Patrick.net

3965 El Cerrito Rd, Palo Alto, CA 94304

By Patrick   Follow   Thu, 17 Dec 2009, 12:57pm   6,886 views   6 comments
In Palo Alto CA 94304   Watch (0)   Share   Quote   Permalink   Like   Dislike  

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1. Patrick Follow Befriend (54) 5,185 threads 6,156 comments 46 male Menlo Park, CA Premium

   1   12:57pm Thu 17 Dec 2009   Share   Quote   Permalink   Like   Dislike   Posted for a patrick.net reader: You'll like this... If you believe the listing, it's a 6br/7.5ba 6,000 ft2 house in Palo Alto west of El Camino asking $1.4M as a short sale: http://www.redfin.com/CA/Palo-Alto/3965-El-Cerrito-Rd-94306/home/605375 The catch is that the house has not been completed. The foundation and exterior walls are in, but not the interior walls, windows, etc. Still, that would be a great deal for a 6,000 ft2 house, right? It turns out that someone has actually gone onto the construction site and posted YouTube videos: http://www.youtube.com/watch?v=xsL6rI1eH_M&feature=related http://www.youtube.com/watch?v=imii1jUI6Fk&feature=related Unless the house has five levels of sub-basements and a fallout shelter, the videos seem to show that it's probably around 3,000-3,500 ft2. Whatever listing agent (Otakar Likar / Intero Real Estate Services) would like you to believe, it's no 6,000 ft2 mansion. There are two implications worth considering. The first is that Zillow says that the house immediately across the cul-de-sac from 3965 El Cerrito (3960 El Cerrito) was built in 1949, has 3,346 ft2, and is supposedly worth $2.33M: http://www.zillow.com/homes/3965-el-cerrito-road,-palo-alto-ca_rb/ If a much newer house that may be larger is selling for $1.4M, plus maybe $200K to $300K to finish the rest of the construction, what does that say about the reliability of Zillow's estimate? The second implication is that someone lost a lot of money on this house. PropertyShark says that someone named Hot V. Tran bought it for $1.8M in 2007, and then presumably dumped half a million into permits and the early stage of construction. And now it's being sold for about $1.4M. Whoops. -D

2. stocksjustgoup Follow Befriend 20 threads 148 comments

   2   9:19pm Thu 17 Dec 2009   Share   Quote   Permalink   Like   Dislike   zillow isn't right about anything. I almost want to believe it's in bed with real estate agents.

3. bikes2work Follow Befriend 3 threads 71 comments Mountain View, CA

   3   9:33pm Thu 17 Dec 2009   Share   Quote   Permalink   Like   Dislike   Last Market Sale Information: Recording/Sale Date: 05/25/2007 / 05/14/2007 1 Sale Price: $1,818,000 st Mtg Amount/Type: $1,454,400 / CONV 1st Mtg Int. Rate/Type: 8.30 / ADJ 2nd Mtg Amount/Type: $272,700 / CONV

4. thomas.wong87 Follow Befriend 310 comments

   4   1:11am Fri 18 Dec 2009   Share   Quote   Permalink   Like   Dislike   Sale History 07/30/2009: $2,550,000 06/27/2009: $2,550,000 ** 06/17/2005: $1,950,000 05/24/1995: $548,000 Pretty insane SH*T!.. Its a real shame people don't use zillow and redfine, look at historical prices and ask some very important questions. Does 400% increase really make sense, given inflation and incomes have risen modestly? Zestimates are meaningless, for those who believe in such nonsense, suffer from some internet mental disorder.

5. Jwhite Follow Befriend 1 comments

   5   8:57am Fri 18 Dec 2009   Share   Quote   Permalink   Like   Dislike   If the house is halfway through construction like this then it cannot be financed. Look at 900 south rd in Belmont for example. The buyer pool with an all cash offer for a construction project is microscopic especially at this price point.

6. pkowen Follow Befriend 30 threads 555 comments San Carlos, CA

   6   9:19am Fri 18 Dec 2009   Share   Quote   Permalink   Like   Dislike   Zillow is a joke. The 'zestimate' is meaningless and always has been. I pretty much NEVER bother to go there anymore. Redfin has actual data, as does propertyshark and others. Doing comps just like County appraisers and fee appraisers do is the only way to get a value 'estimate'. In this market, even real comps don't mean much - except you can get a loan for that amount. There are plenty of other spec houses out there sitting vacant. This one was at an asking over $4mil and is down to $2.9 now. http://www.redfin.com/CA/San-Carlos/299-Club-Dr-94070/home/786390 Looks like they have scrubbed the asking prices but I remember it being over $4 mil and you can see it 'listed/delisted' repeatedly. It's been for sale over 1 year. It still has virtually no lookers during the open houses that are every weekend. The owner is an Asian name living in an average house in San Mateo city.