We already have the Test Drive Before You Buy and rent-to-own strategy. We've seen the Blood in the Water approach to generating PR. Now, we have buyer price protection plans. Call it PriceChopper Insurance. At SteelWorks Lofts in Williamsburg and Cleremont Greene in Fort Greene buyers are being offered price protection guarantees that if unit prices are cut after they buy, they will get a discount at closing. Corcoran Group VP Christine Toes tells The Real Deal: ""Unless the market rebounds faster than people expect, I think this is the only way to make buyers comfortable purchasing in a new development that's more than a year out. They do not feel any kind of incentive to buy this far out." She first wrote on UrbanDigs that "I think the idea of protecting new development buyers from potential declining prices is going to have to be the 'wave of the future' for new developments that are six months or more out. Buyers will be more confident locking in potential upside while eliminating or at least reducing downward risk." So, there you have it. When the times get tough, the tough get going and we get things like PriceChopper Insurance. Go forth and buy with confidence.
· NYC developers implement price protection programs [Real Deal]
· New Dev Buyers: "What Are You Going to Give Me?" [UrbanDigs]