Friday, December 21, 2007

DELUSION DRIVE


From the REO website for B of A: (hat tip waitingtobuy):


Property ID: 30010159
Address: 10731 DELUSION DRIVE, BAKERSFIELD, CA 93311


I think this street name sums up most of the real estate activity in this town for the last 3 years!

This home was purchased on Feb 20, 2004 for $225,503. It was foreclosed on by B of A on October 2, 2007 for $239,0000. It is now listed for sale for $288,000, at 2,025 square feet ($142.22), they are smoking something if they think that is the fair market value. Good luck, you are going to need it.

The original sale of this home occurred on October 8, 1999 for $134,712. I would not be surprised if this was closer to the true FMV.

9 comments:

Adam said...

Delusional is right! Hah, this makes me want to short BAC, as that level of delusion seems hard to justify in the face of current conditions...

Bakersfield Bubble said...

Agree on the BAC short! Multiply this scenario by several thousand...

(this does not constitue investments advice, please invest on your own, etc...)

hankmeister said...

As bad as things are I doubt we're at $66.50 a sq ft.

WaitingToBuy said...

Awesome! I didn't even realize the markup they had it at. That's crazy in this market.

Bakersfield Bubble said...

hankmeister-

You are probably correct that we will not get back to 1999 prices, but I could see us at 2002 levels.
That would place this home at around $160k-$170k, no where near the $288k asking price

AnalysisGuy said...

I think they should raise the price! I sold my home early last year for $220/sf. Then again that was last year.

I can't wait for $66/sf again - okay maybe not - but is $80/sf possible?

Realestateslasher said...

A buck is the norm now 4 bits soon

Adam said...

[i]I think they should raise the price! I sold my home early last year for $220/sf. Then again that was last year.[/i]

Who's analysisguy? Alan Greenspan?

Funny you say that, as I remember earlier in the year when Alan said the subprime collapse wouldn't be a problem if only prices continued to jump up another 10%! That's the sure sign of the daddy of the bubble, trying to defend the infant terrible.

Speaking of bubbles, I was surprised to see a "get rich in real estate" training infomercial being offered by John Grasinski on KBAK Channel 29. The show had all the cliches, complete with guys wearing tacky Hawaiian shirts (one guy was shown wearing FOUR different shirts!).

Funny thing, though: notice the dates on the checks documenting the wealth created by their real estate dealings, and all the checks are dated from 2005/2006! So these people sold before the bubble started to collapse. I dare say it was easier to flip a pre-foreclosure in 2005 than in 2008!

Guess you can't blame the guy for trying to sell his educational materials before they're completely worthless (he even looks like our boy wonder David Crisp).

FresnoSA said...

aw lets get rich flipping some houses dude ..