Address: 193 Lockford, Irvine, CA 92602 (Northpark)

Plan: Plan D – 1550 sq ft – 3/2

MLS: F100045 DOM: 263

Sale History: 1/14/2005: $589,000

Price Reduced: 09/26/06 — $679,950 to $619,000

Current Price: $619,000

This condo was purchased in early 2005 and was then listed for sale a year later on 1/12/2006 for the sky high price of $679,950! After around 250 days on the market, the sellers dropped the price by $60,000! It sure seems like they are motivated. What’s strange is that I couldn’t find any pictures of this property in MLS so I grabbed one from the prior listing. They might get a little more interest if they had some pics of their property on MLS. As it stands right now, they will lose about $7,000 if they get the current asking price and pay about 6% in commissions. However, it could get real ugly real quick.

Address: 109 Lattice, Irvine, CA 92603 (Quail Hill)
Plan: 2500 sq ft – 4/2.5
MLS: L20940 DOM: 70
Sale History: 06/20/2006: $1,425,000
06/14/2005: $1,249,000
Current Price: $1,499,000

Here we’ve got a SFR in the Olivos tract in the village of Quail Hill. The Olivos tract had some pretty nice floor plans that made good use of the space. Back in 2003 (maybe) when they started building these, I believe they were in the $800s. It looks like this particular home was built in 2005. The first buyer flipped it in about a year and made some easy money. The new buyer listed the home only 1 month after being purchased this summer. You know EXACTLY what this person was thinking. ‘I’ll buy this home, relist it, and make a ZILLION dollars!’ Pure Genius, Pure Greed, or Pure Stupidity?

Unfortunately for the new flipper, it doesn’t look like they will be making any money. They can only hope their losses will be limited. With 6% in commissions, this flipper will be out at least $16,000! The description in the listing (“SELLER OUT OF AREA AND WANTS PROPERTY SOLD NOW!!!“) screams desperation. When this property finally sells, the total loss this flipper will face will be huge given the carrying costs of having a $1M+ mortgage on a vacant home for several months. Anyone care to do the math?

Address: 129 Islington, Irvine, CA 92620 (Northwood)

Plan: 1250 sq ft – 2/2

MLS: P513933 DOM: 131

Sale History: 07/11/2005: $555,000

Current Price: $575,000

This property in the Greystone Villas tract sold in only 4 DAYS last year. Now the same property has been on the market for over 4 MONTHS!! Perhaps a reduction in price would help make the sale? It appears the property is tenant occupied. So could it be that the owner isn’t bleeding money every month and is just hoping to get out of the market without any serious damage?

*IF* the property sells for the asking price, the owner is still looking at a loss of $14,500 (assuming 6% in commissions). OUCH! That’s serious enough for me!