Thursday, October 22, 2009

The Fail--ERRR...Fall Selling Season

1710 E Florida St, 90802
Price: $375,000
Beds: 2
Baths: 1
Sq. Ft.: 960
$/Sq. Ft.: $391
Lot Size: 2,560 Sq. Ft.
Year Built: 1920
MLS#: S593140
On Redfin: 5 days
Down Payment: $75,000
Income Requirement: $107,000
Monthly Nut: $2,100
Description: Nice cozy REO home with hardwood floors throughout, walk-in-closet in each room. BRING ALL OFFERS!

A for effort on that description, pal! But next time you should try being less verbose. I mean, 17 words is a little overwhelming for potential buyers.

And thanks for photos of the bathroom. Considering it's the only baƱo in the house, I'm sure buyers don't really care. Nah, they're probably much more interested in doing their toilet business outside. One look at that dead grass and it appears the previous owner did too!

Again, you know what it means when the bathroom (especially the only bathroom) isn't included in the photos: IT'S AN UTTER DISASTER, RIDDEN WITH MOLD AND PESTILENCE.

The pricing history is interesting. The 2004 buyer paid $396,000 (for this place? Yeef) and three years later managed to edge out a profit of, uh, nothing. After commissions, all he had to show for three years of ownership was a $5,000 loss. But hey, at least he was rid of his albatross and had already made it someone else's problem. Namely, the fool who believed this place was worth $420,000 in 2007.

Within three months he attempted to flip it. Two months after that he cut the price and began his downward spiral into the abyss known as the Great Housing Bubble Bust.

Oct 18, 2009 - Listed $375,000
Sep 21, 2009 - Sold $336,363
Aug 22, 2008 - Delisted
Aug 20, 2008 - Relisted
Jul 29, 2008 - Delisted
Feb 08, 2008 - Listed
Jan 16, 2008 - Delisted
Dec 25, 2007 - Price Changed
Oct 30, 2007 - Listed
Aug 01, 2007 - Delisted
Aug 01, 2007 - Sold $420,000
May 24, 2007 - Price Changed
May 13, 2007 - Price Changed
Apr 29, 2007 - Listed
Aug 17, 2004 - Sold $396,000
Jul 08, 1994 - Sold $60,000

The bank took it back in September for $336,363--ostensibly the remaining balance on the loan--and promptly hosed it down and plopped it on the MLS hoping to squeeze out a $38,000 profit.

Hello? Have you seen the neighborhood this house is in? If you had, you would seriously rethink your $391 per square foot demand.

As a reminder, for a buyer to realistically afford a $375,000 house, their household income would need to be $107,000! Not many residents are pulling down that kind of coin in this neighborhood, and if they are, they sure as hell aren't looking for a place like this.

Frankly, the bank should be ashamed of itself for this ridiculous asking price. It's simultaneously one of the most expensive houses around and one of the dumpiest.

This place is a wreck, with the only discernible upgrade being vinyl windows and a smattering of mismatched hardwood flooring. Any buyer will have to set aside a considerable amount of money each month to cover the deferred maintenance (it's obvious that none of the bubble buyers put much into this house) and the ongoing repairs on an 89-year-old house. Not to mention about $30,000 to make it a house worth coming home to.

Translation: There is no way in holy hell this makes investment sense (cents?) at $375,000. Not even close.

Oh well, I guess trying to gank a nice little profit was worth a shot. But as we enter into the slow sales season, I have a feeling it's going to take some considerable price cuts to move this thing. And if the lender doesn't act soon (guaranteed) then they're going to take a bath a second time.

Frankly, I think this lil' buddy has potential. But most definitely not at this price. Try half off.


  1. I love this part:
    Aug 01, 2007 - Sold $420,000

    So flipper buys beyond peak for 420k. No question that this guy was smoking some serious 420 if he thought there was any way in heck that might have been profitable.

  2. Puff, Puff, Give...back to the bank.

  3. I wouldn't spend 250K on this piece of shit, in this dreadful neighborhood.

    I'm not saying it's gunshot alley, but it is WAY overcrowded, and it is definitely ghettofied.

    The ONLY thing this place has going for it, is the relative 3 blocks to the beach........... a beach though, that has no waves, and only real value is for walking, rollerblading or biking on.

    I'm fed up with people trying to sell garbage for huge price tags.


  4. There's no garage either, is there? Because I think that's the section of Florida St that's a tiny little one way--there's no parking EVER because there's a million apartment buildings crammed on it. And even if there were, you wouldn't want to put your car on the street--we lived over there and at least monthly some idiot flew down the street too fast and side swiped everyone parked there.

    It's not *that bad* of a street, at least by downtown standards--but it's really crowded and run down. Considering a two-bed with parking on that street is going for around $1350 a month in rent, I'd say the taxpayers just bought another loser investment.

  5. Anon, thank you.

    That's exactly what I'm sayin.

    Even WITH parking, it sucks to live on a street that is SO over-crowded.

    And it's not over-crowded in a good way, like Hermosa, it's over-crowded in a BAD way.