Whilst I was in New York and LA last year I took to looking at the price of real estate in the US. The US real estate market is fascinating for anyone who has an interest in the way price distributes itself in various sectors. Real estate in Manhattan is staggering expensive, yet you can get set on Roosevelt Island for about what you would pay here for inner city living. LA is the same some pockets are expensive but the majority of the city is cheaper than Melbourne or Sydney. However, I have never been a fan of LA but do like San Diego where the countryside is fabulous and you can be near the water if you wish – all for much less than you would pay for a home in Brighton or Potts Point.
As part of my investigation I discovered that land rats in the US were more professional and savvy than their local counterparts, whose main skill seems to be in trying to spell your name correctly and handing you a brochure. As a case in point the graphic below is from an agent in San Diego who emails her other clients on an almost daily basis with market updates. You can see from the graphic that this house has had a price reduction – you know exactly what the price was and exactly the price you will pay and the amount of the reduction.
I was going to finish by saying that there is a lesson in this for local land rats but that would be pointless. Why change when you have managed to do very well for years without actually doing much at all.