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Condo Glut Floods Cities

Bargains abound as boom-time projects completed

By Rob Quinn, Newser Staff

Posted Mar 22, 2008 8:17 AM CDT

(Newser) – A deluge of new condos is about to hit many American cities already flooded with an unprecedented number of unsold units, the Wall Street Journal reports. This year, thousands of projects started at the height of the housing boom will be completed; oversupply and economic slowdown are likely to cause prices to plummet in condo-heavy cities like Miami, Atlanta, and Dallas.

Miami and Fort Lauderdale, Fla., will see nearly 10,000 total new units added to a market already saturated with what the Journal calls "canyons of unsold condos." Developers worry that people who paid deposits of just 3% won't show up to close the sale. Turning the properties into rental apartments isn't an option for many builders who need money fast to pay back loans. "Vulture buyers" are circling, waiting for prices to bottom out.

A construction worker helps builds a condominium project in Mountain View, Calif., Friday, Nov. 30, 2007. (AP Photo/Paul Sakuma)

A construction worker works on a building that will be a condominium, Wednesday, Jan. 30, 2008, in downtown Cleveland. (AP Photo/Tony Dejak)

Workers toil on a condominium complex going up in the west Denver suburb of Lakewood, Colo., Monday, Sept. 10, 2007. (AP Photo/David Zalubowski)

Developer Jason Voyles plans to build a condo high rise that would have a view like this seen in a sales office in New Orleans, Friday, May 11, 2007. (AP Photo/Alex Brandon)

A construction worker helps builds a condominium project in Mountain View, Calif., Friday, Nov. 30, 2007. (AP Photo/Paul Sakuma)

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Bargains abound as boom-time projects completed

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$26B Mortgage Settlement a 'Modest' Help: Experts

Many struggling homeowners not covered in deal

11.1M Households Underwater

Number jumps to 23.1% at end of 2010, more likely on way

Millions Considering Walking Away From Mortgages

10% of mortgages expected to be underwater by June

1 in 5 Homeowners Underwater

Negative equity spikes to 21.9% as prices keep dropping

Gap Narrows Between Mortgage Payments, Rents

Housing slump prompts shift

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Bargains abound as boom-time projects completed

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OTHER STORIES ON OUR RADAR

housing market • construction • mortgage • property • housing • condominium • housing crisis • building

MOST POPULAR STORIES

[ By Views ]

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More Newser Stories

$26B Mortgage Settlement a 'Modest' Help: Experts

Many struggling homeowners not covered in deal

11.1M Households Underwater

Number jumps to 23.1% at end of 2010, more likely on way

Millions Considering Walking Away From Mortgages

10% of mortgages expected to be underwater by June

1 in 5 Homeowners Underwater

Negative equity spikes to 21.9% as prices keep dropping

Gap Narrows Between Mortgage Payments, Rents

Housing slump prompts shift

About Us

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Newser By Users

Community

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What is Newser?