Monday, September 3, 2007
"It may just turn out that co-op boards provided exactly the kind of greater oversight that was needed, and mitigated the risks better, than the gate keepers in the banking industry"
As the post Labor Day summer turns into Fall, will we see a fall in the NYC housing market too? I returned from vacation in mid-August to stories of impending doom in the housing market because of a spreading crisis in the sub-prime lending market. That very same week the New York Times ran The Manhattan Real Estate Slump That Wasn’t, which told a story I knew to be true. During the first half of the year, Manhattan was selling strongly. Any real effect of the credit crisis has been unobserved, it's all perception so far. Is the glass that seemed half full at the beginning of summer, suddenly looking half empty now? Can Manhattan continue to be insulated from the market forces affecting the nation?