New York mansions for sale by the dozens…

I was up in Bedford, New York this weekend. Bedford is generally an enclave for the wealthy who like to keep a country estate not far from NYC. I happened past one (of many) real-estate offices and noticed a flyer for local listings…

Scan 4

Real estate listings from a local broker in Bedford N.Y.

As you can see there are a lot of very expensive properties being listed. This flyer was 22 pages long with listings on both sides of each page. I’d estimate at least a few million dollars of property taxes are tied to these houses.

In a similar vein I’ve been noticing that, on any given day in the New York Post, the first 10-15 pages contain multiple listings for ‘new’ beach mansions in the Hamptons. On one recent Tuesday I estimated over $60m worth of property was listed within 15 pages.

It has me thinking the following:

1) Do the wealthy know something is coming and are moving to exit real-estate ASAP ?

2) Who do they think will buy these houses at these prices ?

3) How many of these properties are carrying ARM mortgages like during the last crash ?

4) Was most of this property bid up by low interest rates and highly levered speculators ?

5) Can foreigners really be lining up like crazy to buy overvalued real-estate in rural parts of New York ?


Enquiring minds want to know…