Sunday, January 13, 2008

58% off?


14407 Four Winds DR Riverside, CA 92503, MLS#I08004338
I ran across this while perusing Redfin this evening. This home is really funky looking from the pic. It looks like it might be built into a hillside with the garage on the bottom and the living area above. It's 3013 sq/ft and has 3 bedrooms and two baths. It says it was built in 2005. It sold in Feb 06 for $625k. Another sale is recorded in July 07 for $624,517. I'm guessing that would be the bank getting it back. It's now listed for $264,900! I almost think this is a typo 624...264? I also found it listed on Movoto for the same price. If this is the real price that would be a fall of 58% ($361k) from the 06 sales price. And that would put this home close to where it should be. $264k is probably still a little high considering the area. If anyone has driven through this area they will know what a mess it is. It's a bunch of tiny twisting roads that are a nightmare to navigate. Now, while I think this home is price close to where it should be, I'm more inclined to think this is a typo.

14 comments:

Tyrone said...

That house is just so wrong on many levels.

Anonymous said...

Off-Topic Question: What's the deal with this US Home Auction company that is buying homes? Are they able to buy them at such a discount? They are buying up homes that were just on the edge of being lowered in price. Really annoying!

golfer_X said...

US Home Auction or REDC does not buy houses (at least I'm not aware of them doing so). They are simply an auction house. They auction foreclosed properties. The banks like to use these services as the properties tend to fetch more money at auctions right now. You get a bunch of amatuer investors that get caught up in the frenzy of the auction and often end up paying far more than they could have bought the home for before the auction. There are very few deals at these auctions yet. They also charge a 5% commision to the buyer on all sales. So the final price the buyer pays is 5% above their bid price. Many of these auctions are total scams using schill bidders to bid up the prices. Some auctioneers will just "bid off the wall", taking a bid from no one to keep upping the price. Many of the properties will have reserve prices so even if a person does win the bidding war the bank can still say "no thanks".

REDC auctions are a total scam right now. They know there are still a bunch of weekend warrior investors that can be taken advantage of.

Did anyone read the article a couple of weeks ago about the lady that bought a home in Perris at one of these auctions? She thought she was gonna make a killing and is now likely to lose her skirt.

OrientalPearlsNet said...

Hi golfer X, can you please post the link or let us know how to google that article? because that is what I am thinking also. thanks.

OrientalPearlsNet said...

Hi golfer X, can you please post the link or let us know how to google that article? because that is what I am thinking also. thanks.

Anonymous said...

http://abclocal.go.com/kabc/story?section=news/consumer&id=5876428

Angela said...

How about 35% more for a home over their 2005 purchase price? Check out 17070 WOOD, Riverside, CA 92508. Purchase in 10/05 for $370,000 and just listed for $500,000. All I can say is "WOW".

Angela

Anonymous said...

There's a lot of that going around. 70% of the listings are still trying to make money on those 2004, 2005, 2006 purchase prices. I have no clue why agents are still taking those kinds of listings.

Anonymous said...

I've been to the assessor's office a couple of times in the past few months. People actually owe a LOT for their homes (more than they're worth now).
For the homes I'm looking at, people are having to ask for what they owe. No one can afford to ask for more.

Thanks Golfer_X for the info on auctions. The one home I was looking at was already up for auction (on the county steps). They then listed it as bank owned (asking way too much). Now it's going through US Home Auction.
I had no idea they didn't buy the houses. Somehow that makes me feel better. :)

califrothnia said...

I just haaaaad to go see this beauty today. Here's what redfin is NOT telling you: House isn't finished! No carpet, no fixtures, no toilets, sinks, etc. And it's on a dirt road with huge ruts, and that slider you see above the garage....yep, that's the FRONT door! And here's the kicker... It has a nifty propane tank for all your gas needs! I'll take two!

p.s. I live half a mile or so from this gem...small, winding roads aren't all bad!

Anonymous said...

Sweet, $265k and you still have to put another $50k into it to make it liveable. Sounds like a deal,not. Looks like the bank is taking it in the arse on this one.

The front door is a slider, how quaint!

golfer_X said...

You can go to the ushomeauction.com website and they have a list of the homes they are auctioning off. They list opening bid prices for each home. So you can see where they will try to start the bidding. You can always go just to watch and see if that might be something you want to participate in, in the future. Some people love auctions, I hate them. Like everything you have to do your homework if you plan to bid. You must know the condition of the home and have a number and STICK to that number. So many people get caught up in the bidding frenzy and pay way too much. My advice would be to stay away from auctions for another year at least. Let the amateur Donald Trumps catch this first batch of falling knives. Once they are all gone there might be some deals.

bubblebuster said...

Angela,
Many of those over listed deals are cash back fraud deal ad's. When you inquire about the property, the agent(s)tell you the property is priced for a buyer credit of $100k for down payment assistance and repairs........I have seen this personally in Murrieta/Temecula, when I explain that I am not a first time buyer, they inform me the "real price" is 100-150k lower.......

brad said...

Yes i agree with you most of the people are facing the fraud problems with the dealers.
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brad
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