Some of the nation’s wealthiest home sellers refuse to lower their asking prices. ‘I feel the property is worth every penny.’…With housing prices off about 28% from their peak in 2006 according to Standard & Poor’s Case-Shiller Index, some real estate agents say waiting is a risky strategy. "Everyone, from bottom to top, got hurt in the financial panic, and it’s reflected in the high-end of the housing market being frozen," says Mark Zandi, chief economist of Moody’s Analytics.
More than four years after the housing market peaked, many of the nation’s wealthiest homeowners are slashing prices in earnest. The asking price on the late Brooke Astor’s Park Avenue duplex has plummeted to $24.9 million from $46 million. Thursday Peter Sperling, son of the University of Phoenix founder John Sperling, dropped the price on his San Francisco limestone mansion to $47 million; he had been asking $65 million since 2006.Then there are the ultimate holdouts: a rarefied slice of extremely wealthy sellers who are holding the line on today’s deal-making, price-slashing mentality. Even as their properties have lingered on the market, these sellers haven’t budged on initial asking prices, some of which were set in the waning days of the housing bubble.
By Juliet Chung, Oct. 1, 2010 WSJ