Market Remains A Buyer's One

By Lona Rubenstein | 5 Comments

Southampton - What sounds like good news from Realty Trac is that in Suffolk County foreclosures are down 22 percent in May 2009 as compared to April 2009. In Suffolk those percentages translate to 621 properties in trouble in May compared to 802 in April. Still ranking Suffolk an abysmal fifth place nationally if I read the spread sheet properly. (Less than an even money bet).

A home with a waterview for less than $1 million. Photo courtesy of Prudential Douglas Elliman

However, for all of Suffolk compared to May of 2008, the numbers are up from a total of 454 in May of 2008 to 621 this year. Clearly graphs are not our forte, but the bottom line is distressed houses are still out there on the market so that the market remains a buyer's one, unless buyers are distressed as well.

Prudential Douglas Elliman's Laura L. Scott agrees, "now is the time to buy" citing that mortgage rates are starting to climb and that buyers need to take advantage not only of the great offerings out there but also for the low cost of money that may not be around for long. (Oy!)

Once again broker Jude Lyons of Westhampton Beach and other areas west of the Shinnecock brings up the suggestion of a column featuring "waterfront properties" under a million. Nice idea. Do you ladies and gentlemen in the industry have some? If so, ship it (ouch is that a pun?) it in.

Let's talk about waterfront in general, how it's moving, if it's moving? We're talking prime East End here. Should tell us more about rest of the market.

In East Hampton, according to the last meeting of their Budget Advisory Committee, with their new Town Comptroller present, it was reported that mortgage tax revenues were up last month. Is that a signal as well? An incident or a trend?

Many contemporaries are being offered on the East End. Photo courtesy of The Corcoran Group.

As to the return of contemporary designs to the East End, we recently spoke to Melanie Ross, former CEO of Cook Pony Farm Real Estate, (that became the Corcoran Group, much credit to Ross for that) who writes as to our column: "There are some magnificent contemporaries being offered now. Corcoran is featuring open houses - six or seven or them coordinated by Diane Saatchi. I agree with you about Bud's houses - [Realty Takes singled out the designs of Bud Shulman] - I always felt his plans were outstanding. Of course Meier, Gwathemy, and Jaffe - [also mentioned in our column] - were great, but very expensive."

Former managing director for Coldwell Banker Presitgious Properties broker Bob Tomich has joined Town & Country Real Estate in their Southampton office. Eager to be joining other "top tier East End brokers" coming to the firm, says Chief Executive Officer of the firm, broker Judi Desiderio. We do get a lot of these announcements as to new brokers joining Town & Country.

Real estate was always the hot summer cocktail party topic on the East End. This year, again sadly, it is about budget deficits and who may be arrested next? Both South Fork towns have revealed budget deficits, East Hampton in particularly a stunning one to taxpayers.

Mortgage tax revenues from real estate transfers - properties sold are not what they used to be. I mean really not what they used to be, so that revenue streams counted on in some budgets from the real estate industry are just not happening.

That means to me, that anyone buying now, taking advantage of the good values and deals, is doing all taxpayers a favor besides themselves in purchasing a property on Long Island's still beautiful, still unique, still celebrated East End.
With everything so volatile and unpredictable right now on the town levels, maybe East End real estate is not such a strange business after all.

• Lona Rubenstein is an accomplished author residing in East Hampton. Her new book, "Getting Back in the Game: Finding the Fountain of Youth in Cyberspace" can be found at local booksellers and online at www.gettingbackinthegame.com. For more real estate news and views contact Lona at lonafirst@aol.com.

Comments

sells dirt from East Hampton says:
Time to get some real information and present it clearly- does this writer know what she is talking about- that's what I am saying- know what I'm talking about- the market has been sliding since the summer of 2005- sit in a real estate office, Lona, just pick one- and stay there for a few hours- Reality check for realty writer- DO IT NOW- on put away your pen.

seriously? from BH says:
I have to agree with the above comments. Simply soliciting quotes from brokers is always going draw the same responses. How about a real report on whats going on?

kpc from east quogue says:
Be straight with your audience. If you are a first time buyer looking for your full time residence it is a good time to buy deending on the deal. If you are looking for a summer/investment home, forget about it. The cost to own a house will more than outpace any apreciation over the next five years. Lenders are not likely to get stupid about easy mortgage money any time soon.

Tom D from Westhampton Beach says:
Not an industry insider but one does not have to be to see little or nothing is happening. Take a look at Street Easy. Yes,it is now available for the Hamptons albeit not quite as good yet as it is for Manhattan. You'll see days on market of 300, 500 days and more. And you also see no price reductions during that time. Or maybe some meaningless 50K reduction on a listing well over 1 million. You may also want to take a look at lis pendens. More and more higher end homes showing up, not just the low end. Sooner or later, many of those in lis pendens will go to auction. The banks will still think they can get a high price and so they won't sell. And eventually they will reduce their REO price and your comps will look a lot different than they do today. Only then will the market start to pick back up. And then only if the Wall Street crowd starts rolling in the money again. It's gonna be a long bumpy ride!

industry insider from sag harbor says:
Not so, not so- the market is virtually at a standstill, time to tell the truth.

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