Masada is an ancient fortress in what is now modern Israel. It may be best known as the last outpost to resist Roman rule. The Jewish Zealots which inhabited Masada finally committed suicide rather than suffer defeat at the hands of the Roman siege army. It isn't known how they committed suicide. Perhaps it was hemlock, the deadly poison Socrates drank. Masada has become a symbol for zealous devotion and dieing for one's beliefs.
Turtle Ridge is Irvine's Masada. There are physical similarities in that they are both isolated outposts of prized real estate. The zealous devotion of housing bulls inhabiting Turtle Ridge and their ritual kool-aid drinking is evident in the prices of homes there.
Prices on a per square foot basis (the best way to compare one neighborhood to another) are very high. From the listings I have seen, I would estimate the median listing price is around $600 / SF. About 10% are in the $400s, about 40% are in the $500s, about 40% in the $600s, and the remainder are over $700 / SF. This is a 20%-30% premium over most of Irvine.
Over the next few days, I am going to profile a variety of homes in Turtle Ridge. I have identified 4 properties which are selling below their 2004 or 2005 purchase prices, and I have identified 4 properties which have such ridiculous asking prices that you have to ask, WTF?
First let's profile two of the rollbacks:
Asking Price: $759,000
Purchase Price: $808,000
Purchase Date: 10/11/2005
Address: 55 Greenhouse, Irvine, CA 92603
Beds: 3
Baths: 2.5
Sq. Ft.: 1,275
Year Built: 2004
Stories: 2
Type: Condominium
County: Orange
Neighborhood: Turtle Ridge
$/Sq. Ft.: $595
MLS#: U7001496
Status: Active on market
On Redfin: 64 days
From Redfin, "Beautiful detached Turtle Ridge Property. Hardwood floors, stainless steel appliances, plantation shutters and custom paint. Light and bright throughout. Great dutch door from family room to back patio to feel cool breeze. Located on quiet street. Gated community features resort like pool, spa, cabanas, and clubhouse. "
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This is a beautiful home in one of the best neighborhoods in Irvine, and this seller is still going to lose money. If they get their asking price, minus a 6% commission, they will lose $94,540. So much for that "safe" investment.
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Asking Price: $719,900
Purchase Price: $760,000
Purchase Date: 9/13/2004
Address: 213 Lonetree, Irvine, CA 92603
Beds: 3
Baths: 2
Sq. Ft.: 1,790
Year Built: 2004
Stories: 1
County: Orange
$/Sq. Ft.: $402
MLS#: K07084046
Status: Active on market
On Redfin: 3 days
From Redfin, "Nice property in this great area!! You can & apos; t pass up this price for such an awesome unit!!!Needs very little to be ready to move in to. Bring even your fussiest buyers You won & apos; t go wrong on this one!! "
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If they get their asking price, they stand to lose $83,294 after commissions.
Check out the price per square foot. This will likely sell for under $400 / SF in Turtle Ridge. This is a real comp killer.
So there you have 2 properties selling for less than their purchase prices from 2004 and 2005. These are two of the less expensive homes, but the top of the market is not immune. On Thursday, I will feature two more from the high end.
Big price reduction from $630,000 to $560,000. Sellers are getting smart or scared, I suppose it depends on your point of view.
Come fly with me, let's fly, let's fly away
If you can use some exotic booze
Once I get you up there where the air is rarefied
We'll just glide, starry-eyed
Come fly with me, let's fly, let's fly
Pack up, let's fly away!!
Come Fly With Me -- Frank Sinatra
Link to Music Video
Isn't this song the ode to the relationship between every Californian and the housing market? Grab that exotic loan and let prices fly to where the air is rarefied. It certainly made everyone starry-eyed.
Asking Price: $630,000
Income Requirement: $157,500
Downpayment Needed: $126,000
Purchase Price: $670,000
Purchase Date: 8/1/2005
Address: 4392 Skylark St., Irvine, CA 92604
Beds: 3
Baths: 2
Sq. Ft.: 1,493
$/Sq. Ft.: $422
Lot Size: 5,669 sq. ft.
