While most developments in San Francisco started lowering prices in October and November of last year, the team at Millennium Tower has decided to join the party. They announced last week that prices were being cut by 15% across the board and took an unprecedented and most gracious step by extending the discount to their buyers already in contract. While this move undoubtedly promotes good will between those buyers and the developer, it is also a strategic maneuver that will enable appraisals to “pencil out” for the bank underwriting departments. It also encourages buyers who went into contract before the banking system collapse to close escrow instead of walking away from their deposits. But if you can afford $1,000+ a month in homeowner dues, you probably are not worried about coming up with enough dough to close escrow. The Millennium Team is counting on it.
In other news, the San Francisco Association of Realtors held its annual gala at The Intercontinental Hotel this past Thursday evening. I was proud that my company had two tables of our agents and brokers at the event. The highlight of the evening was the keynote speaker Barbara Corcoran, founder of the Corcoran Group (one of the most successful and prestigious real estate brokerages in New York City). Ms. Corcoran founded the company in the early 70's and successfully grew her organization during some of the worst economic crises of the past 40 years. One example: New York City nearly declared bankruptcy in 1975 and real estate values plunged 50% that year.
Corcoran's advice for getting through tough times and even thriving? In a nutshell: Ignore the media, take a well-deserved vacation, and then work on your business while everyone sits back and waits it out. Finally, have faith in America's power to innovate because you never know what’s coming around the corner.
Today's inauguration could not come soon enough.
Subscribe to:
Posts (Atom)
Posts
