$900,000.00 update

[trof]

A few days ago I posted about a realtor friend calling out of the blue to ask if she could show our house. Our house is not for sale. At least it wasn't.

I gave the standard "Well, I guess anything's for sale if the price is high enough" response.
"How much were you thinking about?"
"Nine hundred thousand."
Holy shite. That's right at four times what we bought it for 12 years ago. Prices on waterfront homes have truly gone ape-sh*t.
"Um...OK."

She and her client, a very pleasant 30-something woman, came Friday. Miz t. was gone, and I offered to hole up in my office and let them have at it. They asked me to walk through with them, in case they had questions. Sure.

They were here about 30 minutes. Very polite, but I didn't think they were particularly impressed. From their conversation, it was obvious they had a full day ahead of them. Several waterfront homes to look at.

Our house is OK, but the yard is still torn up from Ivan. Since the hurricane, almost a year ago, landscapers still have long waiting lists. On a scale of 1 to 10, I'd put the curb appeal at about 4 or 5. Oh well.

Last night the realtor called. Her client would like to see the house again this afternoon AND BRING HER HUSBAND. This is starting to sound serious.
Maybe I should hold out for an even mil?
;-)

[supernova]

1. Wow, trof!

That's really amazing! Your house must be really pretty for her to want it that bad.

[trof]

18. We like it, but it's not a palace.

About 2300 sq. ft. Big great room that looks out on the bay. Decent kitchen and master bedroom. Couple of smaller guest rooms and my small office/study. I think one of the reasons we may be sought after is that we've never flooded. Many houses in the neighborhood did during Ivan.
We're kinda on the high ground.

[SoCalDem]

2. Get every penny you can..

If they are willing to pay 900K, what's a little more:)

[NewJeffCT]

3. where would you move?

How much is non-waterfront property in the same town?

my parents' 2 bedroom condo in naples, FL has gone crazy in recent years, too. It's value has shot well past the value of their full-time home in Connecticut, too.

[FloridaPat]

4. What waterfront are you on? Yes, the prices of land are that bad in

Florida. Or that good, depending on if you're buying or selling.

[GOPisEvil]

5. Dinner's on you at closing!

:D

[blondeatlast]

6. Read the first chapter of "Freakonomics" and don't settle for ANY less.

The first chapter is where he demonstrates why it doesn't hurt the real-estate agent to cut the price of your house, but it does hurt you.

Then go with your gut.

[cally]

7. Do not sell

until you get an appraisal and have a few other realtors estimate the value. There is no reason to assume this one realtor is appraising the value correctly. Also, think about where you would move and how much you would have to pay. I've thought about selling my home many times since it's appreciated so much. Unless I leave California, I doubt it makes sense for me to sell. Otherwise, congrats.

[wildeyed]

8. Exactly.

Get some comps first. Find out what other similar homes in same location have sold for recently.

[wakemeupwhenitsover]

9. I too

would get another appraisal.

Here's a web site that can give you an idea, but an appraisal from a realtor would be better.

also, what would your taxes be? I cannot for the life of me remember how much is tax exempt.

http://realestate.yahoo.com/re/homevalues/

best

[trof]

10. To answer some of your questions:

I doubt this place would appraise anywhere near the price. things are moving so fast appraisals just haven't kept up.
We did a refi two years ago and the app was $450,000.

Homes even across the street from the bay are MUCH lower in price.
The water we're on is Wolf Bay, just north of the intracoastal, with access to the gulf 20 or 30 minutes away. I'm in Alabama, half way between Mobile and Pensacola.

We looked at a house this morning that we like. It's a couple of miles away, on a small lake, in a golf course community. So we'd still be waterfront, kinda. Less than half the price we're 'asking', 'cept we weren't really asking.

Money wise, I'd be able to pay off our mortgage, pay cash for the new place, and have a pretty good wad of cash left over.
Sounds like a winner to me.

I used to be a realtor and a real estate appraiser, so I'm not a newbie at this.

Thanks for all your comments.
BTW, they're going through the house as I type.

[trof]

11. After Action Report:

They were supposed to be here at 2:30, but the realtor called and said they were running late. I had told her that we'd be around all day, but were going down the street for drinks at 5:00.
Anyway...no prob.

They got here a little before 4:00. The husband was nice. I holed up in the office this time and let them tour on their own.

When they got back to my end of the house, the guy had some questions about exactly where we were located in relationship to the gulf, the intracoastal, etc. I got some maps out and showed him.

We wound up out on the dock and stood around talking for a while. I finally glanced at my watch and saw it was a few minutes before 5:00. Time for me to go. The realtor took the hint and said thank you and we walked back up to the house. Said our goodbyes.

Miz t. and I turned out lights and locked up, giving them a few minutes to clear out. When we backed into the driveway they were still there, standing in the front yard talking. I waved bye-bye.

No word from the realtor yet.
Stand by for further developments.
;-)

[LynneSin]

13. You're crazy not to take the money

I get a little angry at how our coasts and especially the barrier islands that are suppose to protect the inlands are getting over developed. Those barriers are suppose to protect from hurricanes and the wetlands not only filter out pollutants but keep the balance between salt & fresh water.

But everyone is so gung-ho to developing these islands and they're willing to pay millions of dollars to have properties in these locations. (btw, I realize you're inland - I'm just ranting).

But honestly, these folks who develop on the islands should be required to provide their own insurance and our tax dollars should not be used to help repair the damage done. We're fucking with nature by destroying these barrier islands!

As for you - take the money. I'm sure there are other really nice neighborhoods in Alabama that aren't on the water but will be just as nice for your family. These people looking at your house are nothing but fucking greedy. Why shouldn't you profit off of their greed - oh and I would hold out for a mil!

[trof]

17. You speak truth.

If prices up here on the bay have gone ape-sh*t, the beach prices have gone quadruple ape. Orange Beach, just west of the Florida line, is rapidly becoming a deep canyon of condo high rises. You can no longer see the beach from the 'beachfront' road.

Ivan, and the near miss of Dennis, have driven a lot of folks off the beach, but people who have never seen a hurricane are lined up three deep to buy everything on the market. Developers are snapping up all the single family beach homes to build more high rises. It's just nuts down there.

[Mutley]

12. Wow!

You must have one hell of a house! Good luck getting it sold. :bounce: :popcorn:

[MissB]

14. Great update!

Hope it sells, even if it wasn't quite your plan. :toast:

[Beetwasher]

15. Get a Mil, then Rent for A Couple Of Years, Then Buy it Back for Half

What they paid you for it after the bubble deflates...

[bertha katzenengel]

16. Do you want to move?

If I had a house on the water, I'd dig in, but maybe you're tired of it.

Good luck w/ your decision!

[trof]

19. Well...NOW we might.

We like being on the water, but I hadn't had our pontoon boat off the lift in three years prior to Ivan.
We have been thinking maybe we've done the water thing. This house is by far our largest single asset. Even moreso in the last few months since prices have gone crazy.

There's a nice place on the market a couple of miles from us. It's on a small lake, so we could still be kinda waterfront. Less than half the price.

Que sera, sera.

[radwriter0555]

20. Check with your tax attorney on the amount you will be paying. I know for

us folks in CA, anything over $250K we have to pay 18% taxes on.. so do that first, okay?

[trof]

21. Thanks. Hadn't thought of that.

Will do.

[trof]

22. Update on the update.

The prospective buyers are "leaning" toward buying another condo so they wouldn't have any yard upkeep.
Ah well, it was a nice dream.
And it HAS gotten us into the "why don't we go ahead and sell" mode.