Today's REO property in Mission Viejo provides anecdotal evidence that loans made last year are already beginning to blow up and add to the foreclosure inventory in South Orange County.
You'll also love the backyard...
25421 Adriana St, 92691
Asking price: $500,000
Asking price/ sq ft: $194
Income requirement: $125,000
FB purchase price: $865,000
FB purchase date: 5/29/08
Size: 5 beds, 3 baths, 2,72 sq ft (built in 1967)
MLS: P642596 (2 days on Redfin)
Zillow Zestimate: $714,500
2007 property tax: $6,446
Type: Single Family Residence
Style: Contemporary
Stories: 2 Levels
Lot size: 7,540 sq ft
From listing: 4 bedroom 3 bath home. Large backyard with pool. Lots of upgrades although the property does need some upgrades. 2 car attached garage. Living room with fireplace. PLEASE NO FHA offers. See agent remarks
View Larger Map
So the property is upgraded but needs more upgrades. Is that code for "it was nicer before but now it's trashed"?
The previous owner paid $865,000 in April 2007 using 100% financing. The property was already in default by December, and it went back to the bank at auction in May.
Who wouldn't want to take a dip in the backyard pool? Gross.
Assuming the bank finds a buyer willing to take the property for the asking price, it would mean a depreciation of $365,000 or 42% in a little more than one year as the property devolved into a vacant fixer-upper! Never mind the fact that the kitchen had been recently remodeled...
No arguing the property is in a sad state right now. It's even more disheartening when you consider what it looked like right before its previous sale last April, when it was occupied by a family who took care of its home.
These photos are from the 2007 MLS listing....
And here's what we see now on the current listing...
Interestingly, the previous owners who sold in 2007 listed the home at $750,876 but were able to sell for $114,124 more than their asking price.
Thursday, June 19, 2008
Jump on in...water's fine!
Subscribe to:
Post Comments (Atom)
7 comments:
It's hard to believe that as late as 2007 there was a foolish buyer willing to pay 865k for this home.
It's not interesting that they sold for more than asking, it's criminal. I'd trace the bank accounts and the mortgage app to see just how much fraud was in place to turn a $700k listing into an $800k closing. The buyer and the seller likely split the cash difference - perhaps with a few samolians thrown to the REALTARD and the Appraiser who structured the deal. In 2007 no one was over bidding on homes. This stinks to high heaven and should be investigated.
One Ashamed Mortgage Guy.
no FHA offers? sheesh, they can be picky in this market? oh yeah, there are lots of potential buyers ready to sink a $100K down payment into this property.
I had also assumed there was something fishy going on. For what it's worth, the last names of the buyer and sellers are different - so there wasn't anything tangible that you could say was suspicious other than the sales price.
Obviously this does not provide any sort of concluding evidence either way, unfortunately. As John W said you'd have to go to the actual documents.
FHA contracts require the seller to fix defects before closing. No FHA implies it is going to cost a significant amount for this property to pass an inspection.
This probably was a fraudulent transaction. The kitchen is still intact but I'd be curious if any fixtures were torn out and sold by the straw buyer or their backers.
The extra money over asking would make for a healthy payoff for the straw buyer. This is clearly a criminal fraud transaction.
Maybe Im a moron, but couldnt you flip this pretty easily and make a pretty good chunk of change? Cleaning the pool and a couple of other fixers? Am I way off here?
Post a Comment