Legacy Dunes (Orlando/Kissimmee area) Possible Purchase (Poinciana, Celebration: short sale, foreclosed)

[tal5596]

I am considering purchasing a one or two bedroom condo in Legacy Dunes, Kissimmee Florida. I have seen postings from several years ago and hope to get some feedback from recent experiences of owners and guests. The HOA fees seem reasonable compared to other condos. I don't know if that means it is well-managed or if special assessments are looming... Are plumbing leaks still a large issue there?

[BrokerHarry]

I just performed a BPO (Broker Price Opinion) on a property in Legacy Dunes last week.

The asset management companies don't tell me why the bank or note holder wants the BPO valuation report (already foreclosed, short sale, modification, application to drop PMI, lis pendens, or simply stopped paying months ago) but I have to report all the facts about the Subject as well as 3 Active Listings & 3 Sold listings that are as close a match to the Subject as possible.

By the time I finish these very extensive reports, I've come very close to what a full fledged appraisal would accomplish. I performed 52 of them last month, all in the Reunion, Celebration, Davenport, Kissimmee, Poinciana, & sometimes St Cloud areas.

In the last 180 days, there have been 15 resales in Legacy Dunes, most of them for cash, because it's very hard to find financing in these types of communities, with lots of investor owned properties.

An average 2 bdrm 2 ba condo that sold for $262K in 2006 is pulling around $100K in 2016. And that's after it's been rehabbed with fresh paint & new carpet. Prices are still down a solid 50-60% from the 2006 highs.

There are currently 20 Active or Pending Resales listed in the MLS, ranging from $67,900 to $145K (they're dreaming).

And the next highest list of $129,900 has 710 day on the market, which means they're out of their minds, price wise.

The MLS currently says there is 17+ months of Housing Supply in Legacy Dunes, which is an extreme oversupply of inventory, & it's increasing. It appears a lot of people want to sell out of there.

5 months of housing inventory is considered a normal market, in balance.

The MLS also says only 13% of the units in Legacy Dunes are currently Owner Occupied, with 12% Rented, & 75% Vacant!

On the surface, the complex looks decent. Certainly the prices are still very low, having never really recovered from the crash, compared to most residential neighborhoods.

These are the current facts regarding Legacy Dunes, a resort style condominium complex adjacent to Disney off 192.

Whether this location makes sense as a purchase to you is a personal matter.

[AONE]

I've sold in this one and others and find some others to be more bang for the buck than Legacy, but some just like it.

[tal5596]

Thank you BrokerHarry for the thorough reply. I will give the information you shared a lot of thought. It is good to see this from different perspectives before jumping in. I had a negative experience with a nearby condo recently and am trying to go into any new purchase more informed than before.

[tal5596]

Thank you AONE for the posting. It is helpful getting others' opinions.