Price Reduced! 11/29-12/5

It’s time for another episode of Price Reduced!

For all the newcomers to this blog, Price Reduced! takes a look at a handful of significant price reductions across Northern NJ. The purpose of this exercise is to serve as proof that the Northern New Jersey real estate market has long since been overvalued and has started the long hard decline back to the mean. These listings are in no way an endorsement by myself, nor do I believe they are a bargain or a value. Even reduced, I still believe these homes are still grossly overpriced. With that, the listings please!

MLS# 2212277 – South Orange, NJ
Original Price $489900
Reduced Price $389900 (20.4% Reduction)

MLS# 2203905 – Sparta, NJ
Original Price $969900
Reduced Price $799000 (17.6% Reduction)

MLS# 2108329 – Washington Boro, NJ
Original Price $279900
Reduced Price $249,900 (14.3% Reduction)

MLS# 2080776 – Livingston, NJ
Original Price $879000
Reduced Price $755000 (14.1% Reduction)

MLS# 2101786 – Franklin, NJ
Original Price $675000
Reduced Price $580000 (14.1% Reduction)

MLS# 2064423 – Bloomfield, NJ
Original Price $599900
Reduced Price $525000 (12.5% Reduction)

MLS# 2110446 – Denville, NJ
Original Price $499900 (Reduced from $519,900)
Reduced Price $439900 (12% Reduction)

MLS# 2208171 – Franklin Lakes, NJ
Original Price $9995000
Reduced Price $8950000 (10.5% Reduction)

MLS# 2094152 – Rockaway, NJ
Original Price $584900 (Reduced from $599,900)
Reduced Price $526900 (10% Reduction)

MLS# 2101054 – Washington Twp, NJ
Original Price $1150000 (Reduced from $1300000)
Reduced Price $1050000 (8.7% Reduction)

Weekly Statistics (GSMLS Only):

Reduced Listings This Week: 636
Average Price Reduction: 4.00%
Total Dollar Reduction: $13,389,221

Now, to all the buyers and readers of this blog, I am not posting this information for you to drool over thinking these are great deals. These are not great deals. These are the first price reductions along a very long road downward. If I threw a knife up into the air, would you try to catch it on the way down? No, you’d wait until it hit the ground and then pick it up. The same rule applies here. Alot of people lost alot of money buying on the downside of the stock market after the Nasdaq crash in hopes of a fast recovery. There will be no fast recovery here. Sit tight, grab some popcorn and enjoy the ride.

Caveat Emptor!
Grim