The following is from Banker & Tradesman:

October is shaping up to be the month for luxury condo auctions.

First up, are 42 condos at the Natick Collection or the Nouvelle at Natick, which will be auctioned Sunday. The starting auction prices are being advertised as low as $160,000.

Two weeks later, ten upscale units at The Bryant Back Bay are up for grabs. Starting prices are listed at just over $1 million.

The same auctioneer is handling the two auctions, and he ‘s been touting them as an effective way for owners to dispose of unsold units and a great way for buyers to snag luxury residences at a steep discount.

But what the auctioneers and marketing professionals usually don’t reveal is how difficult it can be for a non-investor average Joe to get financing to purchase a condo in one of these projects.

Many lenders are balking at providing loans if a certain percentage of units aren’t sold or pre-sold in a development. In the case of the Nouvelle, only 18 out of the 215 units have been sold – even though it’s been open since last year.

The Nouvelle has also been at the center of some legal disputes. The Herald reported back in May that a lien was placed on the property by the construction company that built the condos. The company claimed that they were owed over $12 million.

The marketers also don’t readily publicize the high condo fees that are attached to these brand new properties. In the case of the Nouvelle, the smallest unit would have a monthly condo fee of almost $500. The largest units’ fees may run as high as $1,280.

Who knows if these auctions will be successful, but other developers with unsold units will surely be watching them closely.

Author Profile

John Ford
John Ford
EXPERIENCE

Over the course of 20 years in the Boston downtown real estate market, John represented and sold numerous, condominiums, investment and development properties in Greater Boston and in the surrounding suburbs



In addition to representing Boston condo buyers and sellers, John is currently one of the most recognized Boston condo blog writers regarding Boston condominiums and residential real estate markets. John's insights and observations about the Boston condo market have been seen in a wide variety of the most established local & national media outlets including; Banker and Tradesman, Boston Magazine The Boston Globe, The Boston Herald and NewsWeek and Fortune magazine, among others.



HISTORY

For over 24 years, John Ford, of Ford Realty Inc., has been actively involved in the real estate industry. He started his career in commercial real estate with a national firm Spaulding & Slye and quickly realized that he had a passion for residential properties. In 1999, John entered the residential real estate market, and in 2000 John Started his own firm Ford Realty Inc. As a broker, his clients have come to love his fun, vivacious, and friendly attitude. He prides himself on bringing honesty and integrity to the entire home buying and selling process. In addition to helping buyers and sellers, he also works with rental clients. Whether you’re looking to purchase a new Boston condo or rent an apartment, you’ll quickly learn why John has a 97% closing rate.

AREAS COVERED

Back Bay

Beacon Hill

Charles River Park

Downtown/Midtown

North End

South End

Seaport District

South Boston

Waterfront

Brookline

Surrounding Communities of Boston
Contact
John Ford and his staff can be reached at 617-595-3712 or 617-720-5454. Please feel free to stop by John's Boston Beacon Hill office located at 137 Charles Street.




John Ford
Ford Realty Inc
137 Charles Street
Boston, Ma 02114

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