and permanently restrain Zillow from providing home value estimates. Zillow said the charges were groundless. But the coalition said that its review of the site found that Zillow's estimates of home value were within 10 percent of appraised value less than a third of the time and that in low-income neighborhoods the inaccuracy was much more frequent. Declining to release those data, the group, cited a single review of 200 properties in six Washington State counties that, in the most extreme example, showed one property's estimate was off by 50 percent. Zillow said on its site that 62 percent of its estimates fell within 10 percent of the actual sale price of a home. But in some cities, where it is harder to obtain sales data, the accuracy is much lower. For instance, in the San Francisco area, 76 percent of estimates are within 10 percent of the selling price, but in the New York City area, accuracy falls to 52 percent.

PERHAPS IT'S TIME TO INVEST IN BUILDERS' STOCKS: If home builders' stocks haven't hit bottom, they're close, says James B Stewart, Smart Money magazine's investment guru, according to Realtor magazine. Pulte Homes (PHM) recently traded at $29, down from a 52-week high of $46, with a price/earnings ratio of 9. Toll Brothers (TOL) was at $26, half its yearly high of $49. Its P/E was under 9. Stewart points out that Pulte specializes in retirement communities, which positions it to benefit from the imminent retirement of baby boomers. Toll caters to the high-end market, which should be less affected by high gas prices and mortgage rates. Stewart sounds a warning about real estate investment trusts (REITs), which are trading at an all-time high, despite a declining real estate market. He also suggests that buyers of real property proceed cautiously because prices are still declining in many areas.
 

The law

THOSE PESKY CONTRACTORS: Legal contracts of any kind, including real estate, often include a force majeure clause, observes lawyer and columnist Benny Kass in the Washington Post. A sample would read like this: "Contractor's failure to perform any term or condition of this agreement as a result of force majeure conditions beyond its control such as, but not limited to, war, strikes, fires, flood, acts of God, governmental restrictions, power failures, or damage or destruction, shall not be deemed a breach of this agreement." Because the condominium market has slowed dramatically in many places, many developers are now unable (or unwilling) to meet the targeted settlement dates spelled out in their sales contracts and are invoking that clause to avoid refunding earnest money deposits to now-unhappy contract purchasers, Kass says. Under the law of contracts, a court will excuse a developer from performance only when there is an actual impossibility, and not merely an unexpected difficulty. Recently, the D.C. Court of Appeals addressed a case where one party to a contract attempted to void that document based on a force majeure-type clause. The clause allowed termination of the contract for "any other emergency beyond the parties' control, making it inadvisable, illegal or which materially affects a party's ability to perform its obligations under this Contract." According to the court, a developer cannot merely say, "I cannot deliver because of force majeure." That label is too general. The developer must justify his position, providing proof that something truly beyond his control caused the delay in completing your condominium.

YOU MAY WANT TO THINK HARD ABOUT TITLE INSURANCE: During the refinancing boom between 1999 and 2005, lenders and county recorders were unable to produce and record accurately all the documents necessary to ensure that every property title remained free and clear, says Realtor magazine. The American Land Title Association estimates that title problems were found in 36 percent of all residential real transaction in 2005, up from 25 percent in 2000. Sellers should bear in mind that title insurance policies typically cover the owner for defects that exist before the date they purchase the property – but not for defects that occur afterward. Although title defects often can be resolved, doing so can delay the sale or, worse, give a nervous buyer an excuse to back out of the sale.
 

The Big Apple

T­NEW HOME SEARCH SERVICE PLANNED FOR NEW YORK:  The Real Estate Board of New York (REBNY) will launch next year a new service that will provide the first comprehensive Web-based, user-friendly searchable database of residential properties in New York City.  The city's leading real estate trade association initiative will incorporate its members' listings and make the as yet unnamed service available to the general public free.  The organization has more than 300 member brokerages.  The site also will provide access to rental properties.  Currently, member brokers share their residential listings through the REBNY Listing Service (RLS).  Said REBNY President Steven Spinola, "Creating an easy-to-use interface for the typically more than 10,000 listings will put the comprehensive data at the public's fingertips."  REBNY expects to have the portal ready for release to the public by the early 2007 home buying season.

