Tuesday, September 22, 2009

What Were they Thinking?

This tale just keeps getting more bizarre by the minute. The short sale saga I told earlier this month, just took a very weird twist. It was just listed on the MLS #90072959 for a whopping $692,900. This is the exact same house, that sat on the market for over a year for $550,000, and then dropped do $475,000 for over 6 months.

As mentioned in the last post, according to the Bee database, it was bought for $359,100 recently. Why on earth would they list this house so ridiculously high? It has done nothing but deteriorate since it was last listed. Perhaps they sunk a couple 100k into fixing it up....unlikely. I have an appraisal that valued the home at 460k.
Good thing we didn't wait around to buy this one from the bank.....it will certainly be interesting to see how much it actually sells for.


Giacomo said...

A guess: I've heard that some banks are requiring as a matter of policy on short sale agreements that a good faith effort be made to sale at the FULL debt amount.

It is possible this new price is just a formality along those lines?

husmanen said...

Funny things are happening.

I see some houses that become bank owned and are priced almost pre-bubble - they are gone in no time.

Then I see houses languish for months as short sales, finally go back to the bank and are priced way higher than the short sale that DID NOT sell. These usually sit for a very long time then BAM the price drops 5%, 10% or more.

By then the market has passes the prices on the downside and they are just following.

Wishing will not get the home sold, neither will PR, marketing etc. Things that help are tax credits, very low interest rates and spring/summer. Basically, it has to be priced right for the current market. If it is, it will be gone in a few weeks.

husmanen said...

BTW, I have met the previous owners of this house and driven by to check out the curb appeal.

AB you would not have been happy here, the noise level will only increase, it looks like a barn upon driving up and is kind of choppy in its layout. Also, their is no real neighborhood feel. Where you are now is the opposite of this and much more.

husmanen said...

Did you see it 'magically' dropped to $394.9k yesterday. Now that is a drop!

Buying Time said...

Yes, I got a great chuckle out of it. Apparently our money wasn't good enough when we offered it!

They may have made a typo. There was a house in Fairchild Village about a year ago that had the "wrong" price in the MLS for a weekend.

husmanen said...

So far no typo on 2432 Telegraph in EDH. Still sitting at $394.9k. You have to be glad you missed that bullet.