Would you buy a house 300 feet from Power lines and tower

[farbet]

7467 Circulo Seqoia is a REO. The picture of it with the Power Lines and tower was posted by OC Renter on bulletracking blogspot.
7471 was just sold for around $930K. This is also with the huge tower and lines.
Would you buy a house like these?

[farbet]

Correction
7467 Circulo Sequoia,Carlsbad and 7471 Circulo Sequoia 92009.
La Costa Oaks

[binx]

this might sound dumb but take a flourescent light bulb or tube- kind of like what you would see in star wars and go outside at night near where you want to buy. see if the tube lights up. had a kid do this as a science project, there was enough energy around the power lines to actually light up the tube. if you are comfortable with your results- go for it.

[gold_dredger_phd]

No. Don’t buy the house. Aliens land there. They need to recharge their dilithium crystals from the AC power radiated from the lines. It’s free electricity.

I would not buy such a place. You’d have a hard time selling it and the noise and such from the lines can be loud. The noise varies with the humidity of the air.

[Anonymous]

No. Perception is everything. Science may say that it is safe, but over half your potential buyers, if you sell, will freak out. Consider your own concern right now as an example.

[PerryChase]

Sure, for the right price, I’d buy. But I wouldn’t live in it.

[Cow_tipping]

In Charlotte North Carolina, builders can fool the FB’s with their marketing gimmicks. Once they buy, they’ll never be able to resell.
Less than 20% are under power lines. However they make up 80% of HUD and foreclosures.
To me there are many levels of power line houses.
Right under is worst, visible by the house is next, visible far away is next. I’d avoid all 3, but that last category may be what I’d give on … and my house currently … not even visible. Booya … look around … they are there.
Yea the Builder moron’s build their most $$$ ones under there. Winding walk by shea is a classic example. So is skybrook by various builders, and John weiland is building in sky brook with them visible close by. 500K house with view of power tower and lines.
Cool.
Cow_tipping.

[farbet]

Saturday, October 14, 2006
Stupid Is As Stupid Does in Carlsbad
Carlsbad
Population 2006: 93,000
Listing per population ratio 1:97
07/16: 1,020 listings
07/16: 431 (42.3%) reduced listings
10/13: 956 listings
10/13: 415 (43.4%) reduced listings
MOI: 13 months

Flipper 1 bought this 4,180 sqft, 5 bed/4.5 bath La Costa Oaks McMansion right next to the power-line from the builder 6 months prior for $999,500. Now taking a $59,500 loss after commission, it is now yours for a cool million dollar flat. The best part about this is you bring no money to the table as the bank is willing to spot you that cool million with a zero down, 100% financing. Yes, zero dollar out of pocket and here comes fine estate living in costal Carlsbad.

There must be a catch! Well, there is. At $1,000,000 flat, 100% financing at 6% is a cool $6,000/month. But the lender is Fremont Investment & Loan, a well known sub-prime lender. And the financing involved would be at jumbo loan rate. In all likelihood, stated income loans were also used. A 9% interest rate is not unheard of given the above circumstances. What’s $1 million at 9% mortgage rate? Try $8,000. Plus HOA/property tax/mello-roos, you’re looking at a carrying cost of $9,200/month.

And so 746x Circulo Sequoia is now ending up on foreclosure street with a notice of default filed 9/29/06. But this is where it gets interesting. The purchase date was 3/9/06. In general, the first mortgage payment comes due on 4/1/06. The bank at least would serve a 45 day ‘pre-notice of default’ warning to bring the account current prior to the actual NOD filing. 45 days prior to 9/29/06 would have been mid August, a mere 3 months after the 1st payment past due.

Could it be that our new owner on 746x Circulo Sequoia never intended to pay the steep $9,200 monthly payment? It’ll take another 4 months until the actual auction date. Assuming non-payment since the inception of the loan, we are looking at free 4,180 sqft estate living from March ’06 to January ’07. Who is truly the stupid one?

746x Circulo Sequoia is currently offered for sale at $1,135,000 to $1,150,000. Is Fremont Investment & Loan offering another zero down, 100% loans for $1.135 million?

There are currently 8 other McMansions for sale on Circulo Sequola, 3 are from the builder:

–7679 Circulo Sequoia at 4,337 sqft for $1.6 million.
–7695 Circulo Sequoia at 3,739 sqft for $998,900.
–7687 Circulo Sequoia at 3,739 sqft for $1.37 million.

5 others are from flippers, 2 of them are Realtors. These may not be involved in mortgage fraud, but how many of these are also zero down, 100% financed with option ARM, stated income loans? BTW, would it surprise you to know the San Diego County Association of Realtors is now running radio ads telling folks it is a great time to buy a home?

–7xx2 Circulo Sequoia at 4,337 sqft. Purchased for $1,072,500 in 9/05, asking for $1,279,000 since 9/28/06.
–7xx9 Circulo Sequoia at 4,337 sqft. Purchased for $1,383,500 in 2/06, asking for $1,600,000 – $1,849,876 since 8/28/06.
–7xx7 Circulo Sequoia at 3,739 sqft. Purchased for $1,008,500 in 4/06, asking for $1,149,900 since 8/13/06.
–75×2 Circulo Sequoia at 4,337 sqft. Purchase price unknown. Asking for $1,235,000 since 8/8/06.
–7xx3 Circulo Sequoia at 3,994 sqft. Purchase price unknown. Asking for $999,000 – $1,099,876 since 8/1/06.

Posted by ocrenter at 10:25 AM

Labels: 1st Payment Default, Carlsbad

21 comments:
Anonymous said…
love those high voltage lines in the backyard! wtf are californians thinking?

10/14/2006 11:44 AM
Carlsbad Jim said…
What is the agent who took the picture thinking?

Does he think that buyers don’t mind? I’d guess that he hasn’t had a showing.

10/14/2006 11:56 AM
ocrenter said…
Jim, you actually had this house listed in your “same house sale” page, #11. I get the feeling a great majority of zero down, 100% financed purchases in 2006 will all end badly for the lenders.

10/14/2006 12:46 PM
Anonymous said…
Hey, I’m looking forward to the “power line discount” and no neighbors staring into my back windows.

Please stop staring at the growth on the side of my head.

10/14/2006 1:31 PM
Lindismith said…
Loved the “growth on the side of my head comment”! Actually snorted from laughing so hard.

The situation above is the essence of the RE Bubble – greed, speculation and just plain stupidity.

This is really going to hurt us in CA.

10/14/2006 1:37 PM
Anonymous said…
Come on Lindi, don’t be so negative. Just based on averages there has to be SOMEONE stupid enough to buy it. Just think if you located that person, you could even get a referral bonus!
Josh

10/14/2006 5:31 PM
[email protected] said…
>we are looking at free 4,180 sqft estate
>living from March ’06 to January ’07

Let’s see, HV power lines, a 2-car garage with unimaginitive concrete landscaping… I think this bigass house is only “an estate” in probate court. Before it’s all over, and even though it’s a sin, somebody will be wishing someone was dead.

10/14/2006 7:15 PM
Anonymous said…
hmmmm……100% financing on a million dollar house…..foreclosure happening only months after sale….

why do i smell scam here? and if this was some how a scam….what would the scam be and who would be the victim? clearly someone is living in this house. prostitution ring?! Drug dealing?!

i am serious….what gives?

10/15/2006 12:09 AM
Anil Passi said…
Guys, its ain’t stupid…$1 mills is just the right price(UK Perspective here).

You will spend the same money to buy 3 bed apartment in city ( london,UK). If you guys in states think its bubble, then in UK we have mother of all bubbles… and guess what, this mother of all housing bubbles is still expanding in UK……..

10/15/2006 8:03 AM
TJM said…
This one is bad…but there are worse situations sitting on the market in the San Diego region.

13348 Shadetree Ct, 92131 (Scripps Ranch)
(Brookfield Homes)
Sold for $1.457M on 01-06-2006
Listed at $1.25M on 10-03-2006
(competing w/ spec houses listed for about a year…but relisted)

2125 Coast Ave, 92078 (San Marcos…bordering Carlsbad)
Sold for $937,500 on 06-01-2005
Relisted at $735,000 on 09-19-2006

There are many more…seen many homes selling for 20% off purchase price after adding cost of sales…buyer doesn’t want to fork out cash to leave and they are chasing the market down.

10/15/2006 2:01 PM
Anonymous said…
Common guys. High power lines are good. They slowly and constantly give radiation to your body. You can consider it as “preventive cancer therapy”.

I think there should even be premium for it.

10/15/2006 3:03 PM
Anonymous said…
I love Carlsbad … and it’s clear this is going to be one of the worse places hit in Cal. There is no big commerce (outside of Lego Land and the mall) to support these prices. It’s right in the middle of Irvine and the Gas Lamp Q.

This place is awesome, but it’s going to get hammered, and I’ll be there to purchase my plan B.

