Purchased in August of 2005 for $1,030,000 and establishing a Lakeside (District 3) neighborhood “comp,” 2924 19th Avenue returned to the market yesterday with a list price of $988,000.
Refinanced in November of 2006 with a total mortgage balance (first and second) of $1,087,000 (assuming PropertyShark is correct), a sale at up to 10% over asking will likely still be “short.”
∙ Listing: 2924 19th Avenue (3/2) – $988,000 [MLS]

4 thoughts on “An Early Withdrawal Of Lakeside Equity That Really Didn’t Exist?”
  1. These guys were VERY smart. They bought it 100% financing in 2005, and then cashed out 100% a year later.
    If you look at the prop tax records, you’ll see that they were even smart enough to petition for and receive a reduction in their property tax (generally granted where the petitioner can show declines in value of comps). Talk about chutzpah! On the one hand they are convincing a stupid bank lending officer that the house is worth MORE, and on the other convincing an equally stupid city government that the value went DOWN. (Ok, maybe there were a few months in between those events, but just a few….)
    Again, very smart. Stop paying now, enjoy the free rent, and let it slide into foreclosure. I haven’t seen this particular house, but know the area well. Fair value on a property like this is $500-600K, no more. It might take a few years for this to become obvious….

  2. ” Fair value on a property like this is $500-600K, no more. It might take a few years for this to become obvious….”
    Speaking of chutzpah ….

Leave a Reply

Your email address will not be published. Required fields are marked *