Bernie Madoff's last home may have sold strong, but it looks like the momentum is fading. His home in the Hamptons beat the listing price and ultimately moved for more than $9.4 million. Unfortunately for his victims, interest in his Manhattan penthouse and Palm Beach estate isn't as strong. The prices for both have been cut, as the Ponzi schemer moves from news to history. Both homes have been on the market for only two months.

The Manhattan home, on the Upper East Side, offers 4,000 square feet which the broker, Sotheby's International Realty, says is "perched atop a distinguished white-glove prewar cooperative." Originally offered at $9.9 million, the asking price has been slashed by $1 million. So, if you're looking for some new digs in the city, this should be perched atop your list. A 10 percent price drop after only two months in the game means that you could probably work the price down a little bit further. If you were a Madoff investor, think of it as recouping some of what was so wrongly taken from you.

The situation in Palm Beach, Florida isn't much better. The discount is only 7 percent, with the price plunging from $8.49 million to $7.9 million according to the Corcoran Group, which is handling the sale. This home is billed as "a return to classic Florida island living ... when Palm Beach was a less manicured tropical paradise." What does that mean? Does classical Florida island living have anything to do with defrauding the neighbors?

Madoff, now a resident of Butner, North Carolina, believed that the Manhattan apartment was worth only $7 million. He pegged the Palm Beach residence at $11 million.

When both properties move, the proceeds will go to Madoff's victims. Of the $65 million, roughly, that he took, $1.4 billion is said to have been recovered. Even when compared to the investor losses identified, $21.2 billion, it's but a drop in the bucket. The auction scheduled for Saturday may help a little bit, with Bernie's Mets jacket and Ruth's golf clubs going under the gavel.

Former U.S. attorney general Alberto Gonzales is finally officially leaving Washington behind for good. He and his wife are selling their five-bedroom home in the McLean Hamlet area of McLean, Virginia. The Washington Post reports that Gonzales is moving his family closer to his job at Texas Tech University in Lubbock, Texas.

The home was bought in 2005 through a trust for $1.05 million. The center-entrance Colonial home has hardwood floors, a kitchen with granite countertops and a fully finished walk-out basement. What makes this home distinctive is the security. It has a video security system with four separate cameras. There is also a safe room behind a secure metal door off the master bedroom. The home is listed at $1.075 million meaning that Gonzales isn't making any money off this deal.

[via Berg Properties Big TIme Listings]

Starwood Hotels & Resorts veteran Barry Sternlicht is looking for real estate to surge in Greenwich, Connecticut. The wealthy New York City suburb got spanked over the past year as the city's financial industry gurus saw their bonuses jobs disappear and flooded the market with ostentatious homes on the market at a time when buyers were few and far between. A year later, Sternlicht thinks this town is ready to stage a comeback.

Sternlicht just raised the asking price on his 5.8 acre estate in Greenwich to $5.95 million, even though the local market is about to finish its worst year in the past 30. Jean Ruggiero, Sternlicht's real estate broker, said he pushed up the asking price because "we felt like we were giving it away." People showed some interest in the home, and the fact that other sellers were cutting prices didn't mean that Sternlicht had to follow. "Just because people are lowering their price doesn't mean it's right, because he's not a desperate seller, "Ruggiero said of Sternlicht.

The new number is 8.3 percent higher than the $5.495 million Sternlicht previously asked, even though prices for single-family homes in Greenwhich dropped 40 percent year-to-date.

Originally, the home was put on the market at $8.25 million in June 2008, and it was cut three times from September 2008 to April 2009. It boasts a tennis and shuffleboard court, pool and guest house ... and is of course gated.

Even at $5.95 million, Sternlicht will come out ahead. He bought the place in November 1994 for a mere $2.93 million.

If you can survive buying or selling real estate in New York City, you can survive the process anywhere (well, maybe London and Tokyo would be rough). I've bought twice and sold once in NYC, and am pretty sure some of my gray hair arrived during those months. Recently I heard about BidOnTheCity.com, "eBay for Manhattan real estate." Intriguing! You can buy or sell, but unlike most other auction sites, you can only bid at a certain time, in person or online, Sundays at noon. Even brokers can get involved. Here's how it works. Read some press coverage here.

The home where the 1988 movie 'Rain Man' was filmed has had a hard year. The home in East Walnut Hills the East Walnut Hills area of Cincinnati, Ohio has been foreclosed on and yesterday was the last day of an estate sale. The 14-room home was owned by Roger Ach and the foreclosure process began over the summer. It was set to be sold in a sheriff's sale in July but ownership was transferred from Ach to a trust controlled by his attorney, Charles Hertlein. Recently the Hamilton County Municipal Court signed an eviction notice on the home which is valued at $1.2 million.

