And every Saturday we work in the yard
Pick up the dog do
Hope that it’s hard (whaf whaf)
Take out the garbage and clean out the garage
My friend’s got a Chrysler
I’ve got a Dodge
We’re just ordinary average guys
Ordinary average guys
Ordinary Guys — Joe Walsh
Today’s featured property is extraordinary in its ordinariness. Another home in Irvine selling for a loss. This is no longer the exception, it is the rule.
Is that Joe Walsh’s ordinary car in the driveway?
Asking Price: $620,000
Income Requirement: $155,000
Downpayment Needed: $124,000
Purchase Price: $685,000
Purchase Date: 10/21/2005
Address: 9 Oakdale, Irvine, CA 92604
Beds: 3
Baths: 2
Sq. Ft.: 1,440
$/Sq. Ft.: $431
Lot Size: 4,800 sq. ft.
Type: Single Family Residence
Style: Contemporary
Year Built: 1977
Stories: One Level
Area: Woodbridge
County: Orange
MLS#: P604325
Status: Active
On Redfin: 29 days
From Redfin, “Beautiful 3 bedroom 2 full baths, 1440 Sq Ft, single story home in highly desireable Woodbridge area. Very Quiet, Inner loop location. Remodeled kitchen with newer appliances. Newer concrete tile roof. Very convenient location for shopping, entertainment and excellent schools. Very private back yard with a covered patio. Great woodbridge association ammenities with low HOA Dues ($69.00) and NO MELLO ROOS. PRICE REDUCED TO SELL! Not a short sale.”
Can you find the misspelled word? No description on the MLS is complete without one.
.
.
Today’s seller stands to lose $102,200 after a 6% commission, if they get their asking price. An ordinary house and an ordinary seller taking what has become an ordinary $100K+ loss.
ammenities = amenities (or possibly sea anemones)
desireable = desirable
—–
I checked out this house on Redfin; I was excited because finally there was a house in Woodbridge I could afford under conservative financing guidelines (and no, I ain’t buying till at least 2010). But guess what? The house does most certainly NOT have an “inner loop location”. I am shocked, shocked that a Realtor could either:
a) be stupid
b) lie
c) both a) and b)
what do you think? I’m going with c).
Small house, small lot, non-existant side yards. Is that the neighbors house sitting right next to the patio?
I would not touch this place but I give it a value of 350k.
WTF, who would pay $620K for a 1400 sq ft house in this market? This property will be down to around $550K by next spring.
You have to wonder how a realtor could make an honest mistake in this instance. Did they never go there? You would think that someone who has been to the property would know it is not inside the loop.
That makes me tend to think it is “b” above. They knowingly lied to get someone interested in the property. This implies intelligence and forethought. Of course, you could argue this is stupid as any potential buyer would see that it is not inside the loop and be angry about the deception.
In addition, the layout of the floorplan on this model is particularly bad. Bedrooms are not well insulated from the sound of the main living room, and the kitchen is small. The 1,440 sq. ft. model has typically sold for less on a $/sq. ft. basis than the 1,538 sq. ft. model in that same Creekside tract due to this fact.
This same model was recently listed at $575,000 on Fallbrook Street (6 Fallbrook I think), and it did go into backup offers at that asking price (I’m not sure what it sold at; escrow may not have closed yet). In fairness to Oakdale, the comp home on Fallbrook is not really comparable. Fallbrook backs to Jeffrey, was in so-so shape, and is on a much less desirable street. That said, $620,000 is probably a bit high. If you moved the price to $599,999 you’d probably sell it quickly. But I’m sure they have a “Realtor ™” to give them much better advice than someone who works at a restaurant chain.
“Hey, park your import convertible in the driveway for this next shot…, it will give the driveway cachet. What? No, I’d leave the commemorative plate collection hanging up there, because otherwise we’ll have to cover up the nail holes. We’re going to list this place at 6 Bills, and you know what, I think we’re gonna get it!”
Wrong.
Pardon my ignorance, but what is an “inner loop” location?
