Now this is a real price reduction ..

originally listed May 22, 2008 and on December 1, 2008 was marked down to $649,000 from $849,000. That's nearly a 25% price reduction made in a single day and took the list price well below the previous sold price of $800,000 in 2006. This might finally be a clear signal that some people are no longer living in the fantasy world where Deep Creek real estate appreciates no matter what happens in the rest of the world. Or it's just another out-of-town distressed seller who got in over their head with an interest-only ARM at the peak of the market. Or both. Adding up the projected loss on the resale and all the taxes, commissions and interest payments over about 30 months this turned out to be one expensive vacation rental for these folks at 93 BRENNEMAN Ln MCHENRY, MD 21541 (I'm guessing around $8000/month maybe even $9000/month)!!!

Here's another at 21 BOULDER RIDGE Dr MCHENRY, MD 21541. Original list, $1,150,000, current list, $825,000 (down close to 30%).

And another at 15 MOUNTAIN OVERLOOK Ct #3 MCHENRY, MD 21541 marked down by $100,000 (more than 11%) after only 1 month on the market. The owner of this one is a real estate agent as well, so I guess you could say this is one agent who doesn't have his/her head in the sand since they are willing to admit prices have to come down to move inventory.

Look around, I'm sure there are many more examples out there. Now the question is how low might they have to go for buyers to finally see a reason to buy? Looks like those deep discounts I predicted that might be necessary to clear excess inventory are finally getting started.

Don't forget to check back to Dan's Deep Creek Blog for future updates.