REO movin' through in Dove Canyon

Today's property is a bank-owned home in Dove Canyon that has been connected to a buyer and is now in the "backup offers accepted" stage. All it took was a significant discount off the peak price...

38 Golf View Drive, 92679
Asking price: $879,900
Asking price/ sq ft: $315
Income requirement: $219,975
Peak purchase price: $1,200,000
Peak purchase date: 11/1/06
Size: 4 beds, 4.5 baths, 2,789 sq ft (built in 1994)
MLS: S533615 (11 days on Redfin)
Zillow Zestimate: $993,500
HOA dues: $205
Type: Single Family Residence
Style: Contemporary
Stories: 2 Levels
From listing: This spacious 4 bedroom and 4.5 bath home with pool and spa backs to a beautiful golf course view! Located on a cul-de-sac, this home has granite counters, stainless steel appliances,and double ovens. Family room has built in wood cabinets. Double door entry to masterbed room and retreat with fireplace. Large 3 car garage with built-in storage cabinets too!

The property was purchased at the peak of the bubble in late 2006 using 100% financing (80/20) from First Franklin. Not too surprisingly, the property began the foreclosure process about a year later and eventually came back to the bank at auction in late April for $740,827.

Not a bad turnaround considering the property appears to have gone virtually straight into escrow. We're not sure exactly what price the property will sell for if it successfully completes escrow, but assuming it is sold for the full asking price, it would represent a decline of about 27% or $320,100 (not including any sales costs/fees) from the price the ill-fated owner paid in November 2006.

Nope, the heavy discounts are not only in the "lower-end" communities.