NO-FEE ADS IN NEW YORK OFTEN MISLEAD, SAYS REPORT: One in three New York City real estate agents who advertise "no fee" apartments at online sites actually charge a broker fee, a New York City Council investigation has found, according to Inman News. A 23-page report released by the New York City Council's Policy and Investigations Division details the September investigation of 223 real estate agents who posted ads on the craigslist.org and backpage.com Internet sites. Both sites accept online classified advertisements. Seventy agents told investigators that the apartment listings advertised as "no broker fee" did have a broker's fee, according to the report, which concludes that "a significant number" of no-broker-fee ads on the two Web sites are deceptive and recommends that the city's Department of Consumer Affairs undertake immediate action to monitor real estate agents' ads.

Out and About
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Dixie Chicks, take note

 

Third-quarter market update
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The year-over-year results for the third quarter indicate that the market in Manhattan is still growing at a healthy rate, according to the Miller Samuel appraisal firm. Overall prices slipped from second quarter but remain higher than price levels seen in the same period a year ago. Average price overall hit $1,288,748, median price was $845,147, and average price per square foot increased to $1,050 all over last year. They dropped 7 percent, 4 percent and 3 percent respectively from second quarter.

Inventory levels that had been growing in the past two quarters stabilized in the third quarter at 7,623 units, down 0.2 percent from second quarter but still up 32.3 percent from last year at this time. Selling time edged up slightly to 150 days from 144 last quarter, and it took 17 days longer to sell a property compared to last year.

Some notable results for the quarter include strong showings in the luxury and loft categories. The average price per square foot of a luxury unit, the top 10 percent of the market, at $1,721 was the second highest on record. The promise of significant bonuses to income in the financial sector for this year again is expected to contribute to a healthy market in luxury properties.

New development of condominium buildings continues to add to the inventory in that category, while co-operative listings are composed of nearly all resales as few buildings are constructed as co-ops today.

For the full Miller Samuel report, please go here: serviceyoucantrust.com/seller/3rdQtr2006Manhattan.pdf

New Listings
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Some of Manhattan’s Latest Listings

Below are just a few of the newest listings of condominiums and cooperatives put on the market by various brokers.

45 W 54th St - 9A, NEW YORK, NY, 10019
$649000
Bedroom(s): 1
Bath(s): 1
Square Feet: 900 SqMt
As only an agent would write: "A true work of Art....across the street from MOMA ! Graciously renovated, spacious one bedroom home, in a full service building with four abundant closets. Huge living room with beamed ceiling detail, hardwood floors throughout, and separate dining alcove, includes built in banquette with storage, solid wood table, perfect for the gourmet chefs cozy entertaining. The ultimate cooks functional kitchen, with cherry wood cabinets, and Verde granite counter tops, stainless steel appliances, including Bosche dishwasher, microwave, premium Franke sink faucet with hose, and separate filtered water system. True spa windowed bath with Kohler Tea for Two,? Jacuzzi (Electric upgrade). Pre-wired for speakers, throughout. A place, you can move right into, call it home and make your own. Local shopping at all the best on Fifth Avenue near top restaurants. Apartment Features: North exposure"
Listing #: 807493

155 W 71st St - 2J, NEW YORK, NY, 10023
$650000
Bedroom(s): 1
Bath(s): 1
Square Feet: 702 SqMt
As only an agent would write: "A great one bedroom condominium in an elevator building. This home features a sunken living room, separate dining area, windowed kitchen, and large bedroom. The kitchen has a dishwasher, microwave and pass through. Hardwood floors, prewar detail and great closets. This is the perfect home or investment! The building has a live-in super, roof top deck, laundry and bike storage."
Listing #: 807861

300 W 23rd St - 7G, NEW YORK, NY, 10011
$665000
Bedroom(s): 1
Bath(s): 1
Square Feet: 750 SqMt
As only an agent would write: "WHAT A LOCATION AND SO MUCH SPACE! Finally an apartment in prime Chelsea location with good light, space and all for a great price. This pre-war one bedroom features a great layout with grand size rooms. An entrance foyer that separates living room and bedroom for more privacy. To top things of you will find high ceilings and lots of closet space. The building designed by Architect Emory Roth has been restored to its best and is now one of the most sought after buildings in Chelsea. Full service 24hour doorman."
Listing #: 807830

