Pacoima townhome - from 435K to 269K in one year (Los Angeles: short sales, real estate)

[LALady]

Townhouses at Hoyt and Van Nuys Boulevard, Pacoima.

I would drive past this townhome complex while it was being built, wondering what its fate would be. Shortly after completion there was a large sign advertising the condos for $370K, 0 down. The market had already started to tank. Original prices were about $435K (probably even more for this 4 + 4). Now there is one listed as a short sale for 269K. I'd be royally p*ssed if I'd paid 435K in 2007 and saw my neighbor drop to 269K (and still not sell). No wonder so many people are turning in the keys.

What would the price have to drop to for you to buy in this area?

[EscapeCalifornia]

They'd need to drop another $166k.

[LALady]

Originally Posted by EscapeCalifornia

They'd need to drop another $166k.

so you'd buy at 103K? OUCH.

by the way, the moderators removed my link because it was a real estate link but if you live in SFV you know where they are located.

I was watching one of those house flipper reality shows today. A young woman fixed up a long beach condo and sold it for asking (339K). That episode must have filmed last year... I'd bid 200K for the condo shown.

[EscapeCalifornia]

Originally Posted by LALady

so you'd buy at 103K? OUCH.

Well, you'd have to pay me to live there but a condo in Pacoima should be lucky to get into the triple digits.

[LALady]

Originally Posted by EscapeCalifornia

Well, you'd have to pay me to live there but a condo in Pacoima should be lucky to get into the triple digits.

A lot of them are bumping around 100K now, simply unheard of 2 years ago. 100K! That's a $500 mortgage payment! Less than rent!

[King0fthehill]

You couldn't event pay me to live there...

Paicoma is seriously one of the least interesting engaging, least architecturally or culturally relevant, socially, etc significant places in the city.

In short: it's an armpit!

[SOON2BNSURPRISE]

Price reductions like these are happening everywhere. For me that is a good thing. It is funny that a few years ago people would buy anything at anyprice and the banks allowed them to do it. Now prices have declined in some areas drastically and the banks have stopped giving out loans to anyone with a pulse. My thoughts are that when the monthly payments are less than rent and the prices are 40 and 50% less than they were a couple years ago the banks would be willing to loan to more people. You would think that the banks would have looked long and hard at offering to fund a loan on a high priced home to anyone willing to sign on the dotted line. For me that isn't an issue as we have been prepairing for this time in history when prices would go back to what the average middle income worker earns. I bet that more people could afford to buy homes now than in the past few years. Many of those that did buy during the past five year period could not honestly afford what they had purchased. You can tell that is the case with all the short sales and forclosures out there.

[LALady]

Originally Posted by King0fthehill

You couldn't event pay me to live there...

Paicoma is seriously one of the least interesting engaging, least architecturally or culturally relevant, socially, etc significant places in the city.

In short: it's an armpit!

Wikipedia has an entry for Pacoima. Interesting fact: Leonardo Dicaprio and Cheech Marin are from Pacoima. The 'projects' also has an interesting history. I wasn't aware that they were built to house Lockheed employees during WWII.

Pacoima, Los Angeles, California - Wikipedia, the free encyclopedia

[LALady]

Originally Posted by SOON2BNSURPRISE

Many of those that did buy during the past five year period could not honestly afford what they had purchased. You can tell that is the case with all the short sales and forclosures out there.

They couldn't afford it but were betting on a quick flip or the ability to refinance or something magical happening.

[BennyPhoenix]

At the low $100,000's it's not bad. Mortgage, taxes, insurance, and fees would be cheaper than rent and you'd actually own something. If you dont mind living in pacoima.