Posted on 09/12/2017 2:22:13 PM PDT by NohSpinZone
Outrageous bubble pricing of homes happened right before the 2008 crash.
They could have mine for half the price. 4K square feet, ten stall oak barn with apartment and shop, 72 acres of pasture, woods and row crop. Includes a quarter mile of undisturbed Confederate earthworks and two box deer stands.
Correct. Right up the Peninsula from Sunnyvale in Palo Alto was this sale of $1.8 M for a condemned house.
http://sanfrancisco.cbslocal.com/2014/10/21/uninhabitable-palo-alto-home-on-market-for-1-8m/
Ha! I love the five different photos of the sad speck of lawn in the backyard as a key selling point.
People who buy in this price range from other countries are most likely from china, at least in California. Some Indians may be in Silicon Valley.
there are MANY Communist Chinese desperate to hide some $$$ overseas, and since they know Chinese people in Cali...a LOT of the corrupt factory manager and drug money comes to Cali
you are looking at a simple tract home which sold for between $6,000 and maybe $60,000 depending on its year of construction (95% of the houses sold in those years)
from the criminal or communist Chinese perspective,
it is better to overpay if necessary, than NOT to hide some money outside the PRC
call it ‘capitalist diversification to reduce portfolio risk” .. ha ha... those commies learn FAST, ha ha ha
meanwhile, working American engineers with advanced degrees have to commute up to 120 miles each way each day, to find housing they can afford (IF they can get jobs in Silly-Con Valley, where over half the jobs in many factories are given to Communist Chinese, Indian, and other foreign import workers)
It is a free market.
If the buyer really-really wanted that particular house and was willing and could afford to pay for it, fine.
It’s a 13,000 sq ft lot. Given that the area isn’t what you’d spend much time outside for, one could easily raze what’s there and drop a 10,000 sq ft multi-$M mansion in its place, living up to the land value.
It’s just a few miles from San Francisco proper, Big Basin Redwood State Park, Berkeley, a small airport, and the ocean in general. If you’ve got $5M to throw at housing, and that kind of area is your kind of thing (true for many), then heck yeah buy that lot and put a nice house on it.
What would the realtor’s take on this be? At 6% that would be $60K. You wouldn’t need to sell too many to make a nice living, unless, of course, you were buying homes there.
Sorry. Figured on a million. At the sale price the realtor’s take would be $150K?
10% property tax?
What you smoking?
I was close to accepting a job offer in the bay area in 1999, to the point of looking at houses. The only thing I could find that I’d have even wanted to live in that I could even remotely afford was a clapped-out small 3/2 ranch in Half Moon Bay that really needed everything, full renovation and some deferred maintenance to address as well. A little sliver of a Pacific view, though, neighborhood not bad. $325,000 which I thought was absolutely nuts, that would have bought a fine 3,000+ sq ft house in perfect condition with all the bells and whistles on acreage here in NC for the same amount at the time. Then, the dot com bust happened and the offer fell through, so here I am, still in NC which is OK. I wonder what that place would sell for now, though. At least a million, I have no doubt.
Even adjusted for inflation, houses like this are selling for 15 to 20X their original prices.
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I’ll settle for selling ours for 8-10X. The state is corrupt and will grab its “fair” share regardless,, and as for the next owner ,, uhh sucker.. Good luck and Caveat Emptor..
as to the crooks,, Mother Nature and worms will deal with them eventually..
Oh that house at least looks nice!
I know someone who had a 2 BR 1950s pillbox in Sunnyvale ... a real dump. Sold for over 2 Million.
My MIL house in Mountain VIew, built in 1948 and no upgrades except appliances just sold for 2,140,000. My in-laws purchased it in the 70’s for 46,000.
Why do you assume it will recover? I'm more inclined to believe it will just devolve into 3rd world status.
Smells like money laundering.
It is all about the monthly mortgage payments. In an environment with very high rental rates and very low interest rates the high home prices make more sense.
I’m surprised there’s a house left in Sunnyvale.
Property tax in CA is forever frozen at the purchase price.
Proposition 13.
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