The 679-unit Vantage Point complex in downtown San Diego had been taking $25,000 deposits since 2004, but could only generate a couple of hundred buyers – not enough to qualify for Fannie/Freddie financing (needed 70% pre-sold).
The builder, to their credit, refunded all of the deposits, and is starting over by re-structing the complex into six sub-divisions – some to rent, some to sell.
Today they conducted a broker’s open house from 5-8pm.
I edited out the video’s introduction where I mentioned that on the MLS there have been 377 condos that have closed downtown, 2009 year-to-date, at an average of $411/sf.
But 2/3 of those were under $500,000, and averaging $340/sf.
If the builder offers these condos priced in the low-$300s per sf, and throws an all-out party for realtors, it’ll be a good sign that they get it about how tough the market is, and might have a chance to move some units.
If they want $400/sf or higher, and are offering cheeze and crackers, it’ll be a long road home.
Here is the youtube video tour: