Address: 25 Rainbow Falls, Irvine, CA 92603 (Turtle Rock)

Plan: 1572 sq ft – 3/2

MLS: S472630 DOM: 101

Sale History: 5/20/2005: $725,000

1/8/2003: $490,000

Price Reduced: 03/13/07 — $798,000 to $789,000

Price Reduced: 03/14/07 — $789,000 to $778,000

Price Reduced: 03/22/07 — $778,000 to $760,000

Current Price: $760,000

It looks like this is the first property in the village of Turtle Rock to be featured on our blog. Turtle Rock is the original hilly village of Irvine and in the future, we may do a Community Profile on it. This Plan E in the Glen Garden Homes tract was purchased in May of 2005 and then listed on the market early this year for $798k. After a month and a half, the seller started reducing the price. 3 reductions later brings us to the current asking price of $760,000.

If sold at the current asking price and assuming 6% in selling costs, the owner will lose about $10,000. When this home was listed on 1/22/07, there were about 900 properties for sale in Irvine; now there are close to 1200!

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There is only one other property that I see for sale in this tract:

• 12 Cool Brook (MLS #P572667) – 3bd/2ba 1628 sq ft – $629,000

Here’s the description for 12 Cool Brook: “Want a ‘Hot Deal’? This is it! This is a Turtle Rock estate sale that has been a rental. Seller priced it $120,000 below our competition for a fast sale. Most buyers will want to update paint, carpet, and flooring. The low price and unbeatable location far outweighs the need for TLC. Cul-de-sac location, backing to a greenbelt hillside. Move fast, going going gone.”

And the private remarks for 12 Cool Brook: “Seller will provide a termite clearance, otherwise the home is being sold as-is. Seller has not lived in the property and acquired the property by inheritance.”

Sure enough, it was priced well and the status in MLS is now ‘Accepting Backup Offers’. 12 Cool Brook has been on the market for 15 days (compare that to the 101 DOM for 25 Rainbow Falls).

As some of you may know, I’m a big fan of the Turtle Rock area. Did anyone have a chance to check out 12 Cool Brook? Once this property closes escrow, I imagine it’ll be harder for 25 Rainbow Falls to sell at the $760k price.

Address: 26 Perennial, Irvine, CA 92603 (Quail Hill)
Plan: 1174 sq ft – 2/2
MLS: R65314 DOM: 138
Sale History: 7/6/2005: $532,000
6/26/2003: $312,500
Price Reduced: 06/20/06 — $648,000 to $599,000
Price Reduced: 07/26/06 — $599,000 to $579,000
Price Reduced: 08/21/06 — $579,000 to $575,000
Price Reduced: 09/01/06 — $575,000 to $570,000
Price Reduced: 09/18/06 — $570,000 to $565,000
Price Reduced: 09/22/06 — $565,000 to $559,000
Current Price: $550,000

This Plan 3 in the Jasmine tract built by Shea Homes in 2003 is in the village of Quail Hill. In the spirit of saving money and being an efficient builder, this tract was reincarnated in Turtle Ridge as Ashton Green. This condo was purchased on 7/6/2005 and then put back on the market less than a year later on 5/26/2006. The greed is clearly evident when you realize that this flipper expected a $116,000 profit! They quickly wised up and started reducing the price. I think they may have reduced the price so many times that ZipRealty currently doesn’t even display the most recent price reduction.

If they obtain their current asking price and we assume 6% in selling costs, this seller will lose $15,000.

UPDATE #1 – October 19th, 2006

This greedy pig actually raised the price $50k yesterday as evidenced by ZipRealty:

Price Increased: 10/18/06 — $550,000 to $599,000
Current Price: $599,000

You’ve got to wonder what’s going through this seller’s mind as they keep messing with the price. LOL, Perhaps they were getting too much interest at a price of $550k? This hog will get slaughtered.

UPDATE #2 – November 4th, 2006

The last price increase lasted only two days and then the listing was taken Off Market on 10/20/2006. I’ll post another update when/if it gets listed again.

UPDATE #3 – April 21st, 2007

Well, this one is back on the market with MLS #: S474139

Price Reduced: 03/07/07 — $595,000 to $575,000
Price Reduced: 03/27/07 — $575,000 to $549,500
Current Price: $549,500

The $550k price didn’t work 6 months ago but since the market is hot now, I’m sure this home will just fly off the market now 😉

Originally posted January 29, 2007

Address: 2363 Watermarke Place, Irvine, CA 92612 (Jamboree/Campus)
Plan: 635 sq ft – 1/1
MLS: P555645 DOM: 14
Sale History: 3/14/2006: $417,000
2005?: $342,000?
Price Reduced: 01/22/07 — $439,000 to $420,000
Current Price: $420,000

This flip is located in the Watermarke condo complex located near Campus and Jamboree (right behind The Plaza Irvine high rises). The 535 units of Watermarke were built by the Sares Regis Group from 2003-2005. It was originally supposed to be a luxury apartment complex (where it would be competing with Toscana and Villa Siena/Park Place). Halfway through they decided to do a condo conversion, PISSED off some people, and started selling the units instead of leasing them out.