Type: Single Family Residence
Style: Ranch
Year Built: 1974
Stories: One Level
Area: El Camino Real
County: Orange
MLS#: S509371
Status: Active
On Redfin: 12 days
From Redfin, "Large corner lot with spacious front and backyards. Flowing floorplan with berber carpet, laminated wood floors, recessed lighting, Enjoy the living room with vaulted ceiling and a warm fireplace. Nice grass backyard with paved side yards with brick accents and patio cover. Master bedroom with nice garden atrium. Association pool and parks."
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Assuming a 6% commission, and assuming the seller gets their asking price, they stand to lose $77,800.
Since the theme of this post is flying, I thought I would share two more properties with you because of their names. These are actually in Tustin, but Tustin Fields is close to Irvine, and it is southeast of Jamboree. In fact, I didn't realize this was Tustin until Redfin told me so. No matter...
Asking Price: $565,000
Income Requirement: $157,500
Downpayment Needed: $126,000
Purchase Price: $623,000
Purchase Date: 9/7/2005
Address: 319 Flyers Lane, Tustin, CA 92782
1st Loan $497,504
2nd Mtg. $62,188
Downpayment $63,308
Beds: 3
Baths: 2.5
Sq. Ft.: 1,488
$/Sq. Ft.: $380
Lot Size: -
Type: Condominium
Style: Modern
Year Built: 2005
Stories: Two Levels
Area: Tustin Field
County: Orange
MLS#: S508922
Status: Active
On Redfin: 16 days
From Redfin, "MOVE IN READY, upgraded to the nines, and in IRVINE SCHOOL DISTRICT! Private interior location, Granite countertops, 18x18 porcelain tiles, upgraded base and crown moldings, newer stainless steel appliances, and a tumbled edge travertine marble backsplash. Private patio area, fully landscaped, automatic sprinklers, and slate stone throughout. Custom interior paint throughout entire home, and lots of storage areas. Master suite complete with large walk-in closet and gorgeous master bath!!"
upgraded to the nines but selling in the fives.
This seller is looking at a $91,900 loss after a 6% commission. Actually, this seller is going to lose their entire $63,308 downpayment, and the bank is going to lose $28,592.
Asking Price: $550,000
Income Requirement: $137,500
Downpayment Needed: $110,000
Purchase Price: $600,000
Purchase Date: 11/4/2005
Address: 1 Aviator, Tustin, CA 92782
Beds: 3
Baths: 3.5
Sq. Ft.: 1,600
$/Sq. Ft.: $344
Lot Size: -
Type: Condominium
Style: Other
Year Built: 2005
Stories: Three or More Levels
Area: Tustin Field
County: Orange
MLS#: P593218
Status: Active
On Redfin: 82 days
From Redfin, "* * FORMER MODEL HOME * * SHORT PAY-OFF SALE * * REDUCED! * * HIGHLY UPGRADED * * IRVINE SCHOOL DISTRICT * * 3 BR 3.5 BA * * PLANTATION WOOD SHUTTERS * * GOURMET KITCHEN * * GREAT RM W FIREPLACE & BUILT-IN ENTERTAINMENT CABINET * * PARK VIEW FM GREAT RM & KITCHEN * * X'LNT CORNER LOCATION LOCATION "
*** CAPS LOCK AND ASTERISKS *** X'LNT!
Another ADHD listing with 3 word phrases.
Another gourmet kitchen. Must be the white tile that makes it so special.
What is the deal with the picture of the doll?
This seller is going to lose $83,000 after commissions.
What can you say about this string of $75K to 90K losses? Well, everyone should be a bit less starry-eyed.
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Fly me to the moon
Let me play among the stars
Let me see what spring is like
On a-Jupiter and Mars
In other words, hold my hand
In other words, baby, kiss me
Fill my heart with song
And let me sing for ever more
You are all I long for
All I worship and adore
In other words, please be true
In other words, I love you
Fly Me to the Moon -- Frank Sinatra
Link to Video of Bellagio Fountains
Link to Studio Music Video
