[ocrenter]

each parcel at $300k, with mello roos at $6000 per year. holding cost for each parcel is $9000 on taxes and $22,000 on mortgage per year, or $31000 if they wish to hold the land and not build.

they do have the option of simply build and sell with their bottom line being low to mid $500k per home.

the ones that are facing foreclosure or already in foreclosure will just stop building, try to get rid of existing homes thru fire sales (but remember, they will NEVER advertise how much lower they are willing to go down because they don’t want to anger the phase 1 owner that paid $900k).

meanwhile, the ones that have the capital will simply finish out their lots just to break even because even that is better than holding cost of $31k a pop for who knows how many years.

[ocrenter]

each parcel at $300k, with mello roos at $6000 per year. holding cost for each parcel is $9000 on taxes and $22,000 on mortgage per year, or $31000 if they wish to hold the land and not build.

they do have the option of simply build and sell with their bottom line being low to mid $500k per home.

the ones that are facing foreclosure or already in foreclosure will just stop building, try to get rid of existing homes thru fire sales (but remember, they will NEVER advertise how much lower they are willing to go down because they don’t want to anger the phase 1 owner that paid $900k).

meanwhile, the ones that have the capital will simply finish out their lots just to break even because even that is better than holding cost of $31k a pop for who knows how many years.

[ocrenter]

pardee in carmel valley is very different compared to fieldstone in 4s ranch. as far as pardee, I don’t believe they are in distress. but fieldstone is very much in distress.

at 550k you’re only asking for a 16% reduction from the asking price. each lot was purchased for around 300k, these are pretty cheap tract homes, so say $75/sqft at 3300 sqft, that’s 250k in construction cost. fieldstone would break even and get some much needed cash if they find a buyer for $550k.

[ocrenter]

pardee in carmel valley is very different compared to fieldstone in 4s ranch. as far as pardee, I don’t believe they are in distress. but fieldstone is very much in distress.

at 550k you’re only asking for a 16% reduction from the asking price. each lot was purchased for around 300k, these are pretty cheap tract homes, so say $75/sqft at 3300 sqft, that’s 250k in construction cost. fieldstone would break even and get some much needed cash if they find a buyer for $550k.

[ocrenter]

pardee in carmel valley is very different compared to fieldstone in 4s ranch. as far as pardee, I don’t believe they are in distress. but fieldstone is very much in distress.

at 550k you’re only asking for a 16% reduction from the asking price. each lot was purchased for around 300k, these are pretty cheap tract homes, so say $75/sqft at 3300 sqft, that’s 250k in construction cost. fieldstone would break even and get some much needed cash if they find a buyer for $550k.

[ocrenter]

pardee in carmel valley is very different compared to fieldstone in 4s ranch. as far as pardee, I don’t believe they are in distress. but fieldstone is very much in distress.

at 550k you’re only asking for a 16% reduction from the asking price. each lot was purchased for around 300k, these are pretty cheap tract homes, so say $75/sqft at 3300 sqft, that’s 250k in construction cost. fieldstone would break even and get some much needed cash if they find a buyer for $550k.

[ocrenter]

pardee in carmel valley is very different compared to fieldstone in 4s ranch. as far as pardee, I don’t believe they are in distress. but fieldstone is very much in distress.

at 550k you’re only asking for a 16% reduction from the asking price. each lot was purchased for around 300k, these are pretty cheap tract homes, so say $75/sqft at 3300 sqft, that’s 250k in construction cost. fieldstone would break even and get some much needed cash if they find a buyer for $550k.

[ocrenter]

“I stopped by the sales office today – they actually increased the prices to $688,990-$729,990 with $30K incentive for the final release. I guess nothing is impossible, but getting that down to low-mid 500’s sounds like quite a task.”

$690k with 30k incentive, that is only $110k away from $550k. that seem like a perfectly fine spread. you put in that offer for $520k, the builder comes back with a counter for $580k, you counter that counter with $530k. builder thinks it over and says yes.

very much in the realm of realistic negotiation with a builder in default and desperate to get some cash money to say afloat.

now you walk in with a realtor, let’s just call him or her fuzzywuzzybroker, and the builder thinks oh darn, got to pay that 3%, best deal you’ll get is $545k.

[ocrenter]

“I stopped by the sales office today – they actually increased the prices to $688,990-$729,990 with $30K incentive for the final release. I guess nothing is impossible, but getting that down to low-mid 500’s sounds like quite a task.”

$690k with 30k incentive, that is only $110k away from $550k. that seem like a perfectly fine spread. you put in that offer for $520k, the builder comes back with a counter for $580k, you counter that counter with $530k. builder thinks it over and says yes.

very much in the realm of realistic negotiation with a builder in default and desperate to get some cash money to say afloat.

now you walk in with a realtor, let’s just call him or her fuzzywuzzybroker, and the builder thinks oh darn, got to pay that 3%, best deal you’ll get is $545k.

[ocrenter]

“I stopped by the sales office today – they actually increased the prices to $688,990-$729,990 with $30K incentive for the final release. I guess nothing is impossible, but getting that down to low-mid 500’s sounds like quite a task.”

$690k with 30k incentive, that is only $110k away from $550k. that seem like a perfectly fine spread. you put in that offer for $520k, the builder comes back with a counter for $580k, you counter that counter with $530k. builder thinks it over and says yes.

very much in the realm of realistic negotiation with a builder in default and desperate to get some cash money to say afloat.

now you walk in with a realtor, let’s just call him or her fuzzywuzzybroker, and the builder thinks oh darn, got to pay that 3%, best deal you’ll get is $545k.

[ocrenter]

“I stopped by the sales office today – they actually increased the prices to $688,990-$729,990 with $30K incentive for the final release. I guess nothing is impossible, but getting that down to low-mid 500’s sounds like quite a task.”

$690k with 30k incentive, that is only $110k away from $550k. that seem like a perfectly fine spread. you put in that offer for $520k, the builder comes back with a counter for $580k, you counter that counter with $530k. builder thinks it over and says yes.

very much in the realm of realistic negotiation with a builder in default and desperate to get some cash money to say afloat.

now you walk in with a realtor, let’s just call him or her fuzzywuzzybroker, and the builder thinks oh darn, got to pay that 3%, best deal you’ll get is $545k.

[ocrenter]

“I stopped by the sales office today – they actually increased the prices to $688,990-$729,990 with $30K incentive for the final release. I guess nothing is impossible, but getting that down to low-mid 500’s sounds like quite a task.”

$690k with 30k incentive, that is only $110k away from $550k. that seem like a perfectly fine spread. you put in that offer for $520k, the builder comes back with a counter for $580k, you counter that counter with $530k. builder thinks it over and says yes.

very much in the realm of realistic negotiation with a builder in default and desperate to get some cash money to say afloat.

now you walk in with a realtor, let’s just call him or her fuzzywuzzybroker, and the builder thinks oh darn, got to pay that 3%, best deal you’ll get is $545k.

[ocrenter]

must be a newbie, this is a tough crowd here to make a buck off.

[ocrenter]

must be a newbie, this is a tough crowd here to make a buck off.

[ocrenter]

must be a newbie, this is a tough crowd here to make a buck off.

[Author]

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