The market for condominium and townhouse apartments has yet to recover from the financial crisis.
And while it’s still expensive, it’s now cheaper than ever before, according to a report from CBRE, a global real estate research firm.
The median price of a condo is now $1.4 million, up 18% from $1 million in 2018, according the report.
Meanwhile, the average price of townhouses and condominium units has jumped nearly 75% from the mid-2000s.
The report doesn’t say how much this increase is due to a surge in sales, but it does indicate that the market has slowed down significantly since the crisis.
The most expensive condos are now in places like Los Angeles, San Francisco, and Seattle, while the least expensive are in New York and Miami.
The top-rated condominium markets in New England, however, remain largely unchanged, while they’ve seen their prices decline over the last year.
Meanwhile, the market for townhouses is down significantly in some areas, particularly in New Orleans, which has seen a drop in home prices since the housing crisis.
The average price for a townhouse in New Mexico dropped 25% from last year to $834,400.
“We are not seeing a rebound,” said Scott Zemsky, chief economist at CBRE.
“The townhouse market is very much in a bubble, and that bubble is now breaking.”
The market for condos has recovered slightly from the housing bust, but the number of people who own them has dropped.
The number of condos has increased in each of the past five years.
In 2018, the number peaked at a record 1.4 billion units, and it’s down to just under 1.3 billion today, according CBRE data.
The total number of condo units has also decreased from its peak of 2.1 billion units in 2017, according data from CBre.
There is one place where condo and townhome sales have continued to rise, but they’ve been outpacing the overall housing market: the Bay Area.
According to CBRE’s data, the Bay has had the biggest increase in condo sales, up almost 24% from 2017 to 2019.
According to Zemski, it may be due to the fact that the Bay area has seen the biggest spike in new homes over the past two years.
“That was an event that was driven by a combination of things,” he said.
Despite the housing recovery, condo prices have been falling, and the market may not be recovering in 2019.
The CBRE report says that the median price for condo units in the Bay City has fallen more than 50% from its highest point in 2016, while condo prices fell 20% from their highest point during the housing boom.
The market is also experiencing a slight slowdown in sales.
The most expensive condominium is now in New Jersey, but this may be an indicator of an eventual correction, Zemskys said.
“I think that’s a sign that it’s a bubble that is getting too big for the comfort level of the individual investor,” he explained.
Condo and townhouses have a long way to go before they return to the peaks of their peaks.
The housing market was never going to be able to continue growing as rapidly as it has in the last few years.
And the market will need to be much more resilient if the economic recovery is to continue.
It’s worth noting that the price of condos in the San Francisco Bay area is also falling, but Zemskes points out that the city has historically been among the most expensive markets for condos.
The last time condos were falling so rapidly in San Francisco was when the market crashed in 2010.