La Boheme Auction?

[Arty]

Anyone know what’s the low for La Boheme condo aution this weekend? I saw the ad in the news paper.

[OtterPops]

I’d like to know more about this, too. I’m a lurking noob here who saw the two (2) ads in Sunday’s UT. The auction is actually Sept. 29, not 9/02. They have a website, http://www.redchomeauction.com that lists the units and prices. Prices look good, probably even lower than what they *should* be selling for.

Example: 1/1 for $149,000 instead of $319,900 and a 2/2 *starting* at $199,000 instead of $449,000. Something seems “fishy” about this though…at best, I suspect shills might bid all 35 units supposedly for auction at La Boheme to at or beyond the “Previously Valued To” level. Others may know more…but I think it’s a bit early to think you’ll actually win an auction like this at anywhere close to the “starting at” price…but to me, that is a more realistic price that we’re getting closer to every day!

OtterPops

[cashflow]

Isn’t this the same auctionhouse that held the big San Diego and Riverside auctions recently? I’m pretty sure it is, and based on previous posts about those auctions, I would guess they would use the same tactics to get the prices to double from the ‘asking price’…use their own set up bidders in the audience, festive atmosphere, guys in tuxes encouraging high bids….etc.

We’ll see I guess….

[Arty]

Opps…I must read it wrong. I guess I have to wait to find out.

[vferraro]

Hi Folks – checked out La Boheme myself today and I have two comments

1) The auction company they use is owned by LandAuction.com. They are very good at getting amateurs to part with the their money. However, at the right price, these units would be a good deal

2) The auction prices they list (and is a basis for the 50% starting bid is somewhat inaccurate, in my opinion).

The use the words “previously valued to” to set the illusion of market price. These values are not based on today’s market conditions. Yours truly has access to a price list dated 7/31/07, when DR Horton was still selling the units.

For example (from the auction catalog)

http://www.redchomeauction.com/auction_details.php?auctionID=D-003

Lot # 1106 in auction has a value of $319,990 but DR Horton last tried to sell this unit at $279,990

Lot #1213 in auction has a value of $539,900 but DR Horton tried to sell the unit a $432,990

Lot #2214 is listed as valued as $385,990 but DR Horton tried to sell the unit at $385,990

Get the point here. The market value prices/comparable values are wrong. Buyer beware …….

V

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