Two high-end realtors in New York's tony Hamptons community are tackling the moribund market head-on by putting 16 of their most extravagant properties up for auction online at a fraction of their original list prices.
"The deals we have right now are better than anything else on the market," said Enzo Morabito, a 28-year industry veteran who is a broker at Prudential Douglas Elliman Real Estate in Southampton.
Morabito and his business partner, fellow Elliman broker Vincent Horcasitas, said they developed the HamptonsAuctions.com Web site to garner attention for owners who they say are looking to cash out during the tough economic times, but have so far been unsuccessful.
"This has nothing to do with foreclosures," said Morabito.
"The sellers have equity in these properties so they're trying to make money off of them," he said. "None of the homes are distressed or foreclosed, it's just that everyone's portfolio is decimated and so people are thinking, 'What do I own that could make me money?'"
This Southampton, N.Y., home that is up for grabs was originally listed at $2.45 million. The minimum bid is now $1 million -- a 59 percent decrease. Morabito said that many of the homes on the auction block had simply fallen victim to the "overpriced" Hampton's market.
"Everyone got caught up in these extraordinary prices and we finally said to the sellers that they have to reduce their prices or they will just sit on the market," said Morabito.
A home in ritzy Bridgehampton, N.Y., that was originally listed for $3.895 million will begin bidding at $1.7 million – a 56 percent decrease.
Do you have more information about this topic? If so, please click here to contact the editors of ABC News.
Quotes delayed 15 minutes for NASDAQ. 20 minutes for NYSE and AMEX. Market Data provided by Interactive Data. Terms & Conditions.
Powered and implemented by Interactive Data Managed Solutions
