1475 Palisade is the Old Southwest house purchased in December 2004 for $619,000, and gutted to the studs before construction stopped. It had been listed at $479,000, and went back to the bank as an REO. The bank listed it at $313,000, and it just closed escrow at $213,900 in what appears to be a cash deal from a pair of locals (Derungs, Pelster). Listing agent Larry, if you are still out there, can you fill us in on your experiences working with the bank on the short sale, and how the offers you presented the bank stacked up to the final sales price?
Ridge Field of Dreams is still a bit of a work in progress. 2260 Ridge Field (RF 1) was the builder house listed at $912,275. It closed November 16 for $863,495. 2395 Ridge Field (RF 2), purchased in September 2005 for $596,076, was foreclosed on on October 31. In a double closing, the bank sold it to a buyer that pre-negotiated a deal for $531,158. 2385 Ridge Field (RF 3) has been reduced from $1,189,999 to $999,999. This is the only Somersett property that did not come current on their special assessments, and was "sold" for $5811.04 last week (2 year redemption period). 2335 Ridge Field (RF 4) was purchased for $761,906 in December 05 by RF 3’s daughter, and was originally listed at $929,000. It is currently listed at $589,999. The Trustee’s Sale was scheduled for July 2, and seems to have been delayed – there is no evidence of the default being cured.
4390 Interlaken was only mentioned in comments on one of the other blog posts, but is an interesting REO story with walk-on appearances by Guy and myself. It is a nice house located on the east side of Lake Ridge, and was purchased for $293,000 in December 2001. It was refied in 2004 for $265,000 by First Horizon and a Weststar Credit Union Issued a $200,000 HELOC in 2005, setting up an almost ideal investment situation. There was a long listing history, starting at $679,000 and finally dropping to $579,000 or so. The owner only needed to clear $475,000 or so at the time to pay everyone off, but stayed greedy. Guy and I tried to set up a deal similar to the double escrow on Ridge Field at about $290,000, the amount then due on the first mortgage. First Horizon blew us off. I went to the auction on the courthouse steps in January, and the sale got delayed and was never re-advertised. The Weststar rep who showed up never asked me who I was, what I was doing out there on a nasty morning, or what my interest in the property was. On April 1, Weststar stepped up and bought the house for $300,000 at the new sale, trying to protect their second position They listed the house at $399,000 (about what I would have done, before the lawn died from neglect), and the house just closed at $355,000. With holding, escrow and commission costs of about $25,000, Weststar recouped about $30,000 of their $200,000 exposure.
(More fun on the Recorder’s site! Enter a bank’s name in the Grantor field, and search for Deed from the pull-down menu. It is a quick way to see what the banks are actually unloading as REOs)
MikeZ
Mike McG, you yanked the Inman video?! Why?! It was pretty good. Guy was rockin’ the dance floor.
Paul
Mike, For those of us somewhat new to the blog, could you give us an explanation of the “60 Sinners” ? Thanks. Great research btw.
GreenNV
Wasn’t me, MikeZ. Guess it was considered racier than 10 minutes of “do you blog in the nude?”.
Paul, 60 Sinners was my first post here. It was about 5 or 6 real estate professionals who had accumulated over 60 properties in Reno. It was considered too “nuclear” at the time for this blog (how times have changed – today I could give the addresses and the owners’ names) so it was posted off-site. It is still there at http://rediggerdog.wordpress.com/, along with a post on how retrieve information from the public records. I’ve got an update planned on how these geniuses have fared, and will add 8 or 10 more “insiders” who have crashed and burned. Some of the biggest names out there, and even the agent who outed smarten’s identity on ChaseNation is feeling the hurt.
Listing agent Larry, thanks for the detailed update on 1475 Palisade. So Countrywide passes up a cash offer at $290, then approved an insider deal at $213. Sounds fishy. Can’t wait until September when my CD with them matures.
Anyone got the scoop on:
– 2565 Beaumont Parkway – Listed with Dickson for a few day at $389,900 (or $499,000 in the text), and now with Ferrari Lund at $384,500? Previous sales $579,000 January 2005 and $700,000 April 2006.
– 1878 Three Mile – REO listed at $949,599, previous sales $979,000 in January 2006 (probably renovated it) and $1,550,000 in September 2006. OUCH!
MikeZ
RE: 60 Sinners
The update should be very interesting.
How could that situation not end badly for the “7 real estate industry folks holding over 60 properties?”
Ouch.
smarten
GreenNV –
How is it you know who the agent is who outed smarten’s identity on ChaseNation? And care to share his/her identity [my guess was KC or MP]? Thanks.
MikeZ
?RE: 60 Sinners
The update should be very interesting.
How could that situation not end badly for the “7 real estate industry folks holding over 60 properties?”
Mike, if you have the data handy, it’s 2 years later … can we get an update on this?