Friday, September 14, 2007
410 Avocado New Price Point
Talk about wasting my time. Countrywide is still trying to sell my Koi Farm (w/free house). Unfortunately they are still pricing like it is 2005. The latest ploy? An online "auction." Auction kinda sorta. Opening bid is still $200k above my eventual purchase price and there's a reserve price. WTF is this sale technique? I can go to the listing agent and submit my $450k offer with no muss, no fuss and a quick answer. Instead they want me to submit a blind bid againsy a reserve price and wait to see if I am outbid or rejected in two weeks? Note to CFC: I have money, you don't. This is not your game, it is mine and you had damn well better get a whole lot smarter real fast or you won't even have a seat at the table in a few months.
Auction here. Decription provided: Great potential for this this property located in exclusive area of Camarillo known as Las Posas Estates. Country feel, but close to shopping, 101 fwy and coast. Just under 1 acre of flat, usable land on a private drive lined with mature eucalyptus trees. Could be $$$ estate!
Could indeed be a $$$ estate. too bad they are asking $$$$$. Oh and their "private drive is a "shared" driveway with the neighbor.
This is my canary in the coal mine for CFC prospects. When we first looked it was because it was one of the highest priced holdings on their REO list. Then we laughed at the condition and price. Then we noted that CFC was not paying attention. We applauded when they cleaned up the place and secured it and lowered the price. Obviously somebody "up the hill" got the word and made this a priority. Now after a hopeful burst we see the slide back into the old business practices. Obviously the disposal team at CFC is not yet operating in the best interests of the stockholders. I understand. They are overworked and cannot get enough staff up to speed fast enough to stay ahead of last months 15.4% m-o-m increase in FCs in the portfolio nevermind have enough already for the 176% y-o-y increase. Still the shareholders need more cash and fewer houses on the balance sheet and this puppy sticks out for several reasons. Cut $150k now and $2k per day until there is interest. $2000 per day? Yes, you have to understand that prices in the area went up $1000/day every day for several years. They need to get out in front of the great unwinding. FCB and Legion can discuss the trading potential. Anything breaching the low 20s is going to make nearly whole a lot of speculators who are now nervous seein how low it can go. I was fascinated by the Oct 15.00 and 17.50 puts and particularly the low price of the 15s. Not investment advice, never is but...