200 E 89th St - 16C, NEW YORK, NY, 10128
$725000
Bedroom(s): 1
Bath(s): 1
Square Feet: 650 SqMt
As only an agent would write: "Beautiful corner apartment with dual exposures and wrap around balcony. Superb open city views. Windowed pass-through kitchen with new marble floors and updated appliances. Pleanty of closet space and marble bathroom. Located in premier full serivce UES condo with Pool, Jacuzzi, Health Club, Garage. Short walk to express subway station and Central Park."
Listing #: 806754

595 West End Ave - 12D, New York, NY, 10024
$790000
Bedroom(s): 1
Bath(s): 1
Square Feet: 702 SqMt
As only an agent would write: "595 West End Avenue at 89th Street snuggled peacefully next to Riverside Park- This pre-war gem offers world chic within the heart and soul of the upper West side. An address with style, a design with vision and a community with heart. Designed by acclaimed designer Sean Johnson, these residences are being reinterpreted to preserve its old world style and classic elegance. Apartments feature Dark Walnut Stained Oak Hard Wood Flooring. New fixtures throughout. Granite Kitchens come complete with Stainless GE Profile Appliances. New marble baths with Chrome fixtures, 12 x 12 Bianca Carrerra Floors, and mosaic tile back-splash, Zuma soaking tub. Washer/Dryer in every unit. There will be individual storage bins, bike racks and separate space for gym & playroom."
Listing #: 808285

1600 Broadway - 21F, NEW YORK, NY, 10019
$829000
Bedroom(s): 0
Bath(s): 1
Square Feet: 600 SqMt
As only an agent would write: "The Ultimate Urban Living! Rare and unique residential opportunity at the gateway to Times Square and Rockefeller Center, in the heart of New York City. Spectacular views and Sunflooded!!! Brand new, never lived in studio apartment on 21st Floor. Open, state of the art EIK with granite countertops, full-height glass backsplashes, Sub-Zero refrigerator, Bosch and Miele appliances. Generous size bathroom with tub for 2 and soothing colors limestone walls and floors result in a warm and inviting space where you will feel comfortable lingering and relaxing. Enjoy the many world-class amenities offered at Club On The Square, including an entertainment lounge with billiards, putting green, virtual golf, fitness center and full-equipped conference center. Watch the city move from lounge chairs on the lawn, stargaze, or sunbathe, and take an outdoor shower on the expansive rooftop observatory deck."
Listing #: 808229

57 E 75th St - 2F, NEW YORK, NY, 10021
$850000
Bedroom(s): 1
Bath(s): 1.5
Square Feet: 855 SqMt
As only an agent would write: "Unique sun filled multi-level Coop apartment located in the East 70s, steps from Central Park on one of the nicest blocks between Madison and Park Avenues. A private keyed elevator with a video TV security system leads you up to the entry level where there is a powder room and a new eat-in kitchen with a washer/dryer. Step up to the living room with a wood burning fireplace, four large windows with three exposures, plus a Juliet planting balcony. Step up again to a bedroom, dressing area and a full bath complete with Jacuzzi tub and bidet. This apartment has incredible closet and storage space and is in excellent move-in condition. Pied-a-Terre's allowed. No pets allowed."
Listing #: 807308

400 E 85th St - 20E, NEW YORK, NY, 10028
$875000
Bedroom(s): 2
Bath(s): 2
Square Feet: 1200 SqMt
As only an agent would write: "Dramatic open city & skyline views to the North & West from this family sized two bedroom two bath find. Beautifully renovated windowed kitchen with granite counters. Fantastic layout offers a grand living room with custom built-ins, crown moldings, a washer/dryer, and still plenty of room for a dining table. Great family neighborhood, convenient to transportation, shopping, restaurants and Carl Schurz park. Zoned for the award-winning P.S. 290 - Manhattan New School. Full service building with 24 hour doorman, new red brick facade, garage & bike storage. Pets are welcome."
Listing #: 806942

418 Central Park West - 64, NEW YORK, NY, 10025
$1100000
Bedroom(s): 3
Bath(s): 2
Square Feet: 0 SqMt
As only an agent would write: " Prewar 24 Hour Doorman Condo Building Located on Central Park West. Recently renovated, three bedroom two full bathrooms, large separate windowed kitchen with dishwasher and high ceilings. A washer & dryer are allowed, pets are allowed, live-in super, great for investment or family. Close to the subways (1 block away) and the cross-town bus on 96th street."
Listing #: 808410

