Cobblestone - Oak Creek 2006 Flop - UPDATE #1
Originally posted October 25, 2006
Address: 126 Cherrybrook Lane, Irvine, CA 92618 (Oak Creek)
Plan: 1200 sq ft - 2/2.5
MLS: S463666 DOM: 2
Sale History: 6/16/2006: $615,000
4/18/2003: $390,000
10/8/1999: $220,000
Current Price: $612,000-$639,000
This is a detached (I believe) Plan 1 condo in the Cobblestone tract built by John Laing. It was purchased this summer with 0% down (ok ok, they actually put a whopping $300 down). I'm not sure what the flippers have been doing for the last few months but they just put it on the market a couple days ago. It's listed using range pricing of $612k-$639k. After 6% in selling costs, these sellers will lose anywhere from $14,000 - $40,000 if they get a price in the asking range. To get rid of the home, I think they will have to bring that much money to the table since they don't have any equity in the house.
UPDATE #1 - January 3, 2007
Price Reduced: 12/15/06 — $639,000 to $603,000
If sold at $603,000, the seller (or lender in this case) is facing a loss of over $48,000 (assuming 6% selling costs). I don't think it will sell anytime soon because there is some competition just down the street:
- 146 Cherrybrook Lane - 1200 sq ft - 2/2.5
- Listed on 12/06/2006 at $607,500
- Price Reduced: 12/15/06 -- $607,500 to $605,000
- Price Reduced: 12/19/06 -- $605,000 to $603,000
- Price Reduced: 12/29/06 -- $603,000 to $580,000
- Current Price: $580,000
146 Cherrybrook was purchased on 1/16/2004 for $445,000. The seller is relocating (according to the MLS comments) and I'd imagine that would be some motivation to get this sold soon. They'll still make out with a nice profit. But it looks like our flipper at 126 Cherrybrook will be even more in the hole.