The Cincinnati Enquirer reports that Ach was foreclosed on by Cinco Family Financial Credit Union after he failed to pay the credit union $1.4 million for two mortgages with Cinco. This appears to the be the second round of foreclose for Ach on this house. The Enquirer says that in 2003 he was was sued for foreclosure and the house was sold at public auction to an attorney for a company owned by former Cincinnati Reds owner Carl Lindner, a friend of Ach's family. It was was transferred back to Ach in 2007 when Ach took out the mortgages with Cinco.

If you were waiting for the bottom, it looks like you just missed it. Home prices in the Hamptons are on their way back up, rising 4.7 percent in the third quarter. Houses priced in the range of $2 million to $5 million led the charge. In fact, the number of properties clocking in at more than $2 million (including the former getaway of Ponzi schemer Bernie Madoff, which went for $9.41 million) jumped 44 percent -- 46 sales occurred from July through September this year. And, the median price for this part of Long Island increased from $860,000 last year to $900,000 this year.

The action appears to have been driven by buyers who'd normally look for something close to $10 million ... who began to see what they could get for a mere 20 percent of that price. When opportunity knocks ... you know the drill.

Even with this bit of good news, the number of homes sold last quarter fell 2.3 percent, with those fetching less than $500,000 posting the largest decline (22 percent). So, all isn't rosy in the land of the wealthy, unless of course, you're still wealthy.

Today's house is a lavish spreadin the Cherry Hills Village area near Denver, Colorado. The home was owned by ex-Denver Broncos head coach Mike Shanahan. Shanahan, who was the coach of the football team for 14 seasons, sold the house in January 2007 for $16 million but reportedly lived there until late last year. The home was built for him in 2000. He may be on his way to Washington D.C. to coach for the Redskins but is said to be building an even larger home in Cherry Hills Village.

The six-bedroom home is on nearly 2.5 acres of land. The home has just about every amenity in over 20,000 square feet of space. There is a large indoor Jacuzzi, a steam room, gym, wine cellar, sunroom, indoor golf area and a gourmet kitchen with a big 'S' over the range. This home is listed at $17 million.

[Thanks, Anthony]

A couple of people sent me a note on this one, a sign that luxury real estate is thriving in some parts of the world. We've heard all sorts of rumors about a Hong Kong real estate bubble and the bubble talk reached a fever pitch this week with the news that a Hong Kong apartment has sold for a whopping $57 million. The five-bedroom duplex suite is in a building called 39 Conduit Road. At around 6,158 square feet it is believed to be Asia's most expensive property per square foot. Amenities include a spa, swimming pool, ballroom and fitness center and the building in the Hong Kong hills boasts harbor views. Another unit in the building sold for $51 million. The fact that there is a limited amount of real estate available in the area has led to some high-prced deals as well as concerns that most residents are unable to purchase a home.

The developer, Henderson Land Development Company Limited, created a building of 66 units total ranging from 2,800 to 7,600 sq. ft. Henderson Land Development Company Limited Sales General Manager Mr. Thomas Lam said, "the supply of new luxury residence in mid-levels is extremely scarce while luxury properties in the area have always been a sought after choice. We have recently witnessed record-breaking deals in luxury property market."

[Thanks Lori and Tal]

After my colleague Ann Brenoff reported that Mohamed Hadid had chopped $13 million off of one of his properties I knew times were bad but I had no idea just how bad. Another Hadid property, a Balinese-styled spec house in Beverly Hills, is now listed in the MLS as being a short sale situation. The property was once listed at $16.5 million. It was at $12.9 million when we checked it out as an estate of the day last year. Now it can be yours for $7.995 million on a listing that says "must sell" in big capital letters. The 12,000-square-foot home has a Balinese design with bamboo, exotic Asian woods and other materials imported from around the world. This is opulence on a grand scale with heavy doors, floor-to-ceiling glass windows, and three separate master suites among the six bedrooms. There is a Balinese-styled home theater, wine cellar and a gorgeous infinity pool with unobstructed views. The furnishings are included in the price.

Canada's most expensive residential sale so far this year occurred last month. Falkridge, a luxury retreat in the Calgary region, sold for $13.1 million after being on the market just a few weeks. It was listed for $12.9 million and sold for $13.1 million to an unnamed Calgary oil and gas entrepreneur. It was owned by U. S.-based Haworth Inc., a manufacturing company but was originally built by the Smed family of Calgary. The compound is 27,000 square feet and has a main residence, guest house, gazebo and water tower. The main residence is 15,000 square feet and has seven guest suites, an industrial chef kitchen, dining room, lounge and a media room that accommodates more than 20 people.The 12,000-square-foot guest house has six separate suites,a lounge with fireplace, and a training and conference area.

