Price Are Sliding in Hot Markets
The median price was just $2,000 higher than it had been a year earlier and was down 5 percent from the record level of $518,000 it reached in November, according to DataQuick Information Systems."
posted by Little_Silvered at 6:16 AM
8 Comments:
Can you call this a "Fire Sale" in Ocean and Monmouth Counties- New Jersey Real Estate scandal ?!!!!!
Offers to purchase properties owned by beleaguered real estate mogul Solomon Dwek have so far reached $109.1 million- amount comes to about one-third of the $321 million in claims lodged against Dwek's 350-parcel empire
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Offers on Dwek property top $109M
Amount is a third of claims against empire
Posted by the Asbury Park Press on 06/15/06
BY JASON METHOD
STAFF WRITER
FREEHOLD — Offers to purchase properties owned by beleaguered real estate mogul Solomon Dwek have so far reached $109.1 million, the Superior Court's fiscal agent said Wednesday.
The amount comes to about one-third of the $321 million in claims lodged against Dwek's 350-parcel empire. The claims came in a legal and financial scramble after Dwek, 33, of Ocean Township was accused by PNC Bank of bouncing a $25 million check in April.
The highest price offered so far is $6.5 million for a commercial property off Monmouth Road, West Long Branch. That property is owned by Dwek's company, WLB Center LLC, which paid $5.25 million for the 13.7-acre tract in May 2005.
Donald M. Lomurro, the court-appointed fiscal agent reviewing Dwek's assets, predicted that bids on the properties will lead to "bigger and better numbers." He said the offers so far are considered valid because they equal or exceed the amount Dwek paid for the properties.
Beyond the lawsuit, Dwek has been charged by the FBI with criminal bank fraud. He is free on $10 million bond.
Superior Court Judge Alexander D. Lehrer froze Dwek's assets last month and has said he intends to see if selling many of the properties can satisfy all of the claims.
Lomurro said investors in Pennsylvania, Ohio, Connecticut and elsewhere continue to inquire about the properties. Many of Dwek's properties are held by limited liability companies that have other owners, who can buy out Dwek's interest in the firms.
Nearly half of the money is offered by Deal Property Acquisitions LLC, which proposed spending $45.6 million dollars to buy just 13 of the properties. Those properties include commercial properties in Dover Township, Red Bank, Ocean Township, North Carolina and Pennsylvania.
Nothing could be learned about the identity of that company Wednesday.
Today in Letters to Editor section of The Coast Star there is a letter complaining about the vile conditions in Manasquan. The resident thinks those conditions have lead to the decreasing property values in that town...
It doesn't help the property values, but certainly don't think it is the cause for the house values falling.
From 'The Greens' RE site (linked from last poster): "Surprisingly, most real estate agents do not understand marketing in the age of cyberspace. We do."
Wow, I could not find one listing from the site. If you click "list" they ask you to phone in or email and expect a 24 hour response. The #1 important thing about cyberspace is 24/7 immediate access to information (and instant gratification).
Interesting article in today's Wall Street Journal: The McMansion Glut. The article says that McMansions drove much of the housing boom, but now with rising energy and mortgage costs, plus boomers starting to downsize because of looming retirement or becoming empty nesters, there is a growing glut of these monstrosities.
Aging gay population fuels new housing market..............................http://www.msnbc.msn.com/id/13227636.....think they will suck up any of the McMansion glut ?
Based upon my own theory concerning "baby boomers' and retirement, last year I sold the Hunterdon County, NJ house that contained equity I worked my entire life to grow. I sold it thinking I could save as much of the "high market" equity as possible as I approach retirement and relocation.
As I still have several factors that make renting very difficult, I didn't cash out completely and purchased a lower cost house. The thinking being I'd be hurt less in it then the much higher priced one.
Now I am wondering if and when I can possibly hope to break even on last year’s purchase. I was hoping this decline would pan out like the late 80’s early 90’s and settle into a market that may rebound enough in 3 or 4 years to break even. Do you think there’s still a shot for this? I’m hoping so, or at least some rebounding to minimize the loss.
Thanks for this blog.
It has reinforced my thinking over the last several years and provides some valuable information of the current conditions.
Thanks again.
"Price Are Sliding in Hot Markets"
Conclusion: "Goodbye Home Equity Cash... as home prices sliding now "
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