Good time to buy lots (cheap)

Discussion in 'Economics' started by Trexticle, Dec 9, 2009.

  1. Now where are you going to get a deal like this?

    Another Conservatory Lot and a Ginn-Developed Hammock Beach Condo Sold at December Tax Deed Sale
    Several properties scheduled to be sold were either redeemed or rescheduled, leaving only two Ginn developed properties on yesterday's sale schedule.

    By Toby Tobin

    Conservatory Lot Sells at Tax Deed Sale for $15,185

    Palm Coast, FL – December 9, 2009 – For the second time in two months, property in Ginn-developed communities were sold at a Flagler County tax deed sale. A lot in The Conservatory and a Hammock Beach Club one-bedroom condo were sold at yesterday's sale. In each case, there was more than one bidder; forcing the final selling price above the minimum opening bid.
    The minimum opening bid is equal to the accumulated back taxes, interest, penalties, and administrative costs. The starting bid for the Conservatory lot was $17,039.53. One hundred dollars at a time, bidders arrived at the final price of $20,100 totally furnished. The lot at 403 Bourganville Drive overlooks a lake and the ninth hole of the Tom Watson-designed golf course. It sold in 2005 for $439,900.
    Since a Conservatory lot sold at the October tax deed sale, several sellers (including banks) dropped their prices. A fairly active market has since developed for Conservatory lots, but selling prices are in the high teens and low twenties. These lots sold out quickly during a Ginn real estate sales launch where 337 lots were sold for prices ranging from $329,900 to $529,900. The launch generated approximately $142 million in sales revenue.
    The minimum bid for the Hammock Beach one-bedroom condo was $21,194.44. Spirited bidding finally stopped at $65,900, the final selling price. This 678 square foot eighth floor unit was purchased originally in 2004 for $399,000. It was resold in 2005 for $525,000. MLS currently lists seventeen one-bedroom units for prices between $124,000 and $495,000. None have sold in the past two years suggesting re-pricing is in order.
    The lenders were not present at either the October or December sales, apparently deciding to let the properties go. The lender receives any sale proceeds exceeding the minimum bid.
  2. $775 sq/ft in 2005

    $97 sq/ft in 2009

  3. S2007S


    That tells you that prices are still totally inflated, 65k is what I call a greaaaaaaaat buy, pretty amazing that those were selling for $300k+ just 2 years ago...prices for a 1 bedroom condo near me still demand $325k+ Maintenance alone is over $700+

    Even a single person making 75k a year would barely be able to afford this type of place.....

    Prices are still too high in housing, with programs in place to halt foreclosures and tax credits for new house buyers there is an imaginary line propping up housing prices. Without these programs in place housing prices around the country would be 20%+ cheaper.