From the Daily Record:
Home prices in Morris rise 11.6%
BY WARREN BOROSON
John and Tonae Veltri of Montville put their Longview Estates townhouse on the market July 25 for $750,000 — what homes in their upscale development had been selling for the year before.
They lowered the price to $699,000. Then to $629,000. Then to $625,000.
“We didn’t want to believe that prices had dropped so much,” Tonae Veltri explained.
Finally, after firing their agent, who never seemed to be available, they have cut their asking price to $599,000 –$151,000 below their original asking price.
“We’re finally getting good traffic,” Tonae Veltri said. “It’s now the cheapest home in the development.”
While home prices in Morris County still showed an overall increase for the past year, lately there seems to be an epidemic of “price reduced” signs throughout North Jersey.
Low-ball offers — insultingly below the asking prices — have replaced multiple offers. There’s a glut of unsold houses.
“Four years ago, there were 20 buyers for one house, and now there are 20 houses for one or two buyers,” said George Szatkowski, of Properties Unlimited in Rockaway.
Gary Large, manager of the Denville office of Prudential New Jersey Properties, said, “We’re in the middle of a correction.”
He said he doesn’t want to blame the media, but added, “There’s been so much talk about a bubble bursting that it became a self-fulfilling prophecy.” Buyers became timid about buying.
His advice for sellers: If you have no good reason to sell now, hold off. If you must sell, make the price competitive.
In any case, the decline in house prices that he’s seen “is a healthy thing,” he said.
What advice would Tonae Veltri give to other sellers?
“Get your ducks in a row,” she said. “Set a realistic price on your home. We didn’t want to believe that prices had dropped so much.”