The Padres are red hot, how about another contest?
Check out this video tour, and guess how much my new REO listing sells for, and the winner will receive four tickets!
For those of you who saw the photo in the paper, and the banter on the radio about the 83-year old lady who attends every game and knits while she watches, she sits a couple of seats down from where you’ll be sitting, if you win. Don’t mess with her!
My guess is $346,000.
I would guess 199k.Your videos are awesome jim.Your buyers should know the truth.
My guess is $325K.
Your impersonation cracked me up, Jim. No guess from me as I’m out of the SD area. *Chuckle* I wish I had been able to make an offer on House #2. I miss Hawaii, and the palm tree room– utterly priceless!
My guess: $314K.
Jim, I find great entertainment value in your videos. I hope you don’t change them a bit.
I like the tile and love the big backyard. I’m going with $335k. In fact, if I were still in the market, I would be taking a long hard look at this property. I’m also calling it as 7 DOM.
$349K – thanks
By the way, Jim – don’t change your style just because of someone’s comment. For every one person who vocally doesn’t like your style, there are 10,000 silent ones who do.
My guess is $331,000.
Hilarious. $339,462.20, 9 DOM.
Whatever happened to the house in Carlsbad by the tracks near Ponto? Did it sell? And if it did who won? Thanks.
I’m going to say $330k.
The train-tracks house is in escrow for $599,000, and if it holds up, Bella will be our winner!
Buyer has not released contingencies yet though, but there are a handful of back-up buyers.
Thanks to all for the support on the videos!
I’ll guess $324K.
The $292K comp down the street doesn’t help, but the place looks pretty good and the schools are pretty decent there.
And keep up the great videos and commentary. I can get hot air and sunshine anywhere. The real story is sadly hard to find. Thanks.
Nice looking house. I wish all REOs I looked at were in that nice of condition.
Whoa! Not only a self portrait, but the ice cream truck. A classic!
346,800, 6 DOM.
$332K… BTW how was the ice cream?
345k an Oside REO selling for 200 per sq ft. white hot market Jim! No wonder Wells Fargo is cheering on loan originations!
For anyone else who doesn’t remember, JtR’s list price and sales price for the Carlsbad train tracks house match.
>>>>>>>> $338,000.00 <<<<<<<<<<<
How about some instant win games, Jim? Like guessing the number floor tiles in the kitchen or something.
I’ll roll ’em high.. $362,000
That’s not tangerine, but burnt orange, and I like it. Way better than that fugly green carpet in the other house.
How much did the ice cream guy offer?
I bet it closes for $344,800. I apologize in advance to the other guessers so very close but I honestly picked that before looking at yours.
$305k. It has custom paint. Not a bad looking house though, especially the big lot it’s on.
From your perspective Jim, what effect does a pool have on the property value? I’ve heard many different answers.
Jim, love your personality. It is the highlight of my web surfing. Don’t change a thing.
I’m going to say $330k-same as the other place. The other place gets a minus for not being remodeled, but a plus for the pool-so it’s a wash. There did seem to be some mold there in that bathroom, but I’ll bet that gets fixed prior to closing.
321.5K I have a feeling the ice cream guys might be frightened of you Jim. “Who the hell is this crazy guy chasing me with a video camera??” Haha classic.
My guess: $340,500
Neither one of those places looks like a bad deal at all, especially as an investment property. Wonder what they would pull in rent?
You should be able to get $2,000/month in rent, or close, due to the yard being a major plus.
I call a pool a neutral value, because many buyers won’t consider them due to fear of drowning. If you have a super-duper one, then add extra value, but not more than $50,000.
I like the instant-win idea, I think I might have one for tomorrow!
Mozart, just a slight change, but significant on the train-tracks house. List price was $599,900, sales price was $599,000 – we knocked off $900. Why? Because Countrywide wanted to counter full price, but it had been on the market a couple of days and no other offers were forthcoming. Countering full price in this environment is risky, so I convinced the asset manager to the $900 discount as a way of saying, “thanks for playing” to the buyer.
Nice to see a clean REO once in a while, no? Yeah, given the market’s temporary insanity this’ll no doubt run around $340K.
p.s.: They’ll be at least $100K underwater later next year.
Jim, don’t change a thing about your bubblicious videos, especially your dry commentary. It’s so nice to see someone who’s not afraid to be a straight shooter. I put your site up on Twitter, I hope you got a few new followers. 🙂 I know I’ve bookmarked your blog just for the entertainment factor.
I like your place much better than the comp with the pool. That green carpet reminded me of an Irvine office I used to work in. 🙂 Pools as you know can be an endless money pit. Some buyers might avoid them just because of the constant maintenance or the worry of small kids drowning. My ex cleans them here in Kona and has seen enough pool disasters (including one that cracked unexpectedly, splitting the whole property in half and spilling water down the steep subdivision streets) that he says he would never own one. 🙂 Actually he should go around with a video camera…he would have a few stories to tell! (But alas, no ice cream trucks in Kona.)
The Hawaii/palm tree room is kinda cute, but maybe I am biased. 🙂 Aloha and keep posting those funny videos!
BTW, I know my WAG matches kompeitou’s, but I hate baseball so I don’t sweat the tickets.
