You've got to wonder about this property. It first sold in April 2005 for $940,000 (about what you would expect at the very peak of the market). Then, only nine months later, it was sold again, after the market had started to decline, for $1.275M. Even though the mortgage remains in the buyer's name, the buyer immediately quick-deeded the property over to another person. This property has been on the market as a short sale, but is now entering foreclosure.
3840 NE 23RD AV, LIGHTHOUSE POINT, FL 33064
- 3 Bed, 2.5 Bath SFH
- Bought in January 2006 for $1,275,000
- On the MLS for $800,000
- Days on the MLS: 98 Days
- Loss before the Realtor® commission: $475,000
- Loss after the Realtor® commission: $523,000
Stumble It!
33 comments:
I bet the people who sold it for $1.275 (David Carpenter et al) are in cahoots with the Phaedra Almstead, the person ultimately ended up with the deed.
Check these links out on scams that implicate Almstead:
Rip Off Report
Vaction Week Ripoff
On a related note, Phaedra is also one of those creepy Scientologist:
Phaedra worries about body thetans.
And, so is the original seller, David Carpenter:
David also worries about body thetans.
This one is better!
Lighthouse Point, FL
3821 NE 23rd Avenue
Purchased $1,350,000
MLS listing $849,000
MLS # F864301
Sorry;
make that 3821 NE 27th Ave.
mls # 864301
Hey Guys, what is wrong with investing in Real Estate and trying to make same money? Yes some of this people are or will lose money, but that is the risk we take when we invest in ANYTHING! I bought a small restaurant 15 years ago, had to close after 2 years. Was I a stupid idiot? (maybe) However I tried, I failed and moved on. I just do not like the way some of you here bashing everybody who invested or investing in RE.
I know this area well. The home across the canal was featured about a month ago and is a bank repo in the $900's. I haven't checked it latley.
The home 3 doors south 3810 sold for $785 in March this year.
This home has no pool, but is otherwise a very nice home in a great neighborhood.
Another home several doors down was on the market this year in the high $700's and ended up leased out.(very nice home with a pool)
There was another sale 1/4 mile North on a similar canal earlier this year in the $700's. Not a bank home.
Most sellers in this area are still clinging to the $1mil price, and are ignoring what is really happening.
2001 prices were $400's - 500's!
TIMBURRRRR!!
Braziliano,
There is absolutely nothing wrong with making money with real estate. I have bought and sold. I have made and lost money. I plan to buy and sell again.
I think you're missing the point of this board and these forums.
You think everyone is cheerleading for a bottom, but most are not. Sure, some people who want to buy a home are hoping for a quick bottom, but most of us are simply active observers of possiblity the most significant economic event ever to hit South Florida.
I think some of the frustration you see on this board is due to the mass media and all the real estate groups that absolutely flooded the public with ridiculous propaganda about real estate. Nearly have heard some of the following gems:
“Real estate always goes up in value.”
“1,000 people a day are moving to Florida.”
“Buy now or be priced out forever.”
“Homeownership is always better than renting.”
As for comparing your investment in a restaurant, you're comparing apples and oranges. You made what you thought was a smart business investment, which turned out not to be. There's nothing wrong with that.
However, if you bought your restaurant at a time when seemingly EVERYONE was investing in restaurants and there were restaurant popping up EVERYWHERE (well beyond any demand for prepared food), then your investment would been deemed foolish by most of us here.
The difference is the irrational exhuberance that existed in real estate -- something that never existed in restaurant investing.
http://biz.yahoo.com/cnnm/071002/100107_manhattan_prices.html?.v=3&.pf='real-estate'
Why can't i insert a link?
140 per Sq Ft
Perhaps this is the home you mentioned.
Bank owned in less than 1 year.
sold for $1,295,000 now on mls listed at $875,000.
F854353
3851 NE 24th Ave.
Braziliano,
It must be some sort of conspiracy because I'm able to post links:
Braziliano's Link that he was barred from posting.
Gator!
The fact is RE created the most wealth for people in the past. Also, in the long run it will ALWAYS go higher! This are the facts of RE.
Braziliano,
The stock market has also always goes up in the long run. That's doesn't mean that one should have been heavily invested in the stock market (especially in tech stocks) late in 1999 or early 2000.
I imagine tulips have historically gone up in price over the many years. That doesn't mean that it was smart to buy tulips in 1637.
Buying anything at the top of a bubble is foolish (and this bubble has a long way to drop before it's over).
Personally, I will be heavily invested in real estate in a few years. But, for right now, I am very happy to sit on the sidelines and watch the bubble deflate.
I don't think it is even legal to quitclaim your interest in a property to someone without paying off the mortgage.
Am I right about this?
I mean, right now, technically the bank has a mortgage with this Barbara McVay's name on it, who now has no title to the property because she deeded it to this Almstead woman.
I don't think you are allowed to quitclaim yourself off a deed when you have an outstanding mortgage.
It doesn't matter though. In the foreclosure proceedings, McVay voluntarily dismissed Almstead as a defendent:
County Clerk Document
So, ultimately, whatever they were trying to do with the quitclaim didn't work.
How much money is GMAC out from this scam?
The house is currently listed at $800. What is it really worth? Over $600K?
Unless you are some kind of avid boater, this is still way overpriced.
Nice neighborhood, but the house is meh at best.
"How much money is GMAC out from this scam?"
GMAC lent McVay $1,147,500 to buy the house.