10/16/2006 6:54 AM
Anonymous said…
Legoland and the Mall are the only emplyers? Wow… That is some kind of dumb. The 2 you mentioned are not even one of the top employers: http://www.ci.carlsbad.ca.us/econdev/econ7.html

10/16/2006 3:51 PM
Anonymous said…
“Legoland and the Mall are the only emplyers?”

Hello … did I say that? NO!

You’re an idiot!

10/16/2006 5:14 PM
Anonymous said…
What you said was:

“There is no big commerce (outside of Lego Land and the mall)”

And that is clearly long. Legoland and the mall (which mall by the way) are not even the largest of the employers in Carlsbad.

10/16/2006 6:51 PM
Anonymous said…
I’ve been drinking 2nite…

long=wrong

10/16/2006 6:52 PM
Anonymous said…
I found this on Craig’s list….wow what a deal- NOT!

$4400 / 5br – New La Costa / Carlsbad Home with all the Bells and Whistles

Reply to: [email protected]
Date: 2006-10-16, 1:11PM PDT

This fabulous new light-filled home with an open floor plan is perfect for families and for entertaining. It’s Mediterranean Spanish style and quiet location in La Costa Oaks make it the perfect daily retreat. With beautiful mountain views of North County, minutes from, the beach, and over 4400 square feet of luxury and comfort, you can’t pass up this opportunity to live the high life in La Costa and Carlsbad.

Amenities include:
– Two stories with 5 bedrooms, 5 baths
– Dining room, Great Room, Family room
– Bonus room/Loft/TV Room
– Outdoor Loggia
– Large gourmet kitchen – High grade Stainless Steel appliances
– Upgraded Granite Countertops – and kitchen island
– Master bedroom with private balcony
– Large master bath with separate Jacuzzi tub and shower
– Large master walk-in closet
– Laundry room (front loading washer and dryer included)
– Three car garage
– Heated outdoor swimming pool and hot tub
– Outdoor BBQ area seated bar and fire pit
– Two fireplaces – one in each living room
– 5th bedroom can double as home office with private entry
– Surround sound speakers throughout home and pre-wired for backyard
– Complete Security System – Linked
– Picture-perfect front entrance with 6’ cascading fountain
– Full Access to the La Costa Oaks Clubhouse (within community)
– Minutes from the La Costa Resort

Rent is $4400 for a 1 year lease, or $4900 for a month-to-month arrangement.
Available November 1. Please contact Claire at [email protected] or (760) 402-8225 for more information and to see the property. Serious inquiries only please!

Circulo Sequoia at La Costa Ave google map yahoo map
this is in or around La Costa Carlsbad Encinitas
no — it’s NOT ok to contact this poster with services or other commercial interests

10/16/2006 11:38 PM
ocrenter said…
well, rent is 50% of the carrying cost. but you know the house is either in foreclosure or will be facing foreclosure soon enough.

10/17/2006 11:51 AM
Anonymous said…
Hi, about the house on Circulo Sequoia, I went and looked at that home 6 months ago! I cannot beleive it is still on MLS today,12-5-06! It was great until I heard a loud buzzing. The power lines are right up to the owner’s back yard! I did not see a pimps or any druglords living there, just a nice family with a very sickly family member. Lots of medical equpt.all over the place.

12/05/2006 7:56 PM
Anonymous said…
Hi, about the house on Circulo Sequoia, I went and looked at that home 6 months ago! I cannot beleive it is still on MLS today,12-5-06! It was great until I heard a loud buzzing. The power lines are right up to the owner’s back yard! I did not see a pimps or any druglords living there, just a nice family with a very sickly family member. Lots of medical equpt.all over the place.

12/05/2006 7:56 PM
Anonymous said…
7467 is an REO. The one with the High Voltage. 7471 has a sold sign which came off. A greater fool bought it??
There are other homes on the market
3567 Calle Palmito and 3571 calle Palmito as well as a few more in the neighborhood.
What is going on?Sure would like to know

2/13/2007 9:14 AM
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[hipmatt]

I wouldn’t buy a house next to anything or nothing, right now.

[E2]

This sort of goes along with my question in the thread “Eureka Springs in Escondido”. I love the home, but Dixon Dam is right above it practically. You can see it from the back yard. This would hurt the resale value right?

[gold_dredger_phd]

They should turn all of the houses near the power lines into Section 8 housing.

Children of low income parents can go to good schools and this would help the social engineers have “mixed income” neighborhoods.

[PerryChase]

… their brains will be fried from living under the power lines. So much for a good education.

Yeah, put the poor folks under the power lines, on the super fund sites and by the train tracks. Of course, the churches get the hill top sites, and no property taxes. What’s new? That’s the way it’s always been.

[Author]

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