Real Estate Brokerage & Property Management Blog

Here you will find the latest real estate endeavor stuff I engage in on a daily basis.

Tuesday, June 1, 2010

Precious 1 Story Foreclosure

Hi Prospects & Friends,

I went by to see this foreclosure on May 16, 2010 and it's already in pending status as of May 20, 2010. I had my note pad with me as I took notes, and saw this house had alot of extras for the price, like wood floors throughout the home, patio with ceiling fans, 3 car detached garage, in gated subdivision, built in study and desk behind master bedroom, guess room, all for $170,000. This home came up in my foreclosure criteria search, so I decided to go and see it. Listed below are my stats from this precious 1 story foreclosure:

Listing Price- $170,000
Location- A+ (facing main drag from gates into subdivision, close to schools, churches,parks, etc.)
Gross Sq.ft.- 2,619
Level- 1 story
Bedrooms- 3
Bathrooms- 3 full and 1 half bath
Garage- 3 detached
Builder- Dr. Horton
Year Built- 2003
Price/Sq.ft (last 6mth comparables to subject)- $77.36
Rental Rate (last 6 mths)- $0.64/sq.ft.

So this home has a market price of really $203,000, and it's listed for $170,000 which means $33,000 is already in instant equity, and it also has a going rental rate of $1,676/mth. I noticed this home needed no major/cosmetic repairs, so my conclusion is foreclosures making their way into the market like this one are rare, and that's why it didn't stay on the market too long. I've been site seeing foreclosures since the recession started and I'm noticing in the beginning I was seeing foreclosures in need of major/cosmetic repairs, now I'm noticing foreclosures coming into the market with no need of major/cosmetic repairs. So my conclusion is these types of foreclosures are possibly from homeowners who may have negotiated something with their lender to leave the property in livable and good condition, and in return the lender will probably give some kind of allowance or incentive for doing such. I call this property a precious 1 story foreclosure, because it's hidden in the market with the rest of the foreclosures, and finding them are jewels once they become noticed.

P.S. I've attached a pic of my note pads I use when I take notes on stuff like this. I sell the note pads over at my Z Store, located on right side of my blog.