Coffee heat rising

Sold! Real estate returns to normal in our neighborhood

Incredibly, the rental house across the street, occupied of late by the obnoxious Biker Boob and Bobbie McGee, sold for $250,000. That’s dead center in the ball park of what houses were worth here before prices got stupid.

I was afraid it would be bought by yet another absentee landlord. But at that price, it’s unlikely they can rent it for enough to cover the mortgage—rental prices are still very depressed here.

Better yet, they’ve plopped a big dumpster in the driveway and sent workmen in there to gut out the interior! It looks like they’re rebuilding the kitchen—a decrepit dishwasher is sitting in the driveway waiting to be hauled off, and carpenter-like guys have been swarming over the place for the past two weeks.

So. This is a good sign. That’s twenty grand more than I paid for my house, and it’s about twenty-one thousand more than SDXB got for the same model. He sold way too low—the house was grabbed up  less than 24  hours after he put it on the market. So I’d estimate the price is about where it should be for that model.

Now…if we would just, please, see the same thing happen in the neighborhood where the downtown house resides…  We’re $75,000 underwater there, according to the ever-heartbreaking Zillow. But that’s because everything that’s sold there over the past three years or so has been a foreclosure, with the exception of one house that sold at a fire-sale price. Once all the foreclosures are cleared out, maybe values will begin to return to normal in that area, too.