It’s rollin’ ’round the bend,
And I ain’t seen the sunshine,
Since, I don’t know when,
I’m stuck in Folsom Prison,
And time keeps draggin’ on,
But that train keeps a-rollin’,
On down to San Antone.
Well, if they freed me from this prison,
If that railroad train was mine,
I bet I’d move out over a little,
Farther down the line,
Far from Folsom Prison,
That’s where I want to stay,
And I’d let that lonesome whistle,
Blow my Blues away.
Folsom Prison Blues — Johnny Cash
Today’s property is the lowest priced unit in Irvine, and it is very near the breakeven point for an owner occupant as evidenced by these comparative rental units asking $1,095 and $1,195. The problem is the same one all small condos face: who wants to be an owner-occupant? This unit is a tiny prison, and the person who buys it is going to be trapped there for the duration of the bear market. They would probably be listening to a lot of Johnny Cash…
Income Requirement: $44,875
Downpayment Needed: $35,900
Purchase Price: $191,826
Purchase Date: 6/11/2007
Address: 171 Streamwood, Irvine, CA 92620
|On Redfin:||9 days|
Great Location at a Fantastic Price! Enjoy the sounds of meandering streams from one of the least expensive condos in all of Irvine. This studio unit is on the ground floor within a great community close to shopping, dining and transportation. numerous association amenities including 2 clubhouses, 2 pools, 2 spas, and tennis courts make this a great place to live!!!
The two needless capital letters at the beginning were excusable, but then he added three exclamation points after offering his dubious opinion of “great” living. Do you really think this realtor thinks this is a great place to live?
I am not sure if this was an REO or just a really stupid flip attempt. In either case, the 2007 purchase was a discount off the 2005 price. If the current seller can get their asking price, they stand to lose $23,132 after a 6% commission. Of course if this is an REO, and if the lender had $210,000 in it originally, the loss is closer to $45,000.
Also take note of the 1998 price. This was probably its worth to an investor in 1998 using a 100 GRM. This unit or similar ones will probably be heading down to the 100-120 GRM range because the only people who would be interested in owning them would be an investor looking for positive cashflow as a rental. This is also one of the reasons condos will crash particularly hard in the bear market because people will not want to be imprisoned in one for long.