Tuesday, March 18, 2008

Going Down

In Spring of 2006, a second house on a short street went down for a speculative venture. Someone had concluded there was a shortage of houses that look like Riverboats in Raleigh, and built us one. The name of the venture had something to do with money ... Dynasty or Gold or Titanium or something. The asking price was $ 1,250,000 / 5 Bedrooms / 4 Bathrooms / 1 Half Baths / Sq Footage 4983 / Built 2006 / Lot 0.46 acres / Garage for 2.

See Confusing Claremont and Rebuilding Royster for more.

Today a notice was left by sheriff on a door at:
2900 block of Royster Road

This is will not be the last quick-mansion to go down. The profit margin was only big enough for a short fast run.

Pkg Sale Date 10/10/2005 / Pkg Sale Price $300,000

Land Value Assessed $313,200 / Bldg. Value Assessed $623,781

Total Value Assessed $936,981

Fallonia still believes that Risk is one of the market's best check and balance features. That is why you find residents taking moderate risk with their investment, which is met by acceptance by most neighbors.

Residents have a way of knowing when the game has changed to their detriment. Someone made money in 2005 flipping this house, $35K here and there, not bad for a plan and some paperwork. The difference between the retail price and the property value is $313K.

This opportunity for making a small killing has been motivating a land rush in certain newly high-priced neighborhoods. This is one of several house of cards that may be taking a tumble.

No comments: