From the Boston Herald:
Boston’s Teflon luxury condo market is showing signs of wear.
While sales of condominiums priced $600,000 or more in the downtown increased by 3.4 percent last year – fueled by a sellout of the Mandarin Oriental in the Back Bay – January sales plummeted by nearly 60 percent.
“The world’s in a different place,” said John Ford, owner of Ford Realty Inc. on Beacon Hill. “Jumbo loans are tougher to get. People are worried about keeping their jobs, and some potential buyers are waiting to see how the stimulus package plays out.”
The number of luxury condominiums sold in Boston last month dropped to 22, down from 54 in January 2008, a whopping 59 percent decline, according to the Warren Group, the Boston-based real estate tracker.
The article goes on to say:
Sales may have fallen last month, but the median price of a luxury condo increased by 5.7 percent to $925,000, up from $875,000 in January 2008.