One of my prior posts is about the 20 Timor Sea home sale last summer and how its lofty, full price sale of nearly $5,500,000 now compares to recent sales of comparable homes in Crystal Cove.
Well, hang on to your hats because 16 Archipelago just sold for $3,650,000.
16 Archipelago is a 5000 square foot, 5 bedroom home with a pool and breathtaking coastline views. 20 Timor Sea is a 5000 square foot, 4 bedroom home with a pool and breathtaking coastline views. You can look at the listings and make your own conclusions, but these homes look darn similar to me. This does not bode well for the value of the 20 Timor Sea home, in my opinion.....Dare I ask our real estate agent friends if 20 Timor Sea is now worth $3,650,000, a shocking $1,850,000 less than its purchase price of a few months ago????
Showing posts with label 20 Timor Sea. Show all posts
Showing posts with label 20 Timor Sea. Show all posts
Tuesday, October 26, 2010
Tuesday, October 12, 2010
Buyers Remorse Part III - Another Recent Crystal Cove Buyer Burned
Lets say you just bought a nice home on 20 Timor Sea in Crystal Cove in July 2010 for about $5,500,000.
So far, so good, if you can afford to buy at that price. But read on and you'll discover how to lose over $400,000. Per month. UPDATE: It appears that the 20 Timor Sea buyer paid full list price for the home. Amazing that anyone would enter a deal at full list price in this market. Kudos to Jim Weisenbach of Surterre Properties Inc.for getting this for the home owner!
Anyhow, back to our history. July turns into August as months go by and sales slow even more in Crystal Cove.
Then your uphill neighbor, with a much bigger mansionesqe Crystal Cove home on 11 Currents, sells in October of 2010 for only $5,000,000. This is less than this home sold for in 2006.
Gulp. The 11 Currents sale is about 25% less on a per square foot basis compared to what was paid for 20 Timor Sea. That house on 20 Timor Sea is not looking so good now. A 25% decrease in value from $5.5 million is a loss of $1,375,000. In about 3 months. That's over a $400,000 loss per month. This is more evidence that the high end is declining........and that buyers need to be really careful - after the agents collect their commissions, it is the home owner that has to live with the transaction.
So far, so good, if you can afford to buy at that price. But read on and you'll discover how to lose over $400,000. Per month. UPDATE: It appears that the 20 Timor Sea buyer paid full list price for the home. Amazing that anyone would enter a deal at full list price in this market. Kudos to Jim Weisenbach of Surterre Properties Inc.for getting this for the home owner!
Anyhow, back to our history. July turns into August as months go by and sales slow even more in Crystal Cove.
Then your uphill neighbor, with a much bigger mansionesqe Crystal Cove home on 11 Currents, sells in October of 2010 for only $5,000,000. This is less than this home sold for in 2006.
Gulp. The 11 Currents sale is about 25% less on a per square foot basis compared to what was paid for 20 Timor Sea. That house on 20 Timor Sea is not looking so good now. A 25% decrease in value from $5.5 million is a loss of $1,375,000. In about 3 months. That's over a $400,000 loss per month. This is more evidence that the high end is declining........and that buyers need to be really careful - after the agents collect their commissions, it is the home owner that has to live with the transaction.
Subscribe to:
Posts (Atom)