SocketSite™

my favorite pieces of the write up on this property are " ... conceptual design for new rear 3-story renovation."

WooHoo!!! I get a "conceptual design too!?!" well that must be worth a few hundered K alone!!!

and "New foundation under main portion of house, the remaining work will be the fun part!"

Yes folks I just spent 2.5 million for a 'fixer upper'. I am not sure what is more fun. The second job I got to afford the mortgage payment or the 'remaining work' I get to do on my home.

Hope the new owner doesn't have family, kids, or ideas of social life and vacations. but who needs that they will be having so much 'fun' with their new home.

But hey...you can live in the cottage while you spend your life renovating.....

badlydrawnbear - it's only $1,424,000 for the 'fixer upper'. and $1m to fix it up...

I've seen this so many times. Homeowner asks the realtor "How much is it worth". Realtor says, well, renovated,it will bring $X. The way it is will bring $X/2 (or something much less than $X).

The homeowner gets the $X stuck in his/her head. They get the plans done, and realize that it's going to take a lot of work and money to do the job. So they list it, "plans" included, for $X.

Last year, some idiot would buy it and pay $X. With the rising market, by the time they were done renovating it, it would be worth more than their basis.

Now:no way. By the time you are done,they'll be selling perfect condition places for what you paid for the shell and you'll feel like an idiot.

Now these places sit, and only the redone places sell. The price people are paying for ones completely redone is about the same as the fixers last year, so prices remain the same or are even slightly higher. This allows the real estate agents to say,"See! Prices haven't budged! No Downturn here!!" Those of us who watch the market know better.