back in 2005 I owened and lived in a tri-level townhome in the 91913 zip of Eastern Chula Vista. A zip code that has ended up being one of the hardest hit areas in San Diego County. I bought the place in 2003, then had to wait for the place to be build. I still don’t know why I bought it other than I felt like I was in a rush to buy due to a personal situation.. Anyhow, after a year of living in it, I told my wife about “Piggington’s”. Everyone on the site was making suggestions about the market getting ready to tank. I gave my wife two optioins: 1) sell now and get hit with capital gains (if we made a profit) or 2) wait another year and be forced to stay in the place for about 10-years. There was no question. Sell it!
The next step was the most challenging. The flippers in our neighborhood were selling their townhomes 3/2.5 for around $480K-$500K. I knew this was a joke. Being that we paid $370,000 for ours, less than 13 months prior, I did the math and said to myself, what do I need to sell this thing and break even. I think that price was $410k. 3% buyers broker / 1% sellers broker (a family member). Others had their property on the market for months already. I quickly placed mine on the market for $415k. I could see that some of the other neighbors were upset with me, especially the flippers. But honestly, who gives a shit. They were way over priced and I just wanted to make sure that they weren’t going to be my neighbor for much longer.
So, within a couple of days I had several people walk through the place and about 20 on an open house I had. Much more activity than anyone elses property, if they had any at all. It showed to me right there that it wasn’t the neighborhood, it was the price that was way out of wack. By the end of the first week I had two offers, which then turned into a lonely one. Being that jerk that I am, my realtor evenutally talked the person up to $435k, which was above my original asking price, but still far below what others were asking in the hood. The property closed escrow for $455k, of which $20k was given back to the buyer.
Two years later, many of the same flippers are still down there trying to sell their property at a loss. Check it out.. the hood 1312 – Mother Lode Way, 91913. If you can follow the price changes, they are all in around the 15k range. slowly dropping.
So don’t drop you price $15k and hope to sell. Lower it $60k or maybe in this market $120k, depending the property type. If someone likes/loves the property and can afford it you’ll get a price for it that makes sense to you, the market and the buyer. In other words, don’t look at your house as a bank. It’s not and will never be again.
Good common sense approach. Unfortunately, too many people refuse to smell the coffee and believe that they are entitled to a large profit. Every month that passes, their properties will be worth less and eventually, they will either give up and stay (if they can afford to) or throw the keys back to the lender.
Good common sense approach. Unfortunately, too many people refuse to smell the coffee and believe that they are entitled to a large profit. Every month that passes, their properties will be worth less and eventually, they will either give up and stay (if they can afford to) or throw the keys back to the lender.
Good common sense approach. Unfortunately, too many people refuse to smell the coffee and believe that they are entitled to a large profit. Every month that passes, their properties will be worth less and eventually, they will either give up and stay (if they can afford to) or throw the keys back to the lender.
Good common sense approach. Unfortunately, too many people refuse to smell the coffee and believe that they are entitled to a large profit. Every month that passes, their properties will be worth less and eventually, they will either give up and stay (if they can afford to) or throw the keys back to the lender.
Cash back is legal if it’s being done correctly. For instance I agreed to purchase a place at a certain price but want to upgrade the carpet, then the cost for new carpeting could be added to the purchase price. This cost would be held in escrow and will be released to pay for the new carpet installation.
Personally I will not do this, why do I want to make 30 years payment on new carpeting.
Cash back is legal if it’s being done correctly. For instance I agreed to purchase a place at a certain price but want to upgrade the carpet, then the cost for new carpeting could be added to the purchase price. This cost would be held in escrow and will be released to pay for the new carpet installation.
Personally I will not do this, why do I want to make 30 years payment on new carpeting.
Cash back is legal if it’s being done correctly. For instance I agreed to purchase a place at a certain price but want to upgrade the carpet, then the cost for new carpeting could be added to the purchase price. This cost would be held in escrow and will be released to pay for the new carpet installation.
Personally I will not do this, why do I want to make 30 years payment on new carpeting.
Cash back is legal if it’s being done correctly. For instance I agreed to purchase a place at a certain price but want to upgrade the carpet, then the cost for new carpeting could be added to the purchase price. This cost would be held in escrow and will be released to pay for the new carpet installation.
Personally I will not do this, why do I want to make 30 years payment on new carpeting.
