Massive loss in Murrieta, listings for real?

[unbiasedobserver]

This seems like an incredible loss in Murrieta zip 92562.

Last comp of this model with 3547sft sold in Jan of this year for $715,000 at 41611 Cherrybranch Ave.

Now there’s 2 of this model (one on same street!) listed at $395,000-$449,000. This would be a 44% loss in 6 months.

41680 Chrerrybrance Ave (from pictures looks never lived in, granite, etc.)

41640 Evening Shade Pl

These 2 listed by same office, same day. What’s going on? Even with falling market, these seem too good to be true.

[temeculaguy]

Nice find!!! These are not too good to be true but more than likely they are from the CORE scam because the orange county repo realtor is the same and had the same listing day. Two model matches in the same tract have been sitting on the market at 490k 104 day and 465k 73 days. They have green lawns and will have warranties, etc. An “as is” repo with a dead lawn has to price itself below those others so both at 395k is a way to move them. I have no familiarity with this neighborhood but they went off new in 2004 in the 500’s and looks like the 630k in 2005 but those were like CORE scam inflated prices (they would pay 100k over list and get a loan then pocket the 100k, and run, leaving the investor with ruined credit) see other posts for the details but you can’t use the 630k price as a baseline to determine 235k loss because 100k of it was fraud. It still represents hell of a deal if the neighborhood works for you, 395k asking for 3200 sq ft, 3 car garage almost new house is not bad. But I don’t want to live in Murietta, when in the heck is that going to happen in Temecula, I wan’t an oompa loompa and I want one now!

If that was just 15 miles south I’d probably be over there today looking at it and offering 350k because that is now inline with rent almost.

[temeculaguy]

Nice find!!! These are not too good to be true but more than likely they are from the CORE scam because the orange county repo realtor is the same and had the same listing day. Two model matches in the same tract have been sitting on the market at 490k 104 day and 465k 73 days. They have green lawns and will have warranties, etc. An “as is” repo with a dead lawn has to price itself below those others so both at 395k is a way to move them. I have no familiarity with this neighborhood but they went off new in 2004 in the 500’s and looks like the 630k in 2005 but those were like CORE scam inflated prices (they would pay 100k over list and get a loan then pocket the 100k, and run, leaving the investor with ruined credit) see other posts for the details but you can’t use the 630k price as a baseline to determine 235k loss because 100k of it was fraud. It still represents hell of a deal if the neighborhood works for you, 395k asking for 3200 sq ft, 3 car garage almost new house is not bad. But I don’t want to live in Murietta, when in the heck is that going to happen in Temecula, I wan’t an oompa loompa and I want one now!

If that was just 15 miles south I’d probably be over there today looking at it and offering 350k because that is now inline with rent almost.

[temeculaguy]

I just noticed that they are real close to the freeway, that has to hurt a little but I also noticed that they are actually 3600 sq so it’s $111 a sq ft and they have been on the market for 36 days, good ole zillow has the zestimate at 700k.

Waiting Hawk, have you seen these? This might end up being the free beer 50% off peak winners.

[temeculaguy]

I just noticed that they are real close to the freeway, that has to hurt a little but I also noticed that they are actually 3600 sq so it’s $111 a sq ft and they have been on the market for 36 days, good ole zillow has the zestimate at 700k.

Waiting Hawk, have you seen these? This might end up being the free beer 50% off peak winners.

[gn]

If that was just 15 miles south I'd probably be over there today looking at it and offering 350k because that is now inline with rent almost

temeculaguy,

Since, there is so much speculation in Temecula, I suspect that home prices there will reach levels where owning is less expensive than renting. So, when prices are inline with rent, you may want to delay pulling the trigger.

 

[gn]

If that was just 15 miles south I'd probably be over there today looking at it and offering 350k because that is now inline with rent almost

temeculaguy,

Since, there is so much speculation in Temecula, I suspect that home prices there will reach levels where owning is less expensive than renting. So, when prices are inline with rent, you may want to delay pulling the trigger.

 

[PerryChase]

Also when homes are begging for buyers, rent will go down.

Individual homeowners cannot afford to go negative cash flow so they can’t offer free rent or even lower rents. But when homes become corporate owned, you’ll see 1-2 months free rent with move-in. It was that way in the 1990s and it’ll happen again.

Rents will go down when real estate is tranfered to new owners at discounted prices. It’s happening now, albeit at snail pace.

[PerryChase]

Also when homes are begging for buyers, rent will go down.

Individual homeowners cannot afford to go negative cash flow so they can’t offer free rent or even lower rents. But when homes become corporate owned, you’ll see 1-2 months free rent with move-in. It was that way in the 1990s and it’ll happen again.

Rents will go down when real estate is tranfered to new owners at discounted prices. It’s happening now, albeit at snail pace.

[no_such_reality]

41640 Evening Shade, ouch $111/square foot.

And every 8th house looks to be for sale in the neighborhood.

[no_such_reality]

41640 Evening Shade, ouch $111/square foot.

And every 8th house looks to be for sale in the neighborhood.

[gn]

But when homes become corporate owned, you'll see 1-2 months free rent with move-in.

PerryChase,

Are you saying that lenders will become landlords/property managers ?

Or that investors will buy REOs in bulk & become property managers ?

[gn]

But when homes become corporate owned, you'll see 1-2 months free rent with move-in.

PerryChase,

Are you saying that lenders will become landlords/property managers ?

Or that investors will buy REOs in bulk & become property managers ?

[temeculaguy]

GN and Perry, you are both right, dropping values will continue as will rents. I have a unique situation with needing to be in a specific shool boundary which contains no apartments so the rental market is tight with the few sfr’s for rent. I am hesitant to enter into a new one year lease and have about six months to decide on a new lease or buy. I just looked at a brand new 2800 sq ft where I want it to be for 400k with all the upgrades(down from 500k last year) and comparable rent would be 2k and a new 1900 sq ft for 330k where comparable rent would be 1700. While I think S.D. has a year or two to unwind, here in the outskirts it is in full swing and the rent to buy numbers get closer every day. At this point in time there is still a gap in the specific place I need to be but when those numbers meet in the middle I will pull the trigger, I am not in it to get rich, just pay a fair price and have a comfortable conventional mortgage, I think that is all anyone can ask for. A year ago this is what I was hoping for, now that is has come down I am a little greedy for more but if it comes down another 50k on both examples above I doubt I’ll be able to hold off.

[temeculaguy]

GN and Perry, you are both right, dropping values will continue as will rents. I have a unique situation with needing to be in a specific shool boundary which contains no apartments so the rental market is tight with the few sfr’s for rent. I am hesitant to enter into a new one year lease and have about six months to decide on a new lease or buy. I just looked at a brand new 2800 sq ft where I want it to be for 400k with all the upgrades(down from 500k last year) and comparable rent would be 2k and a new 1900 sq ft for 330k where comparable rent would be 1700. While I think S.D. has a year or two to unwind, here in the outskirts it is in full swing and the rent to buy numbers get closer every day. At this point in time there is still a gap in the specific place I need to be but when those numbers meet in the middle I will pull the trigger, I am not in it to get rich, just pay a fair price and have a comfortable conventional mortgage, I think that is all anyone can ask for. A year ago this is what I was hoping for, now that is has come down I am a little greedy for more but if it comes down another 50k on both examples above I doubt I’ll be able to hold off.

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