Friday, May 23, 2008

$850K in 2007, now $369k


3005 Briarhaven in Corona just hit the market as an REO property at 57% off the last sale price in July 2007. The home is 3195 sq/ft and has 4 bedrooms and 3 baths. The lot is kinda small and there is some kind of goofy waterfall/pond thing taking up most of the tiny back yard. The house looks nice though. The previous sale price was $850k last July. The speed at which this property reverted back to the lender would certainly indicate an early payment (if not first payment) default. For a second I thought the $850k sale was probably a cash back, fraud type sale. But after checking a few of the other properties in the tract that price is actually about right for that time frame. To think that people were paying that much for those homes is just looney!

The lender obviously wants to get rid of this one in a hurry and have priced it accordingly at $369k. I expect this will attract a bunch-o-offers and sell in a hurry. If it sells around asking that would be a $481k loss in under 1 year (57%!!). This one will probably seel over asking as it is the lowest pricd home in the tract by quite a bit. There is one other one priced at $395k but it is a little smaller.

12 comments:

Martin Burtin said...

This house seems like a great deal, when you think of the devaluation from what it cost last year and compared to the asking prices surrounding it.

On the other hand, it is still priced high for what most people actually earn around here. If you take 75K to be a slightly above average income for Corona households (since this is a slightly above average home) and multiply that by 3, you come close to what the house sold for originally in 1998. That would be a traditionally affordable price. But based on what is happening lately, I agree with Golfer, the home will probably sell fast, since it is currently the (loss) leader in that neighborhood.

If you think I'm a little nutz for suggesting that homes should sell for 1998 prices, or that a 75k income should comfortably buy a home, please drive the neighborhood near the NE intersection of Ontario and Main in Corona. The street is Summerset and it really is worth a look in person. It is a model colony for the "Perfect Storm" that is sweeping through some of the newer neighborhoods. After viewing it, I came away with greater respect for this Class V storm.

golfer_X said...

I think this particular home is a big larger than the "average" income family should be buying. Someone making $75k should be looking at smaller homes or less expensive homes. That of course, has been one main reasons we are in this mess. Everyone making 75K thought they could buy the big house on the hill, then buy the bimmer and the boat. Well, guess what, you can't. With 75K you can buy a modest home and modest cars and you might be able to rent a boat once a year.

I think $369k is probably a bit high for that house. I think those will fall into the low 300s eventually.

Sean said...

martin,

there is no street named summerset at the NE corner of Ontario and Main. Are you sure you have that right?

Sean said...

subscribe.

golfer_X said...

It's there, you can check out this home on the street.

MLS# K08059692

Sellin @ Da Drop said...

I am scoping out some homes in that area right now. I see some in the 290-310 range (not that big). But when homes in that area drop to 230-250 k range 1 year from now it's time to pounce. Been saving my money for a nice down, credit is clean. I might let my current home go into foreclosure since I live in a foreclosure riddled area of Riverside. i love my home but if i can get the same or better for 100k less, hell yes. Well maybe I am joking.

Martin Burtin said...

Yes, it's there. Redfin just lists a couple of the homes. The harsh reality on Summerset street is that nearly every home is foreclosed, vacant, and some have damage inflicted by the recent owner or renter.

Too bad that there isn't a website for info on ALL the properties. In this climate of forclosure driven sales, traditional MLS listings are not that helpful. I'm thinking about getting a subscription to something like foreclosure radar. Anybody have experience with them or others?

golfer_X said...

I've also been noticing that Redfin does not show all the homes that are for sale. I know on Sanctuary drive in the retreat the first 5 homes on the street all have for sale signs planted in the lawns. However only 2 of them show up on Redfin or Ziprealty. So, where are the other 3?

The street my buddy lives on has two REO properties. Both of them have signs in the lawn buy neither of them appear on Redfin or any other online service. I suppose they could be pending but they've been that way for months.

Sean said...

okay you're right its there. I drove down it today on the way back from Tom's Farms. You're right the whole street is foreclosed on except for two homes across the street from each other right about half way down. Those two look totally nice/fine. Its a damn shame.

Emily said...

If you see signs on houses, but they're not on Redfin, there's a decent chance they're actually no longer on the market. I know of at least two that sold, but you wouldn't know from driving by. I'm not sure why the realtors aren't bothering with "Sold" signs. You'd think they'd want to advertise any success.

Santa Ana River Rat said...

Case in point, to prove how illogical (or perhaps perfectly logical for some) a realtard works, let me give you an actual example. About a month ago, my buddy, who is a bargain hunter, finally caved after his wife and his two girls pressured him to buy a house. Guess what the seller's realtard does? Puts up a "for sale" sign on the front lawn of the house two days before the escrow closes. Now the escrow closed, damn sign is still up. He's been calling the agent to dig it out but they keep telling him they'll send someone out. In the meantime, he's getting weirdos stopping by his house asking him if the house is still on the market. LOL

golfer_X said...

Sounds to me like he has some free firewood!