Friday, December 28, 2012

A Twofer

Longtime readers may remember that I predicted this would happen.  A house that sold new in 2006 has REO'd twice.  First the sales history:

Price History for 11522 Greene Ct

09/18/2012Soldclose details$134,565Public records
 Recording Date09/18/2012
 Contract Date09/14/2012
 Sale Price$134,565
 Price TypeFull amount stated on Document.
 Transaction TypeREO and Trustee Deed
 Document TypeREO Repossession
07/31/2009Soldclose details$130,000Public records
 Recording Date07/31/2009
 Contract Date05/27/2009
 Sale Price$130,000
 Price TypeFull amount computed from Transfer Tax or Excise Tax.
 County Transfer Tax$143
 Transaction TypePurchase/Resale Arm's Length Residential Transaction
 Document TypeREO Resale
03/10/2006Soldclose details$427,500Public records
 Recording Date03/10/2006
 Contract Date10/14/2005
 Sale Price$427,500
 Price TypeFull amount computed from Transfer Tax or Excise Tax.
 County Transfer Tax$470
 Transaction TypeNew Residential Construction Transaction
 Document TypeGrant Deed
Talk about bad timing.  Even then they way overpaid even for top of the bubble.  

No doubt the inside looks as tired as the outside.  
Imagine the terrible personal issues that made it such that someone lost this place with only a $130k mortgage.  
Of course the bank (number 2) is listing for higher than they took it for on the courthouse steps.  Scroll down to the nearby sales map in the link to see why that is a stupid idea.  

Wednesday, December 26, 2012

All Cash

All cash, yeah just like Casey with a whole lot more zeros.

VCStar: Recorded sales filed with the Ventura County Clerk and Recorder's Office show that Invitation Homes, through a corporation called THR California, has purchased 101 homes in the county since Aug. 3, with the frequency picking up in September and peaking with 26 transactions in the first 17 days of December.
THR's purchases accounted for 3 percent of all home sales in the county in November, and more than 9 percent of the value of all real estate purchases in the city of Oxnard.
Blackstone, a giant investment firm with worldwide real estate assets of more than $50 billion, owns 600 community shopping centers across the United States and has high-profile holdings such as Hilton Hotels, the Waldorf-Astoria and San Diego's historic Hotel del Coronado.

Tuesday, December 25, 2012


On the twelfth day of Fedmas the Chairman gave to me..
12 months of deficit
11 listless legislators
10 years of flat markets
9 trillion less household wealth
8 million structurally unemployed
7 trillion new debt
6 years of gold rush
5 broken generations
4 years of QE
3 percent mortgages
2 percent inflation
and a Kenyan in the White house...

Alban Arthan

Wishing everyone a solemn Alban Arthan as we honor the souls of the trees we sacrifice then deify in our living rooms. Hang the revered kerm-oak, drink the blessed wassail. "Yule" feel so much better. The Norse had the right idea taking 12 days for Jole. The oak was the ‘king of the forest.’ One possible source of the word ‘Druid’ is in the Gaelic word for oak, ‘drui.’ So the burning of the Yule log of oak signified the return of the Oak King at the rebirth of the Sun.  Oh and all the recent religion adherents that have since renamed these Christmas, Christmas Trees, holly, sacramental wine and the 12 days of Christmas as if changing the name makes a difference; Merry Christmas. 

Wishing everyone Prop 13 protection for as long as it may last.

Wishing everyone a secret decoder ring to translate Fedspeak into reality. 

Wishing I understood inflation formulas. 

Watch that cliff.  
Anyway, We got the Druids covered and I need to add Joyous Saturnalia so the pagans are taken care of as well so all that remains is;

Happy Holy-days!  And a special for skk:

Wednesday, December 19, 2012

Basic Housing

Everyone needs to doss someplace.  For your consideration:

$21,250 on 12/13/12
Est. payment:
Bedrooms:350 days on Trulia
Bathrooms:2179 views
Property type:Single-Family Home
Size:2,256 sqft
Lot:Ask agent
Year built:1952
Provided by:Fannie Mae

Ignore (not) that the bathrooms have no pictures.  What about the "numbers?"  TCO $15k down and $500/mo.  I expect $8k in repairs.   Easy rent @$800.  Returns in excess of 25% after cushions for vacancy and unexpected costs.  No allowance for tax breaks against regular income.

Interesting that Fannie Mae needed to present such a major price reduction.  The decade plus price history is also interesting.

They're Ba-ack!

Here's a little cabin in the sky I highlighted in 2009:

Then there's the Lazurus Long of the mountains:

Meanwhile a few blocks over we have the patient investor:

1446 Laura St
, Wrightwood, CA 92397
Price: $299,000
SQ. FT.: 1,152 $/SQ. FT.: $260
839 dys on market. Recent price reduction: $265k. 

