Now I Am Really Flummoxed!
Atrios sends us to Irvine Housing Blog:
Irvine Housing Blog » Blog Archive » Stillwater:
Asking Price: $1,300,000
Income Requirement: $260,000
Downpayment Needed: $325,000
Purchase Price: $2,500,000
Purchase Date: 1/23/2007Address: 26 Stillwater, Newport Coast, CA 92657
Beds: 4 Baths: 3.5 Sq. Ft.: 2,000 $/Sq. Ft.: $650 Lot Size: - Type: Single Family Residence Style: Other Year Built: 2005 Stories: Two Levels View(s): Valley, Has View Area: Newport Coast County: Orange MLS#: M107854 Status: Active Redfin: 128 days Unsold in 90+ days
From Redfin, “Beautiful Newport home. Jack & Jill bed & bath detached Casita could be office or guest quarters. Short sale subject to bank approval.”
I thought the high end was immune? This isn’t supposed to happen in Newport Coast. This is a 48% loss in less than one year! The 2007 transaction looks suspiciously like fraud, but it could just be a really stupid flipper. Based on available information, the purchase seems legitimate. In either case, this house is listed at nearly 1/2 off its sale price from just one year ago. Apparently it was listed for a time at $1.8M and wasn’t selling, so the price was dropped all the way to $1.3. Check out this listing where they were trying to get $2,112,308. If you think this is a one-off, check out this listing for 10 San Sovino with its $550,000 reduction. (Thank you, SOC.)
This will be a new record: the total loss assuming a 6% commission will be (drumroll please) $1,278,000. Some party is going to absorb a HUGE loss. Does that satisfy your schadenfreude fix for the day?
