It's rare these days but there are some guys still flipping. Granted most of them know what they are doing and can still make a buck buying the right home at the right price. Here's the opposite type of flipper.
8223 Sunset Rose, is in my favorite whipping post, The Retreat. This home went back to the lender in August 08 for $568k. It sold in Dec for $618k (too high in my opinion but obviously I don't know squat). So it lists today as a "rare regular sale" for $799k! Huh, this fliptard thinks he's going to make $180k in 4 months in today's market.....
There's not a lot for sale right now in there. They seem to have worked through a lot of the old inventory. But they worked through it because the prices came down. Houses this size have been listing for mid $500s not $800k. There are 3 slightly smaller homes listed one is $470k, one is $552k and the highest is $549k (and it has a bitchin pool). Lets all give a hand to the fliptard of the month!
8 comments:
Golfer,
What is your view on the Retreat? Do you think prices will continue to go down? It seems like there should be lots of inventory, but many of these homes are being bought (at over asking price) and then put "for rent." Any insight on this community?
The retreat will probably be a very nice tract in a few years. It will take a while to work all the foreclosures out of there. A high percentage of the homes in there are still in default or foreclosure. Just driving through there you can see the multitude of dead lawns. It has to be close to 50% of the homes that look either unoccupied or uncared for.
The main drawbacks I see in there are the ridiculous high taxes and HOA fees. I would also be a little concerned about the stability of the golf course. It's not financially healthy, it's not a favorite with most golfers that have played it so it's future is far from certain.
There's no way you can buy a house in there and rent it for a profit at the current prices. Anyone trying that is just really bad at math.
I have seen a lot of homes drop off the market in the last 2 months. I haven't seen many of them actual close yet so I don't know what they are selling for as compared to asking. I would consider the retreat but the price would have to be stellar to make up for the high taxes. My wife likes that tract but she does not like most of the floor plans. I agree with her, most of the floor plans are not that great.
Maybe the fliptard picked up an old Tivo on Craigslist and just discovered a bunch of old 'flip that house' shows!
There's a lot of rehab/flipping attempts going on in the downtown Ontario area, to the north east of the public library. Small, modest houses being spiffed up and then having a "for rent" or "for sale by owner" sign put out, or in many cases, agency signs but the houses don't show up on the MLS. There's a lot of them that are on the MLS, but lots that aren't.
hahahah, that is a nice house, its right across the street from us... truthfully, i don't think the owners are strapped for cash..
taxes are bad... tax rate is a reasonable 1.05% but what kills you is the Lee Lake Water CFD (community facilities district, aka mello-roos) - thats another $5k annual or ~$415/month.
some of my friends live in irvine and pay similar HOA/MR - they are closer to the ocean but i have a large yard for my dogs and don't share any walls with neighbors.. ultimately everything is relative..
if you're looking for best bang for you buck, this probably isn't the place, but i'm personally hoping that in 5-10 years, the retreat will become what it set out to be; one of the more luxurious & exclusive 'retreats' in the IE..
ps - we are finally putting in some landscaping.
pps - i hope someone friendly buys this house.
x Sorry I am going a little off topic but what do you think is up with eastvale! I have been trying to buy a starter home but there isn't a lot of bank owned properties up for sale. The number homes for sale has been falling recently and its really hard to find a REO. If you look at foreclosure radar, the numbers are off the chart. What are the banks waiting for! I think its a weird situation! its a relatively newer community and my guess is sooner or later all these houses are headed to foreclosureville! How do you think is it going to work out!
Jesse, the banks are broke and are desperately trying to put off acknowledging it. Every foreclosed house they sell is one they must take a loss on. Every one they keep is one they can continue to carry as an asset at face value, no matter how ridiculous the price is. It's bad for us, because we will end up paying for the months of disuse, but good for them because it gives them a few more months of salary. Plus they're hoping that Obama Claus gives them lots of bailout presents and saves them from bankruptcy. They may yet get their wish.
There's about 250 homes for sale in Eastvale according to Redfin this morning. At least 1/3 of those must be REOs and the rest appear to be short sales.
I think Fairecon hit the nail on the head. I'm sure some lenders are holding back waiting to see if they can dump some of their garbage on the government (and therefore on us). But you also have the spring rush of buyers that are grabbing the better REOs as soon as they hit the market. The super low interest rates are adding fuel to that fire. The banks are also swamped, they don't have the employees to handle the backlog. So there are many reasons that the inventory is currently shrinking. I don't think the trend will continue though. The spring rush will taper off, the banks will hire more asset managers and the current crop of bailouts will probably fail to deliver also.
If you in a rush you could always start looking at shortys
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