Tuesday, November 9, 2010

Downward Price Action: 368 Park Place

We're trying not to inundate the site with Corcoran listings, especially not ones already in contract, but what can we do? They get listings, they actually show them, they provide pictures, addresses, layouts, descriptions. Every now & then they'll actually call you back. Corcoran definitely puts your place on the map. We had to take a look at this one, though, because it's a fascinating case with some interesting price action. Check out the Price History from Street Easy for 368 Park Place:

04/17/2008 -- Listed by Corcoran at $1,850,000.
05/01/2008 -- Price decreased by 3% to $1,799,000.
05/07/2008 -- Listing is no longer available.
05/15/2008 -- Re-listed by Corcoran.
05/21/2008 -- Price decreased by 6% to $1,700,000.
08/14/2008 -- Price decreased by 6% to $1,600,000.
10/12/2008 -- Price decreased by 5% to $1,525,000.
11/09/2008 -- Listing is no longer available.
12/03/2008 -- Re-listed by Corcoran.
03/21/2009 -- Price decreased by 2% to $1,500,000.
08/09/2009 -- Listing is no longer available.
09/29/2009 -- Re-listed by Corcoran.
09/29/2009 -- Price decreased by 7% to $1,399,000.
01/01/2010 -- Listing is no longer available.
03/06/2010 -- Re-listed by Corcoran.
03/18/2010 -- Listing is no longer available.
03/31/2010 -- Re-listed by Corcoran.
08/17/2010 -- Listing entered contract.

Yes, before the crash there were lots of hopeful candidates in the $1.8M range. We're not even sure how, according to Property Shark, this property ended up with a Lis Pendens filed 3/30/2009. From what we can tell, the owner owned it outright and pulled just about $1M in equity out in 2005. There should have been ways to keep that loan afloat before going into foreclosure, right? Or a sales price that would've worked prior to it getting to that point?

Either way, the listing almost dates itself by calling this "a diamond in the rough". It's neither that much of a diamond, nor actually in the rough (anymore). The inside is only so-so for the price and the 2-Family status:

414 Park Place would still be a way better buy as a pricey 2-Family. Heck, this place even makes the pricing on 407 Sterling look more appropriate.

Pro's: curb appeal, location, proximity to the park, decent interior

Con's: price, 2-Family status is limiting, way better properties were out there for the same cash

Ideally: This goes for a price the buyer and seller can both live with. It will be very telling to see how much. And it should serve as an example for some other mis-priced properties that ya don't wanna be behind the pricing curve in a down market and end up in a race to the bottom.

1 comment:

  1. Closed for $1.32M on 1/13/11