Another $1 mil home for another sucker. I happen to have a little insight on this home and know that it’s been rented out for the past couple years at around $2500. So of course it makes perfect sense to pay double on a monthly basis to “own” the same property.
$822 sq/ft on a decent sized 6500 sq ft lot. This is all ready for some enterprising flipper. With one bath it seems silly that someone would spend a million to buy it and not add-on but there’s all sorts of silly people out there. I see a $1.4 million dollar home coming in a few months.
The growing reality is that in and around $1-1.15 there is a bunch of sheep waiting to buy a home. These people with sub $200k annual income that can barely scrape the down payment and monthly cash flow to buy a million dollar home are sitting, waiting, salivating for it to be “there turn”. They may have missed the boat a few years ago and they’ve watched prices escalate. They see the escalation and know deep in their hearts that it makes perfect sense to spend a million dollars on a small, crappy home because in a year it will be worth $1.1 mil. No one remembers.
This will go quickly at this price. Maybe this time it will be different.