The lower end of the Manhattan residential market is lagging behind the soaring luxury market, the New York Times reported.
“There is a greater disconnect between the very top of the market and everything else than I have ever seen in my 25 years in the business,” said Jonathan Miller, president of the appraisal firm Miller Samuel.
Buyers purchasing properties priced over $7 million have seen less impact from tight lending standards and cuts in Wall Street bonuses, the Times said, and with a lack of new construction, tight supply has propelled demand even further for luxury properties.
“Most people would say that the top end of the market is bulletproof,” said Pamela Liebman, the president of the Corcoran Group, “and that buyers at this end don’t have the same sensitivities as the rest of the market and their confidence does not wane. There is a reason that Hermès has a waiting list for belts and bags.” [NYT]