Who is Brett Arends? (He’s a columnist for the Boston Herald.)
Arends’ latest column is about a condo for sale at 51 Commonwealth Avenue. It’s on the market for $13.995 million.
Arends says that the fact that this condo hasn’t sold for two years (actually, 609 days) is indicative of the slow real estate market.
Regardless of the state of the market, is it realistic to use this property as an example, even a “singular” example, as he calls it?
A couple of clarifications about the property. It’s in a class of its own. The next highest priced condo in the entire city is four million dollars cheaper, at $9,250,000 (for 4,500 square feet), and the next one below that is only $7,900,000 (for 6,400 square feet).
Also, it’s a condo, not a single-family home. Someone looking for that much space may not want to have any neighbors in their building. That might be why it hasn’t sold right away.
Another thing. Arends says that the sellers have taken a “silent” half-million dollar cut on their profit. Well, sort of. You can spin it that way. However, it’s ridiculous to say that you “lost” money on the deal. It simply means the property was priced too high for the market.
And, really, the sellers haven’t “lost” a dime. Look at the public record. They bought it for somewhere in the neighborhood of $2.5 million, in April, 2005.
Source (don’t bother): Unsold Hub condo badge of bubble – By Brett Arends, The Boston Herald