First, the listing agent is out of the area (West LA) and didn’t even list it in the Arcadia Multiple Listing Service. This automatically eliminates 90% of agents from even knowing about this home being on the market.

Second, it’s ridiculously overpriced at $463/sq.ft. when homes are selling in the low $400/sq.ft.

Third, it’s sad that a lot of agents do not understand how to price short sales. The price is not set by the bank but by the agent and seller. The bank doesn’t even want to look at pricing on a home sale until a bonifide offer is submitted to them. Only at that point, will they review the offer against their guidelines and make a determination on how much of a loss they will take on a home.

It just doesn’t make sense to price a short sale higher than the going homes on the market. The idea is to price the home low and negotiate with the bank on the sales price once an offer is received.

Looks like this home will be sitting on the market for quite a while.

I would buy this home today for ~$425K. And I would try to fix it for $75K and live in it. I think that’s is true value. Sure it has a nice yard, but unless there is a gold mine under it, then $860 is way to much.

I have lived in the San Gabriel Valley for almost 20 years and always knew that Arcadia would be more expensive than its surrounding neighbors. But to carry a double or even triple premium?

If it was really about the school district, I’d buy a shack in San Marino for $1MM and send my kids to school there instead. But hey, even that $1,000,000 can get you 2,000sf single family home (on a busy street).

The sellers would have better luck buying Lottery tickets!

There are so many of these types of deals all over SoCA that’s why I see the RE collapse lasting into 2010-1.

So the bank will take the monthly utility and semi annual property tax hits for 12-18mos until reality sets in and the home goes for $500k?

If the purchase price was $860k in 2006, which was close to the peak, then drop 15% to 20% off of that price at the very least.

My prediction, would be $575k to $625k.

Harsh, unemployment is at 7%, and rising, the Alt – A, option arm crisis is just starting to hit.

Who want to guess on the impact of the Option ARM crisis to the Arcadia area? Will it have a greater impact then Sub Prime crisis.

Both the owner and the lender deserve to suffer in financial hell.

I do not know what is under Peacock Village, but asking nearly $1 million for a rundown 2/2 in 2008 simply is out of this world.