If the prorperty lies inside Yale Loop. Local Woodbridge people call in “Inside the loop”.
You’re wrong! This should have been priced at $800K+, and it would still be reasonable to buy and flip it. You’re obviously not destined to become a “real estate mogul”.
As for me, I just follow this strategy to increase my holdings for 2007 and beyond!
looks like a dumpy old fountain valley home. I think this epitomizes the bubble. 620k is a super duper wtf price.
Good one Max.
I wonder if that is how some of these flippers are passing their time.
Ya, ‘inside the Loop’. I live inside the loop, so that makes me cool. Local Woodbridge People = cool people. LWP for short.
Priced to sell what? At $620,000 this is a joke. Maybe not as big as 2004, 2005 or 2006 prices, but a joke none the less. At sub-$400,000 this is a possibility. Until then, it’s gonna sit.
Why don’t you submit an offer for 350k? Until they accept 350k you’re a lunatic to think that that is it’s value.
Nice trick by the realtor to sex up the place including the photo of the convertible Benz in the driveway. Screams pathetic!
Are there really no fences?
Is the sales commission still 6%? I would have assumed in this market realtors would accept much lesser..
Perhaps “lunatic” might be a bit strong.
Frankly, I think $350k is high. Maybe I’ll find a reason to support a higher price under the theory that everyone in Irvine makes seven figures and they’re not making land anymore.
Maybe not.
In August of this year, my SoCal realtor asked 4% if he sold his listing and 5% if another agent sold his listing. This was his standard deal, and it took no coaxing.
He said this was the worst year he had had in 25 years in the business as we moved through 4 price reductions and 8 months on the market to sell.
Oops somebody grabbing my name again.
I don’t get it — i looked on the map for 9 oakdale: yale makes a big loop, there are streets on either side in this location and they are both far from the lakes. so what if you are on side of yale or the other when you are so far from the lake.
this classification reminds me of the Borat movie: I-have-clock-radio-and-my-neighbor-doesn’t sort of distinction. or how about my Hyundai has CD player and yours just has AM/FM radio.
IR and Graph,
Thanks for another great week of posts! Can’t live without the IHB and my morning espresso.
I can’t help but think that if buyers had calculated the down payment and income requirement numbers numbers based on traditional lending practices (like IR does for us daily) that this bubble wouldn’t have gotten so divorced from reality.
I need to put down 125k and earn approx 155k a year in order to buy a basic starter home? This is insanity. Someone taking home 80kyear should be able to purchase a starter home in OC. That means this house should sell for 300k.
Now if we can get all prospective buyers to run the down payment required and annual income requirement numbers before they consider purchasing then maybe we will get to sane home prices.
get a life
I owned this model (Aspen) several years ago- in fact, right around the corner from this one. The floor plan sucks- it is really a 2 bed/ den, as one of the bedrooms opens directly onto the living room. You also have to walk thru the master bath to get to the master bedroom. The garage is “attached” but does not have direct access to the house. And- it is a zero lot line neighborhood.
We bought it in 2001 for $355K. We sold it in 2004 for $660K. In fact, we sold it the first day it was listed and the buyers didn’t even see the entire house before they wrote the offer. I am thankful every day that we got out. I continued to watch the sales on this floorplan thru 2005. I think the highest sale for this model was $700K
I wouldn’t buy this model again at any price.
Furious sugar: thank you for the feedback on the floor plan.
If it was better designed, I’ve have liked this house for the 2 car garage + full drive way, single story, no stairs for my grandmother to trip over.
The backyard is more like the size of a side yard, but big enough for some furniture, BBQ, and a dog.
How can you have a dog if there is no fence? Is there a fence or is that the neighbor’s house in the photo?
lawyerliz,
I don’t like to censure blog posts, but this person who keeps taking your name and making comments that do not add to the discussion is starting to annoy me. You are a valued member of this community, and if this phenomenon continues, I am going to start deleting the offending posts.
Only if the dog is blind I think.
First deleted comment…
Actually, I am surprised we don’t get more bitter homedebtors trolling the blog.
