Wednesday, June 4, 2008

I Love My Readers

Since being linked to Calculated Risk and Dr. Housing Bubble, I've received a considerable amount of new readership. I love it, I crave it, and I couldn't be happier about it. Knowing I have a readership, no matter how small, keeps me motivated.

Faithful reader gm (by the way, I love all of my readers--whether they provide a handle or are anonymous) left this in the comments section of the Happy (Almost) One Year Anniversary! post:

How about this new listing. Btw, love your blog. [Editor's Note: Flattery will get you everywhere] This is a comp killer in LB if I've ever seen one. Been watching for a while now (sorta have to wonder if this lister is looking for a bidding war too), but without further ado - -

I think it still has a way to go to hit the bottom.

Interestingly enough, this property has been in my Redfin "Favorites" list for quite a while. If gm has been watching as long as I have, he or she would know that this property has been on the market for more than six months, but was recently taken off and re-posted as a "new" listing.

The sellers are operating under the assumption that buyers have severe learning disabilities and/or no concept of the modern calendar system, because this cargo crate has been desperately seeking Susan for a long, long time with no offers.

According to my records, this property was initially listed at $500,000 (2004 purchase price: $509,500). You read that correctly. Same joint, now asking half off.


Well, as gm pointed out, likely because they are "looking for a bidding war."

Because at $230,000, most investors would recognize that it's approaching good deal status, and would readily lob some offers their way. No doubt about that. Sure, it's past 7th Street, but it has 1,400 square feet, three bedrooms, and a two car garage. This has potential to be a nice rental property (of course, there are no interior photos so it could very well be a mold-infested, feces-insulated, infection-ridden roach motel).

However, we all know that many Long Beach sellers are delusional half-wits encouraged by reality-impaired, greed-head realtors, so we can only assume the worst. If I thought for even one second that this was a legitimate sale attempt, I'd throw in an offer. Seriously! It almost pencils out at this price.

But you and I know it's fishy, so I'll roll my eyes and wait for the price to inch closer to the original $500,000 asking price after a weekend of frantic offers. Once it gets past $250k, it will just sit and sit, rotting on the vine with all the others.

Of course, if I am mistaken and this asking price is actually for real and not just some prey-on-the-gullible-to-generate-multiple-offers marketing ploy, then gm is correct: if it sells for near asking price, it will kill comps quicker than OJ Simpson armed with a Ginsu collection.

Regardless of what happens I want to take this opportunity to thank my readers for their contributions. Keep the comments coming...


  1. wow, if that is a real price, it is an amazing return to reality (depending on the internal condition, of course).

    and it is going to kill 770 molino. 770 is a really nice renov., but no way it makes 650k if this place sells for 230 or 250k.

    how big a hit do you think 770 would take?

    and i wonder what the private remarks say!


  2. Boy, 770 is going to be bummed. By the way, check out the Star Trek appliances! Damn son, is that the FIRST microwave?

    I also love the sign in the kitchen that says "kitchen." Phew, just making sure I'm in the right place.

    As far as how big a hit 770 takes, if any kind of financial distress is prompting his sale attempt...he will instantly become a foreclosure candidate. Think about that: Someone barely hanging on, slowly chasing the market down and hoping for a near-breakeven sale becomes underwater by several hundred thousand dollars OVERNIGHT.

    It's gonna get NASTY out there.