The Abbeville press and banner. [volume] (Abbeville, S.C.) 1869-1924, 1876-12-27
A PARALYZED BUSINESS.
New York Real Estate Agents Despondon
FACTS md Figures.

New York Real Estate Agents Dependent
Facts and Figures.
I Since the panic OF 1873 real estate in
New York city has been on the decline.
Bottom prices were supposed to have
been reached two years ago, one year
ago, last spring, this fall; and yet it
looks as far to,the bottom as ever. The
real estate business, as business, is
practically dead, and thousands of
agents who made comfortable living
at it in the eight years following the
, war have taken down their signs and
drifted into other occupations.
"Thele's no such thing as real
estate business to be done," said one
prominent agent to Sun reporter. 81
. have never seen such hopeless state of
things. Even in what We used to call
bad times property brought something
near its value. But now people won't
take it as q gift. I believe, If all the
property in the city above Fifty ninth
street was sold at auction tomorrow, the
: proceeds would not cover the mortgages
on it. It is next to impossible to induce
capitalists to buy; they are the most
panic stricken men in the country. at
the foreclosure, sale3 at the real estate
exchange there are no bids except from
those who hold mortgages on the prop
erty, and who buy it for the amount OF
the mortgage" EzAE
. STis is a astory.wh is.told by all the
dealers down town, almost without ex-
exception Rents have fallen off about
twenty-five per cent. since 1872. When
: o sale is talked about, there are usually
no offers whatever, in spite Of the fact
that money does not now bring more
d than from two to three and one-half per
r cent. Unless some still greater calamity
comes houses will continue to pay eight
Oper gent. on their presentayerage valua-
ton above all expenses. Yet capitalists
hold on to their money.
It is almost impossible to sell second
mortgages, q traffic which formed a part
ooi the real estate agents business in
more prosperous times. SO much prop
erty has lately been sold at foreclosure
for! less than the amount Of the first
mortgage, that the second mortgages Ire
regarded as not worth the paper they
are written on. II the interest is no:
paid, the holler Of the mortgage dares
not sell out the property for evident
reasons; he prefefs to hold on and take
p his chances. Literally, thousands Of
, men havo been completely ruined, in
this city alone, by the prostration OF real
estate. ...- "-.'....
' Among the cases which were cited to
the reporter 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,
q price then considered quite moderate,
making 1920, 900; half Of this was paid
in cash, and $6O,000 remained on bond
and mortgage. The lots were bought as
speculation, and were never built on.
Last spring the original owners fore
closed this $50, 900 and took back their
lots. The purchasers lost $4,000 in
cash, besides the interest on the mort
gage for three years, about $4,000 o
year, and the taxes amounting to $4,000
or s., 900 q year more. It would not
take many such operations to ruin al
most all the dealers in vacant lots up
town. Many are just struggling along,
trying by every means il their power 70
hold on until better times enable them
to unload. In 1872 corner lots, 2bx.
100, were sold on Fifth avenue, oppo.
site the park, for $40, 900 apiece. Tho
same lots put up at auction now would
barely bring $4,000. Houses on the
avenue near Eighty-fourth street, which
were held in 1873 at s85, 600 and $780,
600, have been sold within the last year
for as low as S35, 1000. For year back
seven,eighths of the real estate sales
made have been foreclosure sales.
When asked if they can see better
times ahead, the dealers only shake their
heads. 70"