This house was purchased as a short sale about a month ago for around $550,000 or $555,000. They added some paint, dug up the backyard and added some grass, put some new doors in the house and painted the outside all in about a month’s time. The For Sale sign went up today out front. Let’s see how this market treats this flipper.
It will become a rental (3 months max) because it will not sell! They will take a 1k loss a month… I believe a lot of short sales are a joke you are still buying at 2005-2006 prices in most cases…
Yeah, that’s what I don’t get. Who would try and flip a house in this market. When I spoke the realtor, she said that it needs to be sold and sold fast. So I bet they have this house bought with a neg am lone.
My bet is, all things considered, including insanity, someone will buy it for around $599k. This person will likely have two kids and a dog, a struggling marriage and can’t afford to buy in 4S Ranch because of the over priced market there.
I follow this micro-market area, and I have to say this MIGHT work out for him. Not many houses for sale in the immediate area, and its a nice area- there is a little private swim/tennis club right there and a very good elementary school around the corner. He might get lucky and find a buyer concerned about things other than price.
It quickly sold just this July for $825K. Its one of those scary original 1960’s never rehabed places that the original owner apparently died in.
It was then listed again almost immediately for $899K- with apparently zero work done to the place. Even most of the MLS pictures are the same as last time. The only difference is the owner/agent (yes, a realtor bought it) is offering plans for a remodel in the sale price this time. I just can’t figure out the logic on this one at all.
owner would take it off the market by the end of the year. try to wait out the crash by waiting and renting for a year to rowdy SDSU students, who’ll park and pee on the grass, and stain up the walls.
after a year on the rental market and going negative for so long, when the flipper try to put it back on the market the comps would be so bad that he may just give it up to the bank.
I think that place would be a nightmare for a college student as a rental, unless they are the studious type (difficult to find at SDSU). The neighbors are super anal and older. The cops would be stopping by every 10-min if it came to that. Besides, the rent is too high in that area for college students.
My guess is property sells for $565,000 in two months. Only because there are insane people out there willing to buy, that have kids and want a good school.
