It was a bad bet.
Someone bought 512 John this February for $4.075m. (We're told it was a builder who took the house in trade.) The bet was that this was actually a below-market price, and the property could be sold for more. Much more.
Six months ago, the day after the new owner's purchase recorded (Feb. 15), 512…
It was a bad bet.
Someone bought
512 John this February for
$4.075m. (We're told it was a builder who took the house in trade.) The bet was that this was actually a below-market price, and the property could be sold for more. Much more.
Six months ago, the day after the new owner's purchase recorded (Feb. 15), 512 John went up for
$4.449m. After it lingered a while, the price dropped to
$4.349m, but then, 5 weeks ago, the
price shot up $400k to
$4.750m.
(Hint: This tactic apparently never works.)No takers. No one even took them up on the option to
rent the home for $20k/mo.
Now 512 John has dropped $750k (really, $450k) to
$3.999m,
below the price paid earlier this year. With holding costs and costs of selling, a bit of a bath may be taken.
Chalk it up to a confusing market, a bullish buyer (the builder) and the near-halt to sales activity this month due to the mortgage mess – it was a perfect storm. The seller now sees that it is time to get out ASAP, even if it means taking a loss, because the longer-term outlook suggests that losses could mount.
It's too bad. MBC rhapsodized a bit in the "rent this home" story:
This is a striking masterpiece of a home, built in 2000 in a great location, the kind that some folks are just dreaming about when they write "panoramic ocean views."
And there was more... There's nothing wrong with the home but the very specific style you have to buy into. So much to love (
John St! Giant ocean views!).
The problem has been price.
This was a big move, but they still want $4m.
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Listings presented above are supplied via the MLS and are brokered by a variety of agents and firms, not Dave Fratello or Edge Real Estate Agency, unless so stated with the listing. Images and links to properties above lead to a full MLS display of information, including home details, lot size, all photos, and listing broker and agent information and contact information.
Based on information from California Regional Multiple Listing Service, Inc. as of March 26th, 2023 at 4:30am PDT. This information is for your personal, non-commercial use and may not be used for any purpose other than to identify prospective properties you may be interested in purchasing. Display of MLS data is usually deemed reliable but is NOT guaranteed accurate by the MLS. Buyers are responsible for verifying the accuracy of all information and should investigate the data themselves or retain appropriate professionals. Information from sources other than the Listing Agent may have been included in the MLS data. Unless otherwise specified in writing, Broker/Agent has not and will not verify any information obtained from other sources. The Broker/Agent providing the information contained herein may or may not have been the Listing and/or Selling Agent.