This idiot started at $344k in April 2007. They'll be lucky to get 40% of that eventually.

Here's the new listing:

Est. payment:
Bedrooms:31 day on Trulia
Bathrooms:2235 views
Property type:Single-Family Home
Size:1,152 sqft
Lot:5,009 sqft
Year built:1976
The problem is $178/sf is still chasing the market.  SEVEN years of mispricing, trying to get out of a bad investment and they still haven't learned.

Tuesday, December 18, 2012

One of these things... not like the other.
Picture one is current listings:

Picture two is recent sales:

Yeah, I know my 'hood is pricy but look at the price difference between what sells and what sits.  Ain't nothing price won't fix.  

Monday, December 17, 2012

WASS CHP Edition

Dec. 17 (Bloomberg) -- California Highway Patrol division chief Jeff Talbott retired last year as the best-paid officer in the 12 most-populous U.S. states, collecting $483,581 in salary, pension and other compensation.
Talbott, 53, received $280,259 for accrued leave and vacation time and took a new job running the public-safety department at a private university in Southern California. He also began collecting an annual pension of $174,888 from the state.

Read more:


Does anyone want to be in need of assistance as this officer is on hour 46 of a double 24?  

Saturday, December 15, 2012

Shock Surprise Again

Holiday shoppers may see big discounts soon
NEW YORK (AP) - If shoppers don't show up in stores soon, more "70 percent off" sale signs will.
After a promising start to the holiday shopping season over the four-day Thanksgiving weekend, sales have slowed, according to an analysis of data done for The Associated Press by sales tracker ShopperTrak. Worries about weak U.S. job growth and other concerns are likely to blame for Americans spending less.
That puts pressure on J.C. Penney, Macy's and other stores, which offered fewer discounts this year, to step up promotions to lure shoppers.

Read more:


You'd think the reporters would try a different scheme.  This one hasn't worked for years now.  

Friday, December 14, 2012

British Badged Chinese Brand Thailand Manufacture

China's Biggest Automaker To Build Thailand Factory

BANGKOK, Dec. 13 (Kyodo) — Thai agriculture conglomerate Charoen Pokphand Group said Thursday it has agreed to set up a joint venture with China's largest automaker, SAIC Motor Corp., with the aim of opening an auto factory in Thailand in the next two years.

The joint venture, under the name of CP Motor Holding Co., will facilitate Thailand's ambitious efforts to become the "Detroit of Asia," said Noppadon Chiaravanont, a deputy chairman of CP Group's Automotive Industrial Products Business Group (China).

SAIC Motor will hold 51 percent of shares in the new joint venture and the CP Group will hold the rest.

Noppadon said the firm eyes production of MG-brand passenger cars for the Thai and worldwide markets.

"Thailand will be our production base for worldwide export. We are confident in the potential of Thailand as Detroit of Asia," he added.

Noppadon said the initial phase of investment will require at least 10 billion baht (about $333 million). He said the joint venture is expected to begin releasing MG-brand products in 2014.

Last week in Shanghai, SAIC Motor said the joint venture with CP Group will initially strive for a production and sales capacity of 50,000 units per year.

In the second step, annual capacity will be raised to 200,000 units "by leveraging internal taxation policies" inside the Association of Southeast Asian Nations, of which Thailand is a member, to boost sales to the ASEAN market, in particular.

"The parties will leverage the-MG brand resources and the R&D capabilities of SAIC Motor and the local industrial resources of Thailand to seize the developmental opportunities on the ASEAN market," it said in a statement.

The SAIC Motor, formerly known as Shanghai Automotive Industry Corp., is China's biggest carmaker with annual production and sale of 4 million units.

The MG series of cars was originally manufactured in Britain by MG Car Co. SAIC took over that business in 2007 and set up a factory in China to produce left-steering wheel cars for the domestic market.

Another case of nothing to say. I mean, where to start? MG? China? Offshoring? Tax credits? Dodgy ownership ratios? The insanely low price of entry ($333 million)? $333 million in the US might pay for the environmental impact studies. Tax breaks? I imagine Thailand is desperate after the flooding that decimated their commodity chip fab and mechanical hard disk industry.

Fail of the Day

Victorville, CA.  What can you say about a place downwind from Palmdale and over the hill from San Bernardino?  Let's check out this offering: 16086-Oak-Ct-Victorville-CA-92395

Newer construction, nice size, cul-de-sac decent layout.  Price history:

12/13/2012 Listed for sale $137,900  $59/sf
07/02/2007 Sold $346,000  $149/sf

Outlier?  no.  According to Zillow that's right in line with the neighborhood.  I wonder how many neighbors are still dumb enough to be paying?