Here you go. First the house. Nothing has been done to it in 20 years, its located on a fairly busy neighborhood feeder street, has a smallish yard that is all concrete and pool. Some of this can be fixed but some cant. It took almost a year to sell in the raging 04/05 market and then about 6 months in the solid 2018 market. Its just not a great property for the model and community.
Now what happened. Owner lists house in mid-May for 2.5M (which a slight stretch that may have been possible in March/April) and quickly realizes market has changed. After lowering to 2.375M in a couple weeks they realize market has changed and sell it to Open Door.
Open Door gives them 2.5 minus their fees which nets to 2.3ish in early June. OD just values based upon size, location, pool, neighborhood comps without understanding the finer points that make it a bit of an albatross.
The market comes to crashing halt immediately after they close and now they are stuck with a relatively tough to sell house for the neighborhood with some things that can be fixed and others that cant in a declining market.[/quote]