GMAC will probably spend around $100,000 in legal fees, carrying costs, and realtor commissions.
Assuming GMAC sells if for its $600,000 market value, GMAC will probably lose almost $650,000 off the scam.
Brazilio,
There is a MYTH that RE ALWAYS goes up.
I have seen home price charts for Florida that quickly disspell that myth.
RE prices went up in the 1920's, but then went back down to where they started or lower.
In the 1980's they went up, but then dropped back down below where they started.
The ILLUSION that they go up is due to inflation. They do tend to go up with inflation in most markets.
Then there are some areas like California that have defied gravity. However Cali is seeing a negative population growth for the first time in history so all bets are off going forward.
Look at Japan. RE prices skyrocketed, and have been deflating for a decade or more.
So the simple little cheerleader mantra that prices always go up is at best a naive and grossly oversimplified blanket statement that does NOT stand up to closer scrutiny.
Investing is an inherently risky thing to do, whether in RE, Tech Stocks, or Commodity Futures, and many people lose considerable money doing so.
Anon,
Yes thats the house. (MLS #F854353) It sits just across the canal.
The other comp that sold (non bank nor short sale) was on 23 Terrace just North of 39 th.
Hey it must be a conspiracy, my links dont seem to work here either.
I'm going to try one here for Brizilino.
http://www.nytimes.com/imagepages/2007/09/23/weekinreview/20070923_BAJAJ_GRAPHIC.html
I quitclaimed a house once to an LLC that I owned, and never consulted the bank. Never heard anything about it.
Actually, I was wrong before. There are a number of canal front homes in that area in the $600's and $700's, although the majority of sellers are still trying to hover somewhere in the $900's to $1mil's.
Typical wait till the market comes back mentality, while the sales and resulting comps are drifting ever downward all around them.
My guess is Brazilino is one of them, hovering, hoping the market will make a u-turn and he will make a killing. LOL
You need to use HTML to post links 140
140 $$$$
Your link did not work!
"I quitclaimed a house once to an LLC that I owned, and never consulted the bank"
That's a little different. In this case, a completely different person owns the house.
Anyways, I actually asked someone about this, and they said that you can only deed the property to someone else with permission from the bank. And the new deed should mention that the buyer is assuming the mortage. If you don't notify the bank (or they don't agree to let you do it), and deed it anyways, you are technically in default at that point and the bank can do as they wish (not that they'd really want this particular property back).
By the way, links only work if you wrap HTML tags around them.
Unfortunately, this blog won't automatically create clickable links.
SFHB, is there a setting in Blogger to turn that feature on? It would make it a lot easier to post clickable links.
Hey 140$$$
I guess you should keep your $$$ in the bank. That will sure beat inflation.
Here is a new one for you, The Floridian South Beach, Unit 2601 650 West Ave. Purchased for $649,425 on 3/2005 now listed for 645,900 sounds like a great buy!!!!!!!
"SFHB, is there a setting in Blogger to turn that feature on? It would make it a lot easier to post clickable links."
Unfortunately, Blogger doesn't have that feature. So, yes, in order for links to work, you have to wrap HTML around it.
For those who want to make clickable links, use the following format.
If you want to link to a Website called "Site" with the address "http://www.url.com," then you would enter the following:
<a href="http//www.url.com">Site</a>
If you wanted to link to this site, you would enter:
<a href="http//www.soflahousing.com">South Florida Housing Bubble</a>
Braziliano,
There are plenty of FDIC-insured savings accounts and CDs out there above 4.5%. That's guaranteed to beat inflation.
The last time I checked, the S&P 500 certainly hasn't been beating inflation since 2000.
Real estate hasn't beaten inflation since 2005.
Sure, in the long-run stocks and real estate will out-perform banks. However, I right now, I would rather be in cash than in stocks and/or real estate.
Without looking into this transaction, it smells of an illegal cash back at closing deal. Unless I am wrong, you need the lender's approval prior to quitclaiming to another party. The lender is essentially left without recourse. This sort of fraud ( if this is the case) is rampant and now that the bubble has popped, South Florida will be littered with REO's and vacant properties. We have a three year supply of inventory at present. Wait until the major ARM resets begin this month. My last post on my blog outlined why our local real estate market will see at least a 30-50% decline in price.
Site
Big Daddy,
I don't see that it matters if they quit claim it.
If you signed the mortgage and quitclaimed the home to me, the bank would just foreclose and evict me take the home and sell it.
Then come after you.
My thought on this one is maybe the "buyer" was fictitious, and got a subprime stated income loan, then evaporated.
I don't understand why they would quit claim it, unless they wanted to be able to flip it should the market return.
Phaedra also owns Scamming timehare companies!!!
She now owns Resort Advertising Network, LLC with her mother Barbara McVay.
They operate under www.luxuryresortmanagement.com
THIS IS THE SAME AS RESORTS INTERNATIONAL MARKETING INC. I WAS ROBBED BY PHAEDRA ALMSTEAD and her mother BARBARA McVAY THEY ARE SCAMMERS AND THIEFS JUST SEARCH FOR THEIR NAMES ON ANY SEARCH ENGINE Resorts International Marketing Corp. www.luxuryresortmanagement.com Resort Advertising Network Phaedra Almstead Barbara McVay Phaedra's ex-husband is a member if the mexican mafia, and part owner of timeshare resorts that send Phaedra her clients she scams. DO YOU RESEARCH
http://www.free-press-release.com/news/200904/1240990915.html
Post a Comment