The Greek Cyclades island group has long been synonymous with romance. First, Liverpool housewife "Shirley Valentine" rediscovered herself on Mykonos with some help from a handsome Greek taverna owner in the 1989 movie. And then Meryl Streep planned the wedding-of-the-century in "Mamma Mia" (2008) against the white-washed backdrop of what film fanatics say was Sifnos. But every true Grecophile worth her moussaka knows that the most romantic place in all of the Cyclades is Oia, the small artist community on the tip of Santorini where the island rises above the Aegean Sea and moonlight walks along the Caldera are known to inspire Aphrodite -- at least in the playbook of my youth.

So let's raise a glass of Nykteri (Santorini's "wine of the night,") and shout "Yiamas!" (cheers!): One of Oia's most photographed historic guest houses is on the market. The properties known as "The Sea Captain's Villa" is listed at 4,800,000 Euro --or about $7.1 million U.S. An adjacent house, "The Cave Style House" is included in the sale. The main house, originally built in 1864 as a sea captain's quarters (it was remodeled a few years ago), overlooks the dramatic volcanic sea caldera. Traditional Greek architecture in style, the property has hosted European celebrities on holiday. The white-washed buildings with traditional sky blue trim include seven bedrooms, seven marble baths and two kitchens. Antiques, artwork and an optional hotel license are included. Santorini is said to be the lost continent of Atlantis, an advanced civilization that disappeared under the waves. Perhaps the legend adds to the island's mysterious allure. Modern Greeks simply shrug and repeat an expression which, when translated loosely, says: God created Santorini, and then He stopped. Enough said.

The Twitter guys are definitely on the move. Earlier this year, Biz Stone listed his Berkeley home for $575,000 and it sold quickly. Now Evan Williams has put his San Francisco penthouse on the market. One thing is for certain these guys like their nests contemporary. William has a two-bedroom loft in the Heublein Building. The sleek modern apartment is one of three penthouse units in the building and it has 11 foot ceilings. The home has a remodeled kitchen with a wine refrigerator and comes with a two-car garage. The interior has a bit of a rough look from exposed concrete and pipes. A private patio offers city views. Williams has listed his home for $1.498 million. Curbed SF says that he's building a modern home, designed by his wife which should be finished next year.

[via On The Block]

As China booms, Beijing's real estate market has followed and high-end real estate development projects are emerging. Imperial Axis is a luxury project planned for the downtown area. Billed as a "royal dwelling place of the world," is located opposite the Bell and Drum Tower and overlooks the Jing Mountain. It is said to offer 360-degree views of the surrounding area. There will be just 30 units with top-level appliances and finishes. Not too much is known about the property but the units may command some of the top prices in Beijing and are designed to appeal to an international clientele.

The third tower of The St. Regis Bal Harbour Resort is expected to be finished next February, and the resort will open its heavy glass doors to early adopters in 2011. Sitting on 1,000 square feet of sable blanc at the north end of Miami Beach, the three 27-story towers will house 511 rooms in various sizes and flavors of sumptuousness. The move south, like a snowbird from that biggest of apples, is intended to be a relocation of the New England grandeur that Colonel John Jacob Astor IV inaugurated when he opened the first St. Regis in NYC in 1904.

Think: mirrors. Lots of them. The Yabu Pushelberg interior scheme (from the firm that has lent a helping hand to Prada, Tiffany, the Mandarin Oriental, and so on) will naturally focus on textures and materials: Movingui hardwood walls, marble and travertine flooring, and etched plaster walls will abound upon entry. Guests and residents are no less looked after, with spa-like bathrooms, enclosed walk-in showers, and overflow soaking tubs. Granite makes its necessary appearance for the kitchen countertops, and the cutlery drawers will even be pre-slotted, so you'll never mistake your butcher for your cleaver.

Residences come in one-, two-, three-, and four-bedroom sizes, range from 1,777 to 6,868 square feet, and start at $1.9 million. If you need more convincing -- and proof that that this St. Regis has left behind most of its New York City roots -- the balconies alone start at 455 square feet, larger than a fair number of Manhattan apartments. Amenities will include white-glove butlers, 24-hour room service, a 12,000 square foot spa, and someone to do your grocery shopping for you. Because, you know, you'll be hungry when you finally roll in from Nikki Beach...

Another tiny dent soon will been made in the repayment of the funds owed to those duped by Bernie Madoff. His 3,000-square-foot Montauk, N.Y., beach house sold this week in an all-cash deal for more than the $8.75 million asking price. Neither the buyer's name nor the exact amount of the sale has been released. The four-bedroom, three-bath home is located on 182 feet of prime beach property.

The house was only on the market a few weeks. See more about the house, and more photos, in this story my colleague Deidre did on September 1, and check out this New York Times slideshow.