Comments on: 48 Years of Ownership - $887k Equity http://www.arcadiahousingblog.com/2008/08/06/48-years-of-ownership-887k-equity/ Tracking the Arcadia and San Gabriel Valley Housing Market Thu, 08 Jan 2009 22:13:52 +0000 http://wordpress.org/?v=2.5.1 By: TheArcadian http://www.arcadiahousingblog.com/2008/08/06/48-years-of-ownership-887k-equity/#comment-3996 TheArcadian Thu, 07 Aug 2008 04:28:16 +0000 http://www.arcadiahousingblog.com/?p=618#comment-3996 Thoughts on 400 Hillcrest, It was purchased in 1987 for $210,000; an era facing its own housing bubble. Let's forget that the fact that housing prices bottomed out from the early to mid 90s. Assuming 7% appreciation over the next 21 years, this comp is worth $869,518 ($329/sf). Given some upgrades and proper maintenance, $950k seems reasonable. Matt, according to PropertyShark.com, the maximum first mortgage was taken at $748,000 and a cool $202k was used for the down payment (21%). Thoughts on 400 Hillcrest,

It was purchased in 1987 for $210,000; an era facing its own housing bubble.

Let’s forget that the fact that housing prices bottomed out from the early to mid 90s. Assuming 7% appreciation over the next 21 years, this comp is worth $869,518 ($329/sf). Given some upgrades and proper maintenance, $950k seems reasonable.

Matt, according to PropertyShark.com, the maximum first mortgage was taken at $748,000 and a cool $202k was used for the down payment (21%).

]]> By: Monrovia Man http://www.arcadiahousingblog.com/2008/08/06/48-years-of-ownership-887k-equity/#comment-3995 Monrovia Man Thu, 07 Aug 2008 04:03:57 +0000 http://www.arcadiahousingblog.com/?p=618#comment-3995 Matt, I personally know the Seller. He sold the property to his daughter. The 400 Hillcrest is not a reliable comp because it is most likely worth even more. Matt, I personally know the Seller. He sold the property to his daughter. The 400 Hillcrest is not a reliable comp because it is most likely worth even more.

]]> By: Matt http://www.arcadiahousingblog.com/2008/08/06/48-years-of-ownership-887k-equity/#comment-3993 Matt Thu, 07 Aug 2008 01:26:08 +0000 http://www.arcadiahousingblog.com/?p=618#comment-3993 I am surprised that someone bought a house for $950K on June 3. Definitely a knife catcher. Can you find out the loan details? Did the new homeowner put down 20% or more and take out a 30 year fixed loan? I am surprised that someone bought a house for $950K on June 3. Definitely a knife catcher. Can you find out the loan details? Did the new homeowner put down 20% or more and take out a 30 year fixed loan?

]]> By: george8 http://www.arcadiahousingblog.com/2008/08/06/48-years-of-ownership-887k-equity/#comment-3989 george8 Wed, 06 Aug 2008 15:29:24 +0000 http://www.arcadiahousingblog.com/?p=618#comment-3989 Very rational analysis on the fair price. I'd just add that this house could go below $500k in 2010 if we should suffer a prolonged stagflation with high unemployment rate of 8-10%. Why below $500k? $3000 rent x GRM160 = $480k. Very rational analysis on the fair price. I’d just add that this house could go below $500k in 2010 if we should suffer a prolonged stagflation with high unemployment rate of 8-10%.

Why below $500k? $3000 rent x GRM160 = $480k.

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