Despite slow sales for the most expensive homes in the area, a developer is building a $16.5 million mansion in Montclair, NJ on speculation…even though in Essex, Montclair’s county, the most expensive houses have continued to take the longest to sell. There is currently a seven-month sales inventory, according to the Otteau Valuation Group, and for houses starting at $2.5 million, the figure is 20 months.

The high-end market in Montclair has been showing some new life lately, with the return of multiple bidding. But agents noted that this occurred almost exclusively in the case of completely renovated, distinctive or historic houses offered for $1.2 million and under. It is not the trend for the top end hereabouts, or anywhere else in New Jersey, according to market watchers. “The opposite,” said Ms. Baldwin, a broker with Keller Williams Towne Square. “At the upper end of the market, there are definitely more people wanting to get out than are trying to get in. “Even on the showpiece streets here — Upper Mountain, South Mountain, Prospect, Highland etc. — some very impressive houses are just sitting on the market.”
By Antoinette Martin, May 30, 2010 NYT

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