kev374 – I wish Rich had a “Like” button. I have been cursorily watching houses in 92117 and I am blown away. Very, very low inventory. Many places selling w/in days at much higher than asking price. I am scratching my head.
One in particular. I went to the open house. It was an oooold and outdated place. Trust sale. The realtor was talking to people, telling them he had 4 offers, one was by investors. I was skeptical, but walked around the house. Needed so much work. Walked outside. The investors were out there discussing how they were going to tear the place down, put subterranean parking, etc. etc.
It was listed for 499k. It sold for 662k 2856 Harford. Yes, the view was great and great potential. But how much is it going to cost to remove the old house and build a new one? We’ve got to be looking at, conservatively, about 400k or so?
Then the carrying costs while this gets accomplished and constructed. And they have to make a profit. This is not La Jolla. No matter how you slice it, it’s Clairemont. Is someone going to spend more than half a million dollars for a place in Clairemont?
IMO, this smells like a bubble. What worries me is that Clairemont is an older community, we’re talking a lot of seniors in my area. When they pass on or get put into homes, etc, there’s going to be a lot of places coming on the market. These kids aren’t going to hold on to them. They got their own houses they got to pay for, probably in 4S or Poway, Carlsbad, wherever. They’ve got kids in the good school district. They’re not going to move to Clairemont and they may not want to hassle w/rentals. Get their money while they can.
It’s going to be interesting to see how this plays out.
