July 8, 2010
99 Marietta Comes Up Short (For The Sellers) In Miraloma
There aren’t yet any interior shots attached to the listing, but it looks to be a well kept front behind which four bedrooms, two baths, Mt. Diablo views, and a storage area with "development potential" lies at 99 Marietta up in Miraloma Park.
Purchased for $850,000 in September 2005 with 20 percent down and a $680,000 variable rate loan, the 1,966 square foot single-family home has been listed on the MLS as a short sale with a list price of $688,000.
∙ Listing: 99 Marietta (4/2) 1,966 sqft - $688,000 [MLS]
First Published: July 8, 2010 9:30 AM
Comments from "Plugged In" Readers
A gem of a neighborhood many folks don't even know exists.
This is a very good price - 4 bedroom places in Miraloma Park have recently gone for 850K plus.
Posted by: Gil at July 8, 2010 9:53 AM
This is a pretty good neighborhood. My biggest complaint is you're wedded to your car here. But a lot of people don't mind that.
This asking price almost makes sense, assuming the place is not trashed, given today's record low rates. But only if you plan to stay 10-15 years -- prices will fall further, and declines will accelerate when rates tick up. 2004-08 buyers in SF (and just about everywhere else) are really screwed. The 2004 selling price makes no sense at all -- sold for $550k in 2000. An expensive lesson with the lost down payment, but if $688k is a short sale then it at least appears the owner paid no principal for 5 years, easing the pain a bit.
Posted by: A.T. at July 8, 2010 10:04 AM
Dumb to not have more pictures, especially in this market. They clearly have little interest in selling this.
Most buyers IMO use the internet to pre-screen their properties. No pics=no ability to prescreen. when I bought my house I skipped all listings without interior photos. if a photo was missing, I assumed the room was a catastrophe.
odd that this is going short sale.
original loan balance= $680k
short sale offer price=$688k.
That's more than the original loan balance.
I wonder if it was a negative amortisation loan as opposed to just a "variable rate loan"? perhaps they need the short sale to pay the transaction costs? (which would be maybe $30-40k or so).
this is the one of the many problems with these "innovate" loan products that multiplied through the national and also SF local RE markets throughout the 2000's.
Posted by: ex SF-er at July 8, 2010 10:11 AM
A.T. - at this location, you're about a 5 minute walk from Mollie Stone's and access to the 44, 48, 43 and 52 lines. Another 10 minutes and you're at Forest Hill MUNI. It's not the Mission, but this part of Miraloma is pretty walkable.
Agree with Gil - 4/2 for under 1700 here is a very good deal, but I'd like to see the inside and layout to see what's really going on. You get a lot of creative usage of BRs and square footage in Miraloma listings from time to time.
Posted by: 4h-clubber at July 8, 2010 10:11 AM
Doubt someone used a neg-am loan while also putting 20% down (unless there was some cash back at closing shennanigans going on). More likely that they just do not want to bring a check to closing and after the transfer tax and brokers get paid it is unlikely to clear $680,000 for the bank (it would need to sell for around $725k to make the bank whole). Hence its a short sell.
Posted by: Rillion at July 8, 2010 10:20 AM
Yeah, I bet they just need to cover their transaction costs. However, is it at all possible that there is a 2nd loan??? That's an important thing to know before putting in a short sale offer.
What happened to their automatic $250k appreciation? You aren't supposed to have a problem covering transaction costs after 5 years!!! Doesn't everyone know that???
Posted by: J at July 8, 2010 10:43 AM
The idea of automatic 40% 5 year appreciation only exists here, in mocking tones.
Posted by: anon at July 8, 2010 11:07 AM
In this case, $250k would have been 29.4% growth over 5 years.
The annual growth rate would have had to be just under 6% for that to happen.
And yes, I was mocking an actual realtor.
Posted by: J at July 8, 2010 11:16 AM
"The idea of automatic 40% 5 year appreciation only exists here, in mocking tones."
Not true at all. Ask 100 realtors if an SF buyer can realistically expect to see 7% appreciation each year for the next five years (i.e. 40% 5-year appreciation). I bet the majority would answer in the affirmative.
I agree with the point that this is a fantasy (a 20% decline is more likely imho), but "the idea" of this type of appreciation certainly exists far beyond the walls of this web site.
Posted by: A.T. at July 8, 2010 11:18 AM
That's more than the original loan balance.
If you don't make the interest-only payments, the balance goes up, right?
