Sky-high real estate statistics usually don’t faze us. A $10 million price tag on a SoHo loft doesn’t even raise eyebrows. A dilapidated brownstone in Harlem fetching millions doesn’t make us flinch.
But even normally unflappable New Yorkers may be shocked at the latest sky-high real estate number: $130 billion.
Homeowners in the NY metro area lost $130,291,409,688 in home value in 2008, according to Zilliow.com. In the U.S. as a whole, home values dropped about $2 trillion, the study found.
More than half of this $130-billion loss – about $75 billion – came in the fourth quarter, as the Wall Street crisis and other economic woes hit the real estate market – hard, the study found.
“Over the last couple of years while much of the country had a debilitating downturn, New York was relatively immune,” said Spencer Rascoff, COO of Zillow.com. “But the party’s over for New York.”
Goldman Sachs recently issued a report predicting that New York City’s real estate prices may fall by as much as 44%, according to CNN. The Case-Shiller Home Price Index report predicted that prices would fall more than 20% in the next four years.