Tuesday, August 05, 2008

Homes selling below construction cost?

This is a pretty good map showing the regions of the country where construction costs exceed sales prices. It's pretty clear that the Midwest continues to be hard hit by the loss of manufacturing jobs and Detroit's slowdown.

What is particularly interesting for readers in Upstate NY is that both Rochester and Buffalo are on this list. I'd argue that Jefferson/Lewis/St. Lawrence counties are more like Rochester/Buffalo than any East Coast region that has been insulated from the sharp housing declines.

There may come a time in the very near future when sellers in upstate NY are in the same boat as their Western NY friends.

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Separately, is there any piece of Arsenal St. commercial property that is not for sale? The old Salvation Army Building, the Long John Silver Store, the car wash by the mall, Hannaford's lot, the old Rex Store, plus all the empty spaces in the Old Navy building, the Gamestop building, the new building in front of Sam's, etc, etc. I think the owners of commercial real estate in Watertown see the writing on the wall and they are all trying to get out while the getting is good.

I'll try to put together a map of for sale properties on Arsenal St. later in the week.

1 comment:

Outdoor Fireplace said...

The cost should be affordable for homes selling for construction.