The sun. [volume] (New York [N.Y.]) 1833-1916, 1876-11-26
PIR.ILIzED BUSINESS.
New York Real Estate Agents Dcspoudent-
Fnct- and Figures.

Since the panic of ls73 real estate in New
York city has been on the decline. Bottom
prices were supposed TO have been reached two
years ago. ono year ago. last spring, TINS fall and
yet It looks a. far TO the bottom as ever. The
real estate business. as a business Is practically
oead. and thousands Of agents who made "A CON-
Portable living at 1t In the eight years following
the war have taken down their signs and drfted
into other occupations.
There's no such Thing as a real estate bust
ness to be done" said one prominent agent to a
SUN reporter yesterday. ~ have never seen
such hopeless state OF things. Even In what
we used to call bad times property ALWAYS
Drought something near its value. But now
people won't take IL a. n gift. | believe, II all
the property in the city ABOVE Fifty-nlnth street
was sold at auction tomorrow, the proceeds
to impossible to induce capitalists to buy; they
are the most panic-strcken men In the country.
change there are no bids except from those VINO
hold mortgages on the property. and who buy II
In for tue amount OF the MORTGAGE.
Tht- u a story Which Is told 10y all the dealers
down towL almost without execution. Rents
b We fallen OF about Twenty-Five per cent. Stree
u-ually no offers whatever. In spite Of the fact
that money does not now bring more than from
Two t. three and a haif per cent. Unless some
still greater calamity comes houses Will continue
u pay eight per cent on their present aver 40
valuation above all expenses. Yet capitalists
hold on To- their money
1t IS almost impossible to sell second N ort-
cages, tatflc which formed a part of the real
estate agents business in more prosperous times.
SO much property has lately been sold at fore
closure for less than the amount Of the first
mortgage, that the second mortgages are re.
garded AS not worth the paper they are written
on IL the interest Is not paid, the holder Of
the mortgage dares not sell out the prop
erty, for evident reasons; he prefers to hold on
and take his chances. Literally. thousands of
mon have been completely ruined, in THIS city
alone. by the prostfation ~ real estate.
Among the cases which were cited To the SIN
reporter Yesterday as worthy Of notice were the
following: In the fall of 1872 four lots on Fifth
avenue, near the Catholic Cathedral were sold
for $4,000 apiece, price then considered quite
moderate making tls0OD; half of this :
paid In cash, ana t6J,OUO remained on bond ana
mortgage. The | Is we're bought as specula-
tiOn, and were never built upon Lost spring
the original owners fureclOsed this $6O.0UO mort
g'ge aud took oack their lots. The purchasers
lost $GO,pU IN cash, besides the interest ON the
mortgage for three years about $420 year,
and the taxes amounting to $2UO or 5000 a
year more. 1t would not take many such opAra-
lots up town. MANY are just struggling blong,
irving by every means IN their power To hOld on
until better times enable them to unload. In
1872 corner lots, - by loo. were sold on Fifth
avenue. opposite the PARK, for 5000 apiece.
The same lots nut ~ at auction now would
barely bring <b.tpD. Houses on the avenue near
EightY fourth street. which were held IN ls,3 AZ
5000 and $4,000, have been sold within the
last year for as low as $500. For a year back
seven-eighths of tho real estate safes made have
been foreclosure sales.
When asked Il they can see better times
ahead, the dealers onS shake their heads.