IrvineRenter! You must be very proud of your accomplishments.
I am very proud of you for making a post that is not negative and does not denigrate lawyerliz. I will not delete your posts if you have something to contribute. I like an open discussion, and I don’t care if you are politically correct, but I don’t like harassment, and I don’t tolerate name calling.
I suppose I can understand how many who got caught up in the frenzy are under a lot of stress these days and feel the need to lash out at us bears. I was being encouraged to buy back in 2004. I’m pretty sure that if I did that I would not be a happy camper right now. Its too bad that so many people’s lives are being turned upside down as a result this crazy housingmortgage bubble. But the reality is if an average household income isn’t enough for a starter home then a correction is neccessary. Hopefully the people who are suffering the consequences of the correction can recover and become homeowners again but next time on a stable financial basis.
Anyone who pays more than $200k for this shit shack is BEYOND STUPID.
I say $175k by June 2011.
Remember that graph showing all those resets (Subprime AND Alt-A) that stretch through 2014 ? Nuff said.
What I don’t understand is why they picked on me.
I’m in Florida, not California. Maybe they are from Florida too, and are annoyed with me.
Anyway, thanks Irvine Renter.
The hub is watching Larry King about whether UFOs are real. Boy, that would get my mind off the stock mkt and the mtg mess. The hub opined that if we do have a depression it will give Bush and the Bushies someone else to blame it on, to wit:
witless evil brokers and realtors. (Note I said witless, evil, not all of same.)
Really good article about the U.S. housing slump and economy as a whole on BBC:
http://news.bbc.co.uk/2/hi/business/7078492.stm
The graph at the very end is scary!!!
The lawerliz impersonator reminds me of why we all choose to remain anonymous, and even turned down an interview by the OC Register earlier in the year since they required us to give our real names. There are some very unhappy people out there, more and more each day, who are not handling the credit crash in a rational manner. Scary.
Can you imagine that someone actually paid $685K for this place? These people shouldn’t have been given a financial statement to fill out during the loan process, they should have been given a brain scan! Obviously they were missing a few marbles!
Great post.
All I can think about is that the seller is such a sucker and whom ever would buy it now would be even worse off.
I don’t see anyone buying it at that price at all especially when the bubble will continue to burst and unfold.
I’m actually gleeful that the housing bubble is bursting..I’m even thinking of some ETF’s like SDS and QID that bet against the market.
“I’m actually gleeful that the housing bubble is bursting..I’m even thinking of some ETF’s like SDS and QID that bet against the market.
”
Dont forget the ETF that’s shorts real estate, SRS (Ultra Short RealEstate ProShares). This one alone will get me retired sooner, rather than later…
And get ready for the DOW and Nascrak to fall apart…
Got your shorts, and puts ready?
http://www.bloomberg.com/apps/news?pid=20601087&sid=ahZh1lKYXD8w&refer=home
“NYSE Eliminates Trading Curbs Dating Back to 1987 (Update1)
By Edgar Ortega
”
Have a nice day.
“2007-11-09 21:12:32
The lawerliz impersonator reminds me of why we all choose to remain anonymous, and even turned down an interview by the OC Register earlier in the year since they required us to give our real names. There are some very unhappy people out there, more and more each day, who are not handling the credit crash in a rational manner. Scary.
”
Irvinemom, I hear ya, I would hope for my neighbors to be fat and sassy, and living on kredit, rather than being broke, no more credit, and pissed off…
Scary is RIGHT.
Anyone notice the rise in agressive drivers on the 5 Freeway lately?
Reminds me now of a few lines from another J. Walsh song:
“I have a mansion, forget the price,
ain’t never been there, they tell me it’s nice.
Lucky I’m sane after all I’ve been through
(Everybody say “I’m cool”……”He’s cool”)
I can’t complain but sometimes I still do
Life’s been good to me so far
….
It’s tough to handle this fortune and fame
Everybody’s so different, I haven’t changed”
-Slugster
very interesting, but I don’t agree with you
Idetrorce