Curious REO Strategy on PinePosted on Tuesday, July 13th, 2010 at 4:13am.
All along, it's been called an REO – a foreclosure owned by the lender.
All along, it's been priced too high to draw interest.
In January, the Rosecrans-close home came on at $1.695m.
When that listing quit 5 months later, it was down to $1.495m.
Only with the last price cut had the home gone below its March 2005 acquisition price of $1.520m. Not quite far enough, it would appear, since MB seems mostly to be living in 2004 prices still – and that would put Pine a bit further down.
For some reason, after 5 months without success – 5 of the most active months in the MB market since the bubble popped – the new listing now starts with a new strategy: raise the price.
Friday, the listing returned after a 2-week hiatus at $1.549m, or $54k above the price at which the market had rejected it. They're calling it a "good deal" after that little boost.
That, for a home that will require some work, and is to be sold "as is." Per the listing:
Beautiful & elegant 5+4.5 Mediterranean Villa that needs some work to restore it to its recent, beautiful past.On the plus side, the description now touts the relative simplicity of the foreclosure sale, since it's a private investor, not a bank, that's taken the property back. No red tape, committees or hassles, they say.
And they promise to reply to all offers – yes, even you lowballers who think 6 months of market exposure for a distressed property presents a great opportunity.
Let's see how it plays out.
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