224 W 18th St - GRDNB, NEW YORK, NY, 10011
$1195000
Bedroom(s): 1
Bath(s): 2
Square Feet: 1006 SqMt
As only an agent would write: "Rare opportunity to own a modern, over-sized one bedroom loft featuring a private 510 square foot backyard; perfect for entertaining or gardening! Centrally located in the heart of Chelsea in the Campiello Collection Condominium, this home is both quiet and serene. Luxurious features include: generous proportions, soaring ceilings, over-sized windows, south exposure, wide-plank maple floors, Poggenpohl kitchen and marble baths. Building features include: 24-hour doorman, fitness room, live-in superintendent and 421-a tax abatement. Apartment Features: South exposure, Garden, Light - excellent, Windows - oversized, Walk in closets, Washer/dryer Building Features: Courtyard, Garden, Roof deck"
Listing #: 808308

536 W 111th St - 67, NEW YORK, NY, 10025
$1200000
Bedroom(s): 3
Bath(s): 2
Square Feet: 1460 SqMt
As only an agent would write: "Spacious family home, a convertible 4BR/2Bths, in the Columbia University area, near buses & subway, shopping & restaurants. Bright, happy looking, with a gracious layout, it faces N & S, and has the view of the quiet street. Apt. is particularly attractive for those who are raising children, love to cook, work from home, play a piano and love space. There are presently 2 big BRs. 3rd BR is presently combined with LR, but may be easily separated. There is an FDR, convertible into the 4th BR, a windowed EIK & Maids room, either of which also may serve as the 4th BR or an office. The layout allowes a great variety of options, to accomodate all needs. It needs good work, but worth it Built in 1909, the building is both fire- and soundproof. Play your drums or piano! Pets OK. Resident super, elevator, kids play room, party room, storage, laundry, bike room, common garden."
Listing #: 808312

300 W 23rd St - 19E, NEW YORK, NY, 10011
$1200000
Bedroom(s): 1
Bath(s): 1
Square Feet: 1150 SqMt
As only an agent would write: "300 WEST 23RD STREET, APT #19E Enjoy Spendor in the Sky with this Meticulously Renovated 1-Bedroom Designer Apartment with a Dramatic Setback Terrace. This Gem is Located in Chelseas Most Luxurious 24-Hour Doorman Prewar Building, Designed By Noted Architect Emory Roth and Restored to Perfection. Its The Perfect Apartment in The Perfect Building. We Enter into a Grand Foyer with Runway Lighting, Ebonized Closets and Beamed Ceilings. This Opens into Over 900 sq. ft. of Beautifully Laid-out Interior Space Adorned with 12 Windows Looking Panoramically into the City. A Glass Door Opens onto a 200 sq. ft Beautifully Landscaped Setback Terrace with Even Deeper Views of the City. Back Inside There is an Open Eat-In Kitchen with White Marble Countertops, Sleek Cabinets, Slate Floors and Stainless Steel Appliances, Including a Gen-Air Range, Subzero Refrigerator, and Miele Dishwasher. There is a Spacious Living Room with Ebonized Pocket Doors and Dramatic Builts-In Thru-out, Leading into a Gracious Bedroom and Spectaclar Bath. The Bedroom Features a Plasma NEC TV, Built-In Infiniti Speakers and California Closets. The Bath is Done in Limestone Tiles and Venetian Plaster, with a Shaw Sink and a Windowed Glass-Walled Rain Shower Looking Downtown to Even More City Views. Theres More, But Youll Just Have to Come and Take A Look!"
Listing #: 806570

595 West End Ave - 15B, New York, NY, 10024
$1265000
Bedroom(s): 2
Bath(s): 1
Square Feet: 1005 SqMt
As only an agent would write: "595 West End Avenue at 89th Street snuggled peacefully next to Riverside Park- This pre-war gem offers world chic within the heart and soul of the upper West side. An address with style, a design with vision and a community with heart. Designed by acclaimed designer Sean Johnson, these residences are being reinterpreted to preserve its old world style and classic elegance. Apartments feature Dark Walnut Stained Oak Hard Wood Flooring. New fixtures throughout. Granite Kitchens come complete with Stainless GE Profile Appliances. New marble baths with Chrome fixtures, 12 x 12 Bianca Carrerra Floors, and mosaic tile back-splash, Zuma soaking tub. Washer/Dryer in every unit. 2bedroom/ 1.5bath model currnetly set up as 2 bedroom /1 bath & stack W/D located in half bath."
Listing #: 808287

