The Legacy
The Legacy -- Iron Maiden
The high end of Irvine's resale market peaked in early 2007 largely due to the availability of 100% financing to people with good credit. Once this form of financing was removed, so was all support of the inflated prices. Today's featured property is was a $1,050,000 property at the peak. The fact that it went into foreclosure in just over a year strongly suggests some fraud was involved. In order to avoid prosecution for fraud, the straw buyer must make at least 2 payments. Based on the timing of the foreclosure, it certainly appears as if the buyer made two payments then simply stopped and let the property go back to the lender in a foreclosure.
Asking Price: $864,900
Income Requirement: $216,225
Downpayment Needed: $172,980
Monthly Equity Burn: $7,207
Purchase Price: $1,050,000
Purchase Date: 5/9/2007
Address: 53 Legacy, Irvine, CA 92602
| Beds: | 5 |
| Baths: | 4 |
| Sq. Ft.: | 3,683 |
| $/Sq. Ft.: | $235 |
| Lot Size: | 7,056 Sq. Ft. |
| Property Type: | Single Family Residence |
| Style: | Mediterranean |
| Year Built: | 1998 |
| Stories: | 2 Levels |
| Area: | West Irvine |
| County: | Orange |
| MLS#: | P653759 |
| Source: | SoCalMLS |
| Status: | Active |
| On Redfin: | 5 days |
mediterranean? floorng? seperate (twice)?
This property was purchased with a $787,500 first mortgage, a $262,500 second mortgage and a $0 downpayment. JP Morgan/Chase bank bought the property back at auction for 779,900, and now they are trying to recover some of their second mortgage. Good luck with that. If this property sells for its asking price, and if a 6% commission is paid, the total loss will be $236,994. That is a hefty loss on a loan just over 1 year old...
.
Tell you a thing
That you ought to know
Two minutes of your time
Then on you go
Tell tale of the men
All dressed in black
That most of them
Not coming back
Sent off to the war
To play little games
And on their return
Can't name no names
Some strange yellow gas
Has played with their minds
Has reddened their eyes
Removed all the lies
And strange as it sounds
Death knows no bounds
How many get well
Only time will tell
Only time will tell
The Legacy -- Iron Maiden
What happened to the “Big Spender” post from a few hours ago?
I had profiled the property before, so I removed it.
I have been reading for quite a long time and I do not remember this property. If it does not get you in trouble please bring back the “Big Spender” post from this morning.
How come you didnt remove this post? You profiled this property before as well.
I’m so glad that question was asked & answered. Thought I was hallucinating. It was removed while I was looking at the listing pictures, then poof!
If this one does not sell within a month, a knife catcher likely can steal this one at $700-725k at the end of the year.
“knife catcher” & “steal” in the same sentence is an oxymoron.
True. However, knife catcher was meant for longer term, and steal was meant relative to the current asking.
I’m looking at purchasing a property in Columbus Grove. What’s a good price/square foot? Is $240/square foot too high?
I think you need to provide some more information. Are you looking for a fixer-upper, or something that is move ready. A house or a condo? Etc, etc.
I don’t think there are fixer-uppers in Columbus Grove. The oldest part of CG is still two years new…
Larger homes in CG have been selling in the $280/sf range of late. At $240/sf, you wouldn’t be that far off from bottom IMO… I think that SFRs in that area will bottom out around $225/sf. Mello roos are killer there.
I noticed KB was having a special “sale” this weekend at its Madison development in CG. Anyone stop by?
Funny how a couple of years ago thousands of people showed up to get on the builder’s waiting lists…
I live across the street and now I don’t see anything happening over there…
I wouldn’t recommend buying in CG If I were you. The Mello Roos and HOA are $800 a month. For that kind of money, you can by a house worth $200k more than what you will pay in CG, with out mello roos.
Bring your toxic waste “bunny suit” and respirator to the closing. Pay close attention to the documents they ask you to sign, particularly the one about swearing not to grow any vegetables on your property. Now, why would that one be in there. Oh, yeah, you’re sitting six inches above a toxic waste pile.
Yup, they dumped six inches of clean topsoil over the Superfund waste. Enjoy watching the little one grow another ear after she spends the day digging in the yard.
The owner was renting out rooms to various people at this house, so he was making a nice chunk of change while defaulting on this mortgage…
just curious ipop, how did you come by this piece of inside info.
Can’t remember where I heard it from. What I do remember is that someone wanted to go see the house when it first listed and they were told at the time that some bedrooms might be locked and not available for viewing… Might have even been posted in the forums, not sure.
You think they’d want to take some pics of the yard, as that’s a fairly big lot for Irvine. The kitchen color combo seems odd.
Maybe the bank doesn’t care and thinks some knife-catcher will buy it regardless.
And you guys thought I was bearish:
http://globaleconomicanalysis.blogspot.com/2008/09/when-will-southern-california-home.html
“Seen another way, nominal SoCal median house prices will not bottom until prices return to the ‘99-‘01 levels, implying another 20-30% avg. decline in prices hereafter; but even then nominal prices will likely not rise more than inflation for many years thereafter.“
That reverting to the mean thing is a real bitch huh?
You had houses in Coto selling for $1.5m+ that rent for $3200.
You had houses in Santana selling for $600K that wouldn’t rent for $1400.
No kidding? Just another 40%?
This gets worse before it gets better.
Good LAT article…
http://tinyurl.com/6qo5wy
Any chance this will hit $125/sqft? Is that unrealistic?
This property has been profiled before on IHB -
S521032 @ $849,995
It was listed at $849,995 and had backup offers but not sure how it ended up in foreclosure.
now, I got something..thank you, you are so good
Yes. I remember this original listing. The blue car in the driveway. And IPO had it in escrow on his site, but then it was cancelled.
Funny, how “no HOA” can be considered a feature. That is one of the main detractors for me for this house and this neighborhood. There is limited street parking. Whenever I visit friends in this part of West Irvine, I feel constricted. I’m not sure if the lack of a HOA is the reason.
Hypothetical Question:
Back in 2004 ~ 2006, If I wanted to make a lot of money I could just buy a house with no money down, then HELOC the crap out of it, and then walk away after 2 payments.
The law won’t be able to touch me?
Could I then store the money I HELOC’d in the caymen islands or something? 5 years later, I have $200,000 and I’m ready to down pay…
Is there a way for the bank I screwed to sue for the money they lost?
The thought has crossed my mind…
Unless the bank went through a judicial foreclosure (which they rarely do,) then no, they can not go after the money lost. Let’s just say the system, if not changed, has some moral hazard issues.
I’m glad we’re under $250/sqft for tract homes, finally. Look down the street(s) in the front view - every house looks nearly the same. $865k for something not unique in any way; insanity.
Not a bad house overall, but I would certainly expect more for that price. Especially seeing what you could get in Austin (seen on OCRenter’s blog) for a little more than the down payment on this. Yes, I’m well aware of the differences between Austin and Irvine so save your diatribe for another occasion.
I was looking at houses in Malibu over the weekend. There was a house in nice condition, nice view, selling for $1.6 million. Problem is, the most recent comparable was for $1.02 million. It was just down the street, similar size, similar view.
The agent said the less expensive home was a foreclosure and a bit of a fixer.
Doing a quick calculation in my head, I said “At just under 3000 square feet, I could flatten a fixer and build a new home on the same foundation for $200 per square foot. I would have all new construction and exactly the materials I wanted. I don’t think it justifies the $600k price difference.“
Malibu, logical thinking just won’t work in that equation. Home buying is an emotional decision. Don’t confuse the Realtor with facts.