February 24, 2012
Millennium Tower Apples-To-Apples Take Two
With Millennium Tower 70 percent sold and sales volume picking up, we turn our attention to a one-bedroom apple to be in the building.
Purchased for $884,000 in March of 2010, 301 Mission Street #17C hit the market this past October listed for $849,000 before being withdrawn from the MLS in December.
Today, the 833 square foot corner condo was listed anew for $849,000 and with an official one day on the market once again.
∙ Listing: 301 Mission Street #17C (1/1) 833 sqft - $849,000 [Redfin]
∙ Millennium And One Hawthorne 70% Sold, Madrone Closings In July [SocketSite]
First Published: February 24, 2012 9:30 AM
Comments from "Plugged In" Readers
Are you allowed to call the only bath, the 'master' bath? =P
Posted by: wc1 at February 24, 2012 9:41 AM
The current owner bought after the peak, yet still spent $7000 per month to live in a small one bedroom in a construction zone.
Posted by: tipster at February 24, 2012 9:48 AM
Plus HOAs of $800/mo
What would a typical mortgage look like for this? I'm curious.
Posted by: lolcat_94123 at February 24, 2012 10:08 AM
I've been in one of the units. There's really nothing all that special nor unique about it, except the floor-to-ceiling doors, which I've always liked. WAY over-priced for what these are.
Posted by: Eh at February 24, 2012 10:30 AM
In a regular ONE BEDROOM / ONE BATH condo calling the bath a "master bath" and the bedroom a "master bedroom" is, at best, pure realtor BS.
Posted by: futurist at February 24, 2012 10:57 AM
I like the layout of the master kitchen. Also, although the master foyer is a bit cramped they did a great job in turning it into a master office.
Posted by: asiagoSF at February 24, 2012 11:03 AM
Where are you guys getting $7000/month from? At today's rates a variable with 3% teaser would mean $3000 a month if you put 20% down (not including HOA and property tax). Decidedly not insane, at least not until your rate resets.
Posted by: Robert at February 24, 2012 11:57 AM
I should also add that it seems to me that with HOA and property tax, you're only paying maybe a 30% premium over a market rate rental to build equity. I haven't done the math but it doesn't seem too bad.
Posted by: Robert at February 24, 2012 12:01 PM
If you put 20% down and can get a 30 yr 4% mtg your payments would be about $3,250. I didn't see HOA fees in the listing, but they are likely in the $700 range, putting your total cost at around $4,000 (not including any taxes). It looks like rents in the area are around $2,900 for a 1 br, so you're paying roughly a 38% premium to build equity.
It does seem like the unit is a little over priced on a rent equivalent basis and on a comp unit basis, especially when there are a number of other units for sale in the $550k-650k range.
It will be interesting to see what this goes for.
Posted by: Russ at February 24, 2012 12:37 PM
Mortgage after tax + HOA and parking was $4K (two years ago interest rates)
Add $75,000 in loss + realtor fees spread over 24 months, for another $3K.
And stop with the "building equity" schtick. You guys are killing me! How much "equity" did the current owner build? Other than for the realtors, that is.
Posted by: tipster at February 24, 2012 12:56 PM
One bedroom at the Millennium for only $2,900 rent?? No way. Even the Beacon is going for $3,000+ now. On craigslist, they go for between $3,670 to $3,970. It's still a bit cheaper to rent vs buy but isn't as bad as portrayed.
Posted by: Samuel at February 24, 2012 1:43 PM
Ok, how about not building equity but diversifying your investments (aka making a 20% downpayment amount), and having a 10/1 interest only at 3% for a total mortgage payment of $1700 a month.
Posted by: Robert at February 24, 2012 3:19 PM
@tipster, obviously you can't build equity in a year. I think Russ was arguing from a long term investment perspective.
Posted by: kg at February 24, 2012 4:30 PM
The list price for 301 Mission Street #17C has just been reduced to $829,900. Once again, purchased for $884,000 in March of 2010.
Posted by: SocketSite at April 19, 2012 8:57 AM