I was going to say $323K before looking at the comments, but since that was taken, I’ll say $322,500.
Love your videos, Jim! (except they do make me motion sick sometimes) 😉
+43 cents for the stamp to mail my tix. Gonna sell quick. Murcins is stooopid.
324,600. Great site, Jim. Don’t change your videos!!!
Nice house. Too bad it’s in O’side! 🙂
I personally like the sarcasm in the videos. Loved the realtor impersonation.
“Nice to see a clean REO once in a while, no? Yeah, given the market’s temporary insanity this’ll no doubt run around $340K. p.s.: They’ll be at least $100K underwater later next year.
tj and the bear | April 10th, 2009 at 6:58 p”
TJ, you really think so? When you start getting down to prices like this, which have already been crushed, it’s approaching “free”. Maybe the ‘hood is worse than I am thinking (I don’t know it at all).
JtR, at $2K per month, that’s starting to approach a decent return!
it’s approaching “free”
Yes, Aztec, I really think so. That house sold for 151K in 1995, and the bottom of that last trough is my “best case scenario” for future home prices.
My living room is tangerine, and I like it. It’s on the north corner of the house, and the color brightens it up.
Nice REO. Please give us the update on offers that are pouring in by now.
I also suggest that you update the info on your listing that you put up on this property a while ago. For instance the price was $319,900 and the new price I believe is $314,900, etc.
Yikes, TJ, you really *are* a bear! 🙂
~$200K really is more/less free. The next time I’m down in SD, I’m tempted to check that ‘hood out. Unless it’s literally on fire, or the cops are scared to go within a few block of it, it has to be a great investment at that kind of price (unless JtR’s rent estimate is off).
I call’em as I see’em, and so far I’ve been much more right than wrong.
Oh, and I’m certain that Jim’s rent estimate is correct… for now.
$300k+ is “free”? I don’t think so.
Course, I’m from Riverside, where $100k is not uncommon and there are some <$50k houses.
One of your better ones.
Well, a mortgage on $300K gives you a payment of what, $1200? After tax, that’s more like <$1000. Sounds pretty free to me — are there even rents that low in non-gang areas?
Those homes in Riverside must be a sight to see!
You commented in this video that the house down the street went pending after 9 days which is around the amount of time it takes for the bank to respond. Just curious, do you think it’s legitimately possible for a bank owned property to be marked pending after less than 24 hours? Or do you think there something fishy going on? We came across a very interesting property that these was listed for about $150k under comps that went pending in about 12 hours. We hadn’t even had a chance to look at it in person. To be honest, I was kind of surprised that the bank accepted the offer so soon. Given this scenario, do you think it is even worth putting in a back-up offer and going through the REO hassle of having their lender (Chase) pre-qual us?
Well, a mortgage on $300K gives you a payment of what, $1200?
Focusing on the payment and not the price is what got the bubble started. The minute rates start really rising — and when they do they’ll rise sharply — the price will drop to compensate. Every 1% rise in rates translates to a 10% drop in price.
Focusing on the payment and not the price is what got the bubble started.
I would say that it was manipulation of the monthly payment via shady financing schemes that got it started. The monthly payment amount is and always will be the main focus, and it probably should be. If you work from the starting point of solid fundamentals (20% or more downpayment, fixed mortgage rate, overall state of the market with regard to price volatility) then focusing on the monthly payment is not a bad thing.
No, the bubble started when the FFR went to 1%, well before toxic mortgages became available. The commensurate drop in long rates nearly doubled people’s purchasing power and the race was on.
Focusing exclusively on the payment is definitely a bad thing. Unusually low rates result in unusually higher leverage, and excess leverage is not a good thing when it comes to such a large purchase. People generally shouldn’t take on mortgages that exceed 3x their annual income regardless of payment.
Agree 100%, tj (but you already know that). 😉
It’s the focus on monthly payment that got us into trouble in the first place. If rates go up, you’re underwater.
Always, always, always be mindful of your **cost basis.** That is the ONLY thing that determines whether or not you will make a profit/break-even in the future. Unless you plan to stay for the full 30 years, you will get yourself in trouble when focusing primarily on monthly payment.
And this is why we are seeing the buying activity right now, IMHO. People still haven’t learned their lesson from the bubble.
“Every 1% rise in rates translates to a 10% drop in price.”
I don’t think that’s proven to be true historically.
I’m thinking of this more from an investment perspective. **IF** it could truly be expected to pull $2K/mo in rents, at $300K that’s a nice return. A sale isn’t in the plan (collecting rent, depreciating the heck out of it is the plan). Sure, it would be nice to not have it sag $100K after buying it! But trying to pick the exact bottom is tricky, and at some point a brother needs to get his cash working, rather than putzing along in 1bp t-bills or 1% munis. I suppose you could argue that higher-yield munis would be a more fair comparison of risk, which actually gets close to that rental property’s ROI…
331500 (hopefully that hasnt been picked yet).
I don’t think that’s proven to be true historically.
Doesn’t matter — run the numbers yourself. Rates can’t get significantly lower, but they can go through the roof. Any rise in rates will cut every potential buyer’s purchasing power accordingly, and there’s not a whole lot of buyers to begin with.