Merrill Lynch, which owns this REO in Ladera Ranch, has priced this property at 29% off the 2006 peak purchase price. Who will step in and purchase this home that sold for almost $950,000 just two and a half years ago?
25 Sachem Way, 92694
Asking price: $664,950
Asking price/ sq ft: $260
Income requirement: $166,237.50
Bank purchase price: $680,000
Purchase date: 1/9/08
Size: 5 beds, 4 baths, 2,560 sq ft (built in 2003)
MLS: U8001199 (61 days on Redfin)
ZipRealty price tracker: Price Reduced: 4/19/08 -- $699,900 to $664,950
Zillow Zestimate: $822,000
2007 property tax: $14,017.78 - 2006 taxes also unpaid
HOA dues: $165
Type: Single Family Residence
Stories: 3+ Levels
Lot size: 2,600 sq ft
From listing: WOW, THIS IS ONE OF THE VERY BEST VALUES IN ORANGE COUNTY. THIS IS THE COMMUNITY OF LADERA RANCH. LADERA RANCH HAS IT ALL, PARKS, RECREATION, SHOPPING, ENTERTAINMENT AND SO MUCH MORE YOU AND THE FAMILY WILL LOVE THE ARE. THE HOME FEATURES FIVE BEDROOMS AND FOUR BATHROOMS, A GREAT VIEW, AND A REAR YARD THAT IS JUST RIGHT FOR ENTERTAINING, YOU EVEN HAVE A FIRE PIT AND A SPLASH POOL... COME HOME TO LADERA RANCH AND START LIVING THE SOUTHERN CALIFORNIA LIFESTYLE TODAY!!
A fixer that's five years old and last sold for nearly $1 million. Go figure. Considering there are no interior photos, we wonder if this one might have been trashed on the way out.
The previous owner paid $940,000 in 2006, but didn't have to pay a dime of his own money. He received 100% financing from People's Choice Home Loan - another (now defunct) subprime lender. The funding came in the form of an 80% first loan ($752,000) and a 20% second ($188,000).
Wait a minute: Someone went to a subprime lender and was granted loans totaling
$940,000 to buy a luxury property? Something seem wrong with that picture? Is it any surprise the property ended up as a foreclosure?
View Larger Map
The owner made very few (if any) payments on the first loan, as the notice of default came in the first week of April 2007 - less than six months after the purchase. The notice of trustee sale was filed in July in the amount of $794,822 - $42,822 more than the original loan - and the bank ended up taking the property back for $72,000 less than the original loan, though unpaid interest and fees had accrued.
Assuming a sale for the current full asking price, it would represent a decline of $275,050 or about 29% off the 2006 purchase price, not including any sales costs.
Sunday, May 11, 2008
29% discount in Ladera Ranch
Subscribe to:
Post Comments (Atom)
8 comments:
The condition of bank owned homes is generally poor regardless of the age of the home. Clients often expect that because the home is newer it will be in better shape, but unfortunately, that's not usually the case.
Bank owned homes in good condition have been garnering multiple offers of late, especially in Irvine and Aliso Viejo.
Nice haircut. Is this near the price that was paid in 2003?
I seriously think that the owner of this house, and others just like it, should be prosecuted criminally. What they did was fraud.
By the way - it would be nice if that was a feature you could add or show how to find - what was the value of the property you profile in 2002? I think that is were the market price will bottom.
"By the way - it would be nice if that was a feature you could add or show how to find - what was the value of the property you profile in 2002? I think that is were the market price will bottom."
That is an interesting suggestion. I'll see what I can do to incorporate something like this.
Thanks! I will keep reading to see if you are able to do this. (2002 price of properties profiled)
$150/sqft and I'll think about it.
"Quote,I seriously think that the owner of this house, and others just like it, should be prosecuted criminally. What they did was fraud."
Another Ignorant comment, alot of these people have tried to make their payments and since the values have dropped so much and their loans adjusted they can't do it anymore. Yes there is some fraud that went on, but it doesn't mean the you have to make an dumb comment just to post here. I work with alot of owners that are going into short sale and they are some really nice people.
Post a Comment