Posted by: BobN at July 8, 2010 11:22 AM
A hypothetical opinion poll with specific appreciation attached and a personal opinion about the hypothetical results doesn't get to the neighborhood of "not true at all."
Posted by: anon at July 8, 2010 11:34 AM
Even simpler, saying $250k is 40% of $850k is, "not true at all."
Posted by: J at July 8, 2010 11:36 AM
My biggest complaint is you're wedded to your car here.
Really? This place is practically at the grand intersection at the top of Portola/Market, Teresita, and O'Shaughnessy.
Posted by: EH at July 8, 2010 11:40 AM
There was a refi with WaMu in February of 2007 (not to mention going to the well with Indymac, Greepoint, and World Savings Bank in 2006). And let's not forget the recent NOD on April 26, 2010.
Posted by: EBGuy at July 8, 2010 11:52 AM
I don't want to argue math over made up 250K figures, or made up polls either. You can if you like.
Posted by: anon at July 8, 2010 12:04 PM
Ah fluj, can't stay away, huh? So tell me, on what basis do you assert that "The idea of automatic 40% 5 year appreciation only exists here, in mocking tones"? You just made it up! Nothing wrong with that -- this is just a blog. But it's pretty silly to criticize others for "made up" points when you do the exact same thing.
Posted by: A.T. at July 8, 2010 12:15 PM
Looking at the latest Miralom Life I see that 39 Marietta a 3/2 is asking 859K.
No pending sales for Marietta but two 3/2 pending sales within 3 blocks at 785K to 859K. Neither has a view.
If the house is in failry good shape and someone gets it for asking it's a great deal.
Posted by: Gil at July 8, 2010 12:49 PM
Check again...39 Marietta is sold at $790,000
3/2 2000 ft.
Posted by: dalowdown at July 8, 2010 1:32 PM
This is my hood (well close to it, I'm in Sunnyside actually). Prior to my purchase I bid on several so called "short sales" and came up short every time. Marietta is not the cutest street in Miraloma, but there is zero chance this will sell for less than $750 with 4 legal bedrooms. A view is worth $20k according to appraisers so barring any major inspection issues I think it will sell ~$800k. The "short sale" is just marketing.
Posted by: missionite at July 11, 2010 11:51 AM
Hard to say what it will sell for without interior shots of the house.
Regardless, I'm not crazy about the neighborhood. While you are within walking distance of the Forest Hill muni, it's quite a hike up and down those hills. It's also in the same hood as SF Juvenile Correctional Facilities. Probably not a big deal, but it may turn some buyers off.
Posted by: satchelfan at July 11, 2010 1:54 PM
Having fallen out of contract, the list price for 99 Marietta has just been increased to $750,000 which is likely closer to its "Approved short sale!" price.
Posted by: SocketSite at September 15, 2010 1:18 PM
Two months after falling out of contract and raising its list price to $750,000, the asking price for 99 Marietta has just been reduced to $695,000. Once again, purchased for $850,000 in September 2005 with 20 percent down and a $680,000 variable rate loan.
Posted by: SocketSite at November 5, 2010 3:00 PM
The list price for 99 Marietta has just been reduced to $612,500. Once again, purchased for $850,000 in September 2005 with 20 percent down and a $680,000 variable rate loan.
Posted by: SocketSite at November 22, 2010 2:39 PM
The NOTS was filed on July 27, 2010. I leave it to the experts to handicap whether this one goes the distance...
Posted by: EBGuy at November 22, 2010 3:52 PM
"...there is zero chance this will sell for less than $750 with 4 legal bedrooms...so barring any major inspection issues I think it will sell~$800k."
"The list price for 99 Marietta has just been reduced to $612,500."
I'm so confused with this SF market
Posted by: jack at November 22, 2010 5:13 PM
Briefly back in contract but now back out, the listing for 99 Marietta is once again active and its list price has been raised to $685,500, perhaps closer to a new new "Approved short sale!" price.
Once again, purchased for $850,000 in September 2005 with 20 percent down and a $680,000 variable rate loan.
Posted by: SocketSite at January 11, 2011 5:32 PM
RealtyTrac claims it has a date at the courthouse steps on March 18, 2011. Tick, tick, tick...
Posted by: EBGuy at January 11, 2011 5:42 PM
Any idea what the balance due is? It looks like the bank was originally trying to get $750K, but now is settling for roughly par on the note.
Posted by: sfrenegade at January 11, 2011 5:56 PM
Posted by: SocketSite at February 18, 2011 5:32 AM