I thought I would look back at some of the homes I wrote about 2 years ago when I started the blog. I thought I would find that most of them had sold for far less than they were asking. After all, 2 years ago was just the beginning of the crash and there were not that many REOs yet. The amazing thing is that the many of the homes I wrote about did NOT sell. Most of them simply went off the market. I'm a little shocked at this. I thought they would have either sold or been foreclosed. Nope, just delisted. 2 years and they are still hanging on?? The ones that did sell obviously went for far less than they were asking for in 07. It's sad to see that many of the buyers of those homes are now 20% or more under water based on comps.
16517 Cheltenham, Riverside, CA 92504 They were trying to get $850k after paying $1.06M. This home is now Delisted. Current value based on comps about $500k
18730 Lakepointe, Riverside, CA 92503. They paid $720k, but were hoping to get $580k when I wrote about them in late 07. The home sold in May 09 for $370k
Loss 49%
16398 Hidden Peak, Riverside, This guy was trying to get $775k back in late 07, well it finally sold in Jan 09 for $398k.
Loss 45%
13574 MEADOWLANDS CT, Moreno Valley, CA 92555, This guy was trying a short sale at $379k in late 07. He lost it to the bank in March and it finally sold in Dec 08 for $285k.
Loss 51%
4467 CABOT DR Corona, CA 92883 This guys was trying to avoid the big FC but it didn't happen. He paid $1.045M and it sold in mid 08 for $560k. (these were selling around $420k this year! So the 08 buyer is already $140k in the hole. 3 have sold in the last few months all under $425k)
Loss 47% (current owners loss around $20%)
17892 GLEN HOLLOW WAY This tool was trying to get $1.1M when I wrote about him. He bought in new for $773k, He ended up loosing the house and they were only asking $270k at the auction. Wish I had know that. I would definately have bought this one! It sells for $410k in Oct 08.
Loss 47% or 66% if you go off the auction price.
10 comments:
Do you have any insight on how to bid at auctions? Do you have to have 100% cash?
Yea, ya pretty much have to have the cash. And you better have done your research and made sure there are no liens you may be liable for. I have heard there are people that will float you the money to buy the house until you get a loan. I've not really looked into that though. Probably quite expensive. But if I coulda picked up that house for $270k I'm sure it would have been worth it.
I'm seeing a lot of flips hitting the market that were obviously picked up at the auction for cheap. These guys are making a killing right now. One I liked last month was picked up for $370k, listed 30 days later for $469k and went pending in about a week (probably form more than $470k too).
Damn. The really messed up part is that even tho us renters have been saving up while we knew the bubble was coming, it's still pretty damn hard to save up $275k when all rents have been inflated to hell thanks to bubble heads.
Now that the bubble has burst, the bubble head banks are the only ones with cash, thanks to the F'ing government intervention printing money and shoving down their throats. Now that it is supposed to be the time for non-speculators to jump in and reap the rewards, we get F'd again! I've had bids by me that were rejected over cash offers that were $50k lower than my bid. Man it really feels like we live in some sort of past socialist country like Russia.
Seriously. I'm almost at the point where I want to give up my now-expensive-but-still-cheaper-than-buying rental and move into a cheap apartment for 6 months to a year, and then maybe buy a house at a price that makes sense.
Adrian: I say go for it man. Save aggressively if you can. For me I probably could have done so more aggressively but it's easier said than done. Part of it is just trying to cope while you see all the low lifes getting away with what they do.
I will have a vanity license plate
"Rentr4evr" made, I am seriously discourage right now. I have pre-approved for a VA loan, Fico score in 800, and cannot have any bid accepted.
Snail: Hang in there, man. Something tells me our time will come soon.
Yeah, I know we need to be patient....its just sucks sometimes. Happy house hunting to you Sigma and let us know you progress...:)
do you know what auction com. handles these auctions you are talking about?
There is no .com for the auction. That is the foreclosure sale that happens on the courthouse steps. You can bid if you are there.
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