2008 Dec 1st

Hoboken Condo Sales – The November Numbers Are In And They Are Surprising!

By Lori Turoff  – [email protected]

Hoboken Condo Sales Are Up – Transactions Are Down

Lehman went under, B of A bought Merrill and AIG collapsed mid-September.  Since then, things have continued to deteriorate.  Here we are, about 2 months later, with some still predicting the demise of the Hoboken real estate market. Yet that’s not what the numbers show – at least so far.  The most apparent change was that Hoboken condo sales practically came to a stand-still in November.  There were only 36 condo sale closings for the month compared to the average of over 70 a month for the rest of this year.  About half the usual deals simply did not take place.  Yet the average sales price of a Hoboken condo increased to over $532,000 in November.  That’s more than the average for the year of $530,000; more than last November’s $479K and more than November of ’06’s $493K.  Here are the numbers (note – I flipped the months to make the chart easier to read):

Not only are sales prices up, days on market are down, price per square foot is up from last month although not as high as it was in September, and average list price is up from last month.

Did Hoboken Condo Sellers Have to Slash Prices to Get Buyers to Act?

There have been predictions that the price of Hoboken condos will plummet up to 30%. It’s interesting to see if sellers are getting their asking prices.  The discount off the asking price shows up as almost 4% for November.  I went back and looked at the original list price of each property rather than the most recent price (upon which the above chart is based).  The result is indeed a bit different.  Using the original asking price to calculate the discount off list causes it to rise to about 8%.  So yes, some price reductions were required to get buyers to bite. Tomorrow I’ll post this months stats vs. prior years, so come back again for another look.

  1. DmitriDmitri

    Thanks again for a great post. IMHO, looking at cost per square foot there is no price decrease at all. Just some cost per sq. foot variation, but no true trend down or up. I think 2009 will be very talling in terms of where Hoboken and NYC markets are heading.

  2. stan

    higher priced/waterfront properties can skew the #’s upwards, ie maxwell.

    If more high end properties sell, obviously average price increases, we could be bucking the trend, or just hiding the fact that much fewer properties are moving.

  3. Lori Turoff

    That could be except in this case, among the 34 units that sold in November, only 1 unit was at Maxwell Place and 1 at Hudson Tea. The rest were just normal units. Take a look at my most recent post and you can see exactly what sold by looking at the links. Most Maxwell Place units are sold through the Toll Bros. sales office and never make it to the MLS.

  4. neil schulman

    We recently closed on unit 534 at 1125 Maxwell place.We paid 579000 with the only upgrade hardware floors in BR.I asked the project manager how many units have been sold and he said 95 percent.Do you think this is a accurate number or a made up number.My email is [email protected]

  5. neil schulman

    We recently closed on unit 534 at 1125 maxwellplace.
    We paid 579000 with the only upgrade hardwood floors in the BR.The project manager when i asked how many units are now sold at 1125 maxwellplace he said 95 percent.Do you feel this is the truth or just a number to make things look good

  6. Loan Mods

    Finally someone who can write a good blog ! I loved your post and will be telling others about it. Subscribing to your RSS feed now. Thanks

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