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Strategies & Market Trends : The Residential Real Estate Crash Index -- Ignore unavailable to you. Want to Upgrade?

To: Lizzie Tudor who wrote (106145)	2/22/2008 11:24:52 AM
From: John Vosilla	Read Replies (2) \| Respond to of 306849

You will have a field day in the central valley CA just going through that REO pool in MLS the next 12-18 months.. Find the ugly looking one needing only some cosmetic work. The CMO pools usually don't spend money to give the places curb appeal, thus they are not going to show well or be financeable taking a huge pool of buyers out of the market. Certain auctions are incredible. It is the private auction companies that do massive advertising with a ballroom setting to avoid. The government auctions are tricky and risky for those who don't do it for a living but great deals are possible. Check realtybid.com online auctions..

To: Lizzie Tudor who wrote (106145)	2/22/2008 11:28:36 AM
From: alanrs	Read Replies (1) \| Respond to of 306849

I don't think that will work, but who knows. My sister said that the first 5 properties, 3 bed, 2 bath, attached garage, 2 pools and exercise room, went for $190k. As the price came down to $165k for similar properties, the first 5 came back up for bid and went for the pretty standard $165k. Whether this was people backing out as they heard other bids or bids by the contractors agents, who knows. She put her name in to be notified of any units falling through. In the end, the 2/2's went for $135k and the 3/2's went for $165k. The original auction was for 80 units, but the owner put an additional 40 units in the pot near the end of the first 80, so he must have been okay with the process. A straight line appreciation of about 4% from a 1993 data point (when they were built) would have put them around $105k and $120k. I think it's naive to think that everybody involved is dumber than I am. I find it more useful to presume that everybody involved knows something I don't. ARS