“Higher-priced properties are coming on the market and staying on longer, so the stuff that is moving is lower-priced,” says Michael Simonsen,CEO of Altos Research, a Mountain View, Calif.-based real estate data firm…Expect further declines before luxury home prices hit bottom. Buyers, spooked by the economy, are waiting for prices to fall even further. The problem is compounded by a lack of credit at the top end of the market.Potential buyers increasingly fall into one of two categories: Those who have seen their net worths damaged by the financial crisis and those who realize they could probably get a better deal in a year’s time.
By Francesca Levy, August 27, 2009, Forbes Magazine
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