Real Estate In Hamptons Show Recovery
By Naiwrita Sinha, Gaea News NetworkSaturday, September 18, 2010
HAMPTONS, NEW YORK(Gaea Times.com)- The recession which has almost lasted two years now had devastated real estate markets in USA. The downtrend in the economy had led to a downfall in the real estate prices and many people and banks lost money. Though as the US economy is picking up slowly the real estate market seems to be getting in order as is evident from the recent sales made in New York Hamptons where some elite New Yorkers have conducted some deals at prices which have not been seen since the start of the recession.
The reasons being attributed to the increase is that the prices have risen and is now steady leading to more transactions and investments by the New Yorker’s elite class. The Hamptons is supposed will see an increase in deals next year as the conditions this year are showing improvements and appear favorable. The collapse of the Lehman brothers was followed by a fall of 20 percent in price of the real estate market in Hamptons severely affecting the sellers.
The real estate had greatly suffered in the recession as the banks had lent money to the people who had invested it in housing and when people could not pay the interest even the banks could not sell the houses as the rates had gravely fallen. The Lehman brothers went bankrupt and the turmoil in the real estate began. The US economy started showing signs of recovery from the mid 2009 and if the economy were to get stronger next year, real estate in the US could be seen kicking back in action.
