Suche
Mein Konto
Financial expert analyzes: Why celebrities suffer high losses on luxury real estate.
According to a report from www.merkur.de, the real estate market is unpredictable, even for stars. Some celebrities had to sell their luxury properties at high losses. During the Corona pandemic, the market for luxury real estate also suffered a slump, which has not fully recovered to this day. Celebrities like Leonardo DiCaprio, Britney Spears and Susan Weber had to sell their properties at significantly lower prices than they originally paid for them. The instability in the luxury real estate market is particularly noticeable in metropolises such as Manhattan and Los Angeles. In Manhattan, 35.7 percent of listed properties remained without buyers in 2022, underscoring the challenges in this market. …
Financial expert analyzes: Why celebrities suffer high losses on luxury real estate.
According to a report by www.merkur.de,
The real estate market is unpredictable, even for stars. Some celebrities had to sell their luxury properties at high losses. During the Corona pandemic, the market for luxury real estate also suffered a slump, which has not fully recovered to this day. Celebrities like Leonardo DiCaprio, Britney Spears and Susan Weber had to sell their properties at significantly lower prices than they originally paid for them.
The instability in the luxury real estate market is particularly noticeable in metropolises such as Manhattan and Los Angeles. In Manhattan, 35.7 percent of listed properties remained without buyers in 2022, underscoring the challenges in this market. Various prominent personalities had to sell their properties at significant losses. Leonardo DiCaprio sold his New York condo for $8 million despite previously paying $10 million for it. Susan Weber also sold her Manhattan apartment for $21 million, even though the original price was $50 million.
In Los Angeles, the introduction of the “mansion tax” led to difficulties in the luxury real estate market. This tax imposed levies of four percent on real estate transactions over five million dollars and led to a supply backlog. Celebrities like Britney Spears have had to sell their properties for less than they paid for them. Another example is “The One” residence in Los Angeles, which only fetched $126 million at foreclosure despite the original price being $500 million.
Overall, this article shows that even prominent figures in the real estate market are struggling with significant losses. In both Manhattan and Los Angeles, instability in the luxury real estate market and external factors such as tax changes have resulted in losses for prominent real estate investments. This highlights the unpredictability and risks associated with real estate investing, even for celebrities.
Read the source article at www.merkur.de