1 River Terr - 5M, NEW YORK, NY, 10282
$1700000
Bedroom(s): 3
Bath(s): 3
Square Feet: 1439 SqMt
As only an agent would write: "Fabulous 3bdrm/3bth with open street views. Apartment Features: West exposure, Full garden view, Floors - hardwood, Light - excellent, Windows - oversized, Windows - new, Modern kitchen, Marble bath, Storage space, Walk in closets, Great closet space, Washer/dryer, Dishwasher"
Listing #: 807977

1 W 67th St - 712, NEW YORK, NY, 10023
$2199000
Bedroom(s): 2
Bath(s): 1
Square Feet: 0 SqMt
As only an agent would write: "This one-of-a-kind seductive parisian left- bank home at the Hotel des Artistes was published & featured on the front cover of INTERIOR DESIGN. This sunny south facing duplex features a double height 22' ceiling and 14' windows in the living room. Upstairs there are 2 intimate bedrooms, and a home office. The Hotel des Artistes is from a by-gone era...Past home to Rudolph Valentino, Norman Rockwell, Isadora Duncan, Jimmy Dorsey, & many, many more. Plus, still home to the world famous Cafe' des Artistes the gathering spot for artistes, musicians, writers, & theater people since its beginings in the early 1900's. This property is very rare, & truly a-one-of-a-kind..."
Listing #: 808057

136 E 64th St - 5E, NEW YORK, NY, 10021
$2295000
Bedroom(s): 3
Bath(s): 2
Square Feet: 2100 SqMt
As only an agent would write: "This large (2000+sqft) Classic 7 (3Beds/2Baths) is the perfect family home conveniently located in one of the best Upper East Side neighborhoods. Situated in a timeless 1928 pre-war building, the apartment is very quiet and has the feel of the original, but with every updated modern convenience. You enter through a semi-private elevator (shared with one other apt) into an impressive foyer/gallery. Off to one side is the soaring beamed livingroom (24x18) which is really a salon where you can entertain friends by the handsome wood- burning fireplace. Adjacent to the livingroom is a stately formal diningroom. The eat-in windowed kitchen is large, L-shaped with elegant new lime ash wood cabinets, loads of counterspace and high end appliances including a Miele washer/dryer. The three bedrooms are large with 2 closets each and there is an ensuite bathroom in the Master bedroom with rippletile and papered walls. The maids room has been converted into a comfortable den/library with beautiful built-in bookshelves and English papered walls. The apartment has magnificent parquet floors throughout and excellent east and south light and mostly city views. Storage space is available. "
Listing #: 806747

75 East End Ave - 2E, NEW YORK, NY, 10028
$2750000
Bedroom(s): 4
Bath(s): 4
Square Feet:
As only an agent would write: "Unique sprawling Family home in Full Service building on East End Ave. Ideal for a growing family. The apartment boasts 4 large bedrooms and 4 baths plus a double size family room--could be 5 or 6 bedrooms--tons of closets and storage,FDR, large windowed eat-in-kitchen, laundry, wash/dryer,south/east exposures. Truly extraordinary space in wonderful family building, with storage space, Garage and state of the art Gym. Steps from Carl Schurz park. PS158 school district and private schools. GREAT VALUE !!!"
Listing #: 807563

840 Park Ave - 8B, New York, NY, 10021
$4350000
Bedroom(s): 3
Bath(s): 2.5
Square Feet: 0 SqMt
As only an agent would write: "Spectacular renovation of this beautifully proportioned 3-bedroom apartment on high floor with architectural details. Special features include a grand entertaining space of living room, dining room, and library all facing Park Ave with 2 wood-burning fireplaces. Master suite includes a luxurious bath and dressing room, second bedroom and bath plus a powder room. State-of-the art eat-in kitchen and central air conditioning throughout complete this exceptional offering."
Listing #: 806980

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