SocketSite™

On some of these apples-to-apples, I wonder if NRCCs are making the shortfall look even less than it actually is...

Someone should run the rent v. buy analysis here, so that we can grasp exactly how much wealth of the buyer was destroyed here.

I suspect the "true" selling price was a bit lower than $740K as well. I'm told that it is becoming "standard" now to credit buyers with 1-3% fo closing costs. Apparently the lenders are ok with rolling up to a 3% credit at this price range into the loan (someone with detailed knowledge can chime in here). It happened to a friend of mine who just sold his SFH in a reasonably nice part of Oakland. ALL potential purchasers demanded selling concessions to cover the buyer's closing costs. I bet when this sold two years ago, this seller paid his closing costs out of his own pocket!

There are several other apartments in this area that have either failed to sell or which are sitting. A couple at 1810 Polk St (asking $995k - $100k over sales in Nov '06!), one in 1650 Jackson that's been withdrawn, one in 1800 Washington that's been withdrawn and another in the same building (#614) that sold for $501k in 3/05 and is now on sale for $539. There are also two in 1650 Jackson that have recently come on the market. Few of these properties are going to sell for their current wishing prices, imo.

"Another Apple Speaks ..."

Damn you Socketsite. Talking apples are going to torment me in my nightmares tonight. :-O

Could it be possible that some of the depreciation is due to the fact that the original purchaser paid a premium for buying a brand new property ? That new condo smell isn't cheap yaknow and it fades away after a year.

The cleanest apples-apples comparisons don't involve brand new purchases (or remodels either).

And please for the sake of mental health lets avoid anthropomorphism of those apples :-)

Could it be possible that some of the depreciation is due to the fact that the original purchaser paid a premium for buying a brand new property ? That new condo smell isn't cheap yaknow and it fades away after a year.

i'm not sure about this. Many buyers in the towers-that-shall-not-be-named assume that their units will appreciate precisely because they bought it new at a "discount"

that said: I tend to agree that a new home will go for more than a comparable used one...

however, it's been 20 months... the first half of that was when SF was booming, so there should be some cushion, no?

and lastly (I can't resist): who cares what Apple says... this is a Google town!

$740k is a lot of change to spend to live in the Tendernob.

As we all know, neighborhoods can de-gentrify too...

Hi all,

there seems to be a copycat spencer. I did not write above ridiculous post. This is not the tenderloin, but i still think 1158 sutter is.

Socketsite, is there a mechanism to stop people from user the same username?

There's no way that this is Tenderloin or even Tendernob. It's a good 5 blocks from being Tendernob and a good 8-10 from the 'Loin. Hell, it's 2 blocks away from the accepted border of Pac Heights (California & Franklih).

anyone seen the dataquick Feb stats for SF?

Those feb sales numbers - a total surprise to me!!

Yeah, a 15% increase in sales from last February is definitely worth reporting... I'm sure all the added inventory though helped boost the numbers.

Actually, here's a source that says inventory was DOWN last month:
For sale property inventories increased in 19 of 22 markets during February. The Altos 10-City Composite showed a supply increase of 2.5% for the month. Property inventories declined in only three markets: Chicago, Indianapolis and San Francisco.
http://www.prweb.com/releases/realestate/data/prweb765444.htm

[Editor's Note: We can only assume Altos is reporting MSA inventory, because Active inventory in San Francisco County (both listed and unlisted) is up not down.]

If I remember correctly, my agent took me to see one of these units back in mid-'06. One of the units was a resale and had a clear leak and water damage to the floor, which was poorly attempted to be covered with a rug. Another unit was brand new, and I specifically remember the developer's agent trying to tell me that the unit had hardwood floors, to which I said, "Oh, I didn't realize that Pergo or laminate floors qualified as hardwood floors." He confirmed, yes, it is hardwood flooring. But, you know, what does an ignorant buyer like me know about quality, anyway?

And, being that the unit is clearly on a very busy street, I asked who (or if HOA) washes the windows? The agent told me I could do it myself! Wow! With no amenities and with (bed)rooms that look out into a wall of another unit or a dark walkway, talk about a bargain sale price and a good use of my HOA dues, huh?

Once again, the neighborhood is called Polk Gulch!

"He confirmed, yes, it is hardwood flooring. But, you know, what does an ignorant buyer like me know about quality, anyway?"

Keep in mind that the number of different types of flooring on the market is dizzying. Perhaps it was hardwood laminate instead of solid hardwood flooring. Many hardwood laminates have the look of real wood -- because they are, with the wear advantages of less expensive laminates which bear only a photograph (or similar likeness) of real wood.