There are several plans and the 635 sq ft Plan A is the smallest. I believe this plan started at around $300,000 back in late 2004/early 2005. I’m not 100% sure but from the property tax records, it seems this unit was originally purchased for about $342k. It was then flipped for a quick profit to the current owner who won’t be as lucky.

The current owner purchased in March 2006 for $417,000 with a 100% financed loan. Yeah, we’ve seen this before. But by a Real Estate Broker? WTF?! There’s no way this flipper can claim ignorance. This broker knew what they were getting into with 100% financing. Why did they decide to do it? My guess is GREED! Any other opinions?

I’m not sure if they occupied it for 6 months or not but in September 2006 they rented it out (MLS S457444) for $1850/month (furnished it seems). They listed it for sale on 1/14/2007 for $439,000 and then dropped the price to $420,000 a week later. If sold at $420,000 (and assuming 3% in selling costs – they are a BROKER afterall), they are facing a loss of $9600! That doesn’t take into account the money they are losing each month.

Also there’s probably more money to be lost in closing costs because the private remarks state: “Tenant has a lease through September 07 $1,850/month- willing to vacate with 30 days notice. Shows great! Plasma TV, washer, dryer, fridge, and some furniture negotiable. SHOWS GREAT! Possible credit to buyer for closing costs. Thank you. Seller is licensed real estate broker.”

Will they be able to sell it? It’ll be tough considering the other Plan A’s listed on MLS are ALL cheaper:

• 2314 Watermarke Place – Plan A – $379,000
• 3237 Watermarke Place – Plan A – $382,000
• 3337 Watermarke Place – Plan A – $384,500
• 3216 Watermarke Place – Plan A – $389,000
• 3319 Watermarke Place – Plan A – $389,900
• 2235 Watermarke Place – Plan A – $399,999

UPDATE #1 – April 19, 2007

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Thanks to dayday in the forums, I’ve come to learn the price here has dropped quite a bit. The MLS # is now U7000785 and this latest listing has been on the market for 59 days.

Price Reduced: 03/13/07 — $429,000 to $409,000
Price Reduced: 04/12/07 — $409,000 to $360,000
Current Price: $360,000

If sold at the current asking price and assuming 3% in selling costs, this investor is looking at a loss of about $68,000!

Here’s what the other Plan A’s are at now:

• 2314 Watermarke Place – Plan A – $369,000
• 2235 Watermarke Place – Plan A – $399,999
• 3267 Watermarke Place – Plan A – $409,000
• 3237 Watermarke Place – Plan A – Sold for $367,500 on 3/28/2007
• 3337 Watermarke Place – Plan A – Rented for $1,600 on 4/1/2007
• 3216 Watermarke Place – Plan A – Expired
• 3319 Watermarke Place – Plan A – Expired

Address: 50 Fillmore, Irvine, CA 92620 (Northwood)

Plan: 1538 sq ft – 3/2

MLS: S481925 DOM: 11

Sale History: 8/19/2005: $680,000

8/20/1993: $260,000

Current Price: $719,000

This Plan 1 home in the Courtside tract in the village of Northwood was purchased by investors in August 2005 for $680,000 with what looks to be about 50% down. Perhaps it was a 1031 exchange?

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Anyways, it’s currently occupied by tenants and the description says ‘Taking Backup…. and Sold as is‘. The private remarks state ‘Some TLC needed‘. Just a few days on the market and they’ve already got an offer? That’s surprising.. Assuming 6% in selling costs, the investors will lose about $3k if they get their asking price. No big deal..

I only found a couple sales for this floorplan:

• 7 Buchanan sold for $670,000 on 1/26/2006

• 2 Shelby sold for $690,000 on 9/26/2006

2 Shelby closed not that long ago after sitting on the market for 123 days. After taking a look at the old listing for 2 Shelby I noticed that it had a few things done to make it easier to sell (new roll up garage door, new exterior paint, etc.). If the decent condition house at 2 Shelby took 123 days to sell at a price of $690,000, when and at what price do you think the In Need of TLC house at 50 Fillmore will sell?