patrick.net

The little house now has a SOLD sign, only took a week....I wonder how much?

The thing that is crazy....

Some of the posters here keep pounding in the "schools".

But this home purchase at list in no way reflects a house that someone who has $850K+ would ever want to live in.

By way of nearby comparison, the same amount of money actually buys a larger place in nearby cities with "excellent" public schools...Arcadia, La Canada, etc....and buys truly upscale homes in nearby communitiy with very good, but not excellent public schools....Glendale, Burbank, etc. All the same safey factors etc.

Furthermore, coastal OC, in very upscale large houses within a mile of the water, are the same price....

Then again...if someone wants to spend $850K+ on 1700 sq ft(El Oh El), I guess thats their business.

I have to think that "Carol Majors, Coldwell Banker" cherry picks all her listings in South Pasadena. Almost all her South Pasadena listings sell in less than 2 weeks.

Here's another one that also sold in less than 2 weeks (much nicer, at ~$1.1 million) :
http://www.redfin.com/CA/South-Pasadena/223-Fairview-Ave-91030/home/7005738

I went to the open house and it was so PACKED that I scratched it off my list since I knew they would get list or close to list on it. I haven't seen any open house that packed since 2006...at least 8 couples looking at it simultaneously during the 15 minutes I was there.

No bargains to be found in South Pasadena.

More on the real estate agent from http://www.majorsmarketplace.com/

Carol\'s Listings & Sales Volume
* 2010-$35,000,000+
* 2009-$32,000,000+ *2008-$33,000,000 +
* 2007-$36,000,000+ * 2006-$47,000,000+
* 2005-$40,000,000+ * 2004-$33,000,000+

Wow, this woman is raking in the money. Is she the senior broker?

Also I wonder what the incomes are of the people buying these houses are?

This is my first time reading this thread

the fact that the house sold in 1 week shows just how out of touch some people are with reality.

toothfairy says

This is my first time reading this thread

the fact that the house sold in 1 week shows just how out of touch some people are with reality.

That's defined as the market price and market activity. Permarenters have no say in this.

PasadenaNative says

This one is about four blocks from me. Looks like they are asking less than they paid for it in 2006. I’ve always loved this house, it has a beautiful tree in the front.
http://www.redfin.com/CA/South-Pasadena/1511-Marengo-Ave-91030/home/7007773

Without being rude, I want to ask why you think investing in a 1 million dollar, 1500 squarefoot home is such a good deal?

I live in Pasadena as well and agree that South Pasadena is a beautiful place, however, I am having a difficult time seeing how it worth 4 times the amount of a home in Rancho Cucamonga, Sylmar, Monrovia, etc. Again, I would love to live in South Pasadena if it were in one of those 5,000 square foot homes in San Marino. I guess some folks have too much money to burn and are willing to invest in those areas.

dunnross says

2006 was a the peak of the bubble. They should be asking 1/4 of what they paid for it in 2006.

If you are right, then this cottage should be going for 215K, however, in 1997 it sold for near 400K. People looking in South Pasadena are generally well to do, no business sense, with lots of money to spend so this will probably sell quickly. My wife and I were ready to make that jump to South Pasadena before Patrick groomed me with his good business sense. Homes in South Pasadena are emotional buys for the well to do...its makes us feel like we are a part of the elite.

Except, the real elite live in San Marino in 5,000/Sqft homes.

Clarence 13X says

Without being rude, I want to ask why you think investing in a 1 million dollar, 1500 squarefoot home is such a good deal?

Yeah, thats what I don't get either.

A co-worker and his family rent in So Pas on a family income of ~$150K a year in a 4 bedroom townhome.

No way in the world they could afford to buy the same place.

Did the PasadenaNative abandon his post?

dodgerfanjohn says

Clarence 13X says

Without being rude, I want to ask why you think investing in a 1 million dollar, 1500 squarefoot home is such a good deal?

Yeah, thats what I don’t get either.
A co-worker and his family rent in So Pas on a family income of ~$150K a year in a 4 bedroom townhome.
No way in the world they could afford to buy the same place.

What I have found is that new money generally thinks just because you made your first million you automatically make good business decisions. Most of the people who buy in South Pasadena are new to money and have enough to throw at a house regardless of the costs.

Clarence 13X says

dunnross says

2006 was a the peak of the bubble. They should be asking 1/4 of what they paid for it in 2006.

If you are right, then this cottage should be going for 215K, however, in 1997 it sold for near 400K. People looking in South Pasadena are generally well to do, no business sense, with lots of money to spend so this will probably sell quickly. My wife and I were ready to make that jump to South Pasadena before Patrick groomed me with his good business sense. Homes in South Pasadena are emotional buys for the well to do…its makes us feel like we are a part of the elite.
Except, the real elite live in San Marino in 5,000/Sqft homes.

You just proved my point. The well-to-do want a 5,000/Sqft house in San Marino. These types of houses were not bought by the rich. They were bought by the middle class who stretched their budgets and got in at a teaser rate back in 2006. That buyer doesn't exist any more.

Interesting to go back and read this post. in 2011, Seller (apparently) listed the house at 850K, roughly the same as the 2006 peak bubble price.

Very few here thought the house would sell for anywhere close to 850K - pretty much abject pessimism from the vast majority of commenters. Yet, it sold a few weeks later for 890K. Wow.

CDon says

it sold a few weeks later for 890K.

Just remember, one every minute.

Yeah, it still doesn't make sense.

I finally found out what that friend of mine is paying on the four bed townhome in South Pasadena is paying in rent...$1800/mo. Yes that's below market(market is probably $2300-2500). Still it puts the price of the home in perspective.

Basically, owning a house in South Pasadena is like flushing money down the toilet.

And a hearty and repeated lol@family of four that can afford nearly a $900k home sharing 1 bathroom.

Is it my imagination, of is there a big tree really close to that house?

FortWayne says

Selling price of $858,800 seems way out of touch with reality considering local incomes and the price it is valued at by the assessor during the bubble. Built in 1914, thing might fall apart shortly. I am completely positive that this is a bubble price.

This wasnt the bubble, this was the trough, the best time to buy in over a decade as its now well over 1Million. I am completely positive that you are a dipshit.

The selling point required either a massive down payment or an household income> $200k and stretching at that.

Again, the idea of a family of four that can afford to be paying $900k for a home with ONE bathroom is fairly preposterous. Even now with housing prices having gone up drastically there are very nearby communities with schools rated 8 and 9 through high school where $900k buys you a 2000+ sq ft sfr with 3/2 and better. Temple City, San Gabriel, Alhambra, La Cresenta....all provide that. The only thing South Pasadena provides is more white people and access to the Gold Line.

So I'm still baffled as to the people that bought this house.