November 30, 2008
Premium Homes fall in value
Story link: Premium Homes fall in value
As I mentioned before, the real losers in the current economy are high end, premium sellers. This is anything from designer clothing, prestige cars, and of course the luxury home.
The supply and demand factor has a much bigger effect on a property of £1,000,000, than it does on a property that is just £200,000.
Luxury-home values in central London, the world’s most expensive location for prime real estate after Monaco, fell for an eighth month in November as fewer sellers held out over prices.
The estimated average value of a house or apartment in the city’s nine most expensive neighborhoods fell 3.6 percent from October, according to an index compiled by Knight Frank LLP. It was the second-largest drop since the index started in 1976. Property values declined 14 percent from a year earlier, the broker said today. The index covers homes mostly valued at more than 1 million pounds ($1.54 million).