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1209 Olivia Street - Back on the Market - Again!

By
Real Estate Agent with Preferred Properties Key West
This is the second time that 1209 Olivia Street has been returned to the market after the lender was unwilling to accept the short sale price negotiated between the seller and buyer. If you are among the many people who saw this house and got frustrated that you did not get to submit an offer, you just got a new chance to own a place in Paradise.

The new asking price is a price that the lender will agree to accept: $610,000. This is what you will get for your money: Desirable Meadows single family home totaling 2 bedrooms/ 2 bathrooms plus small pool house. Heated concrete pool, off-street parking, resurfaced wood floors, new bathrooms, central a/c, Chicago brick patio, newer decking around pool. The house has sat vacant for several months, so it smells a bit. There is also a spiral staircase in the living room that provides access to the second floor bedroom and bath. The pool is green these days, and there are deal palm fronds all over the yard. Each of those negatives can be remedied. But at $610,000 you get a 1522 sq. ft. house on a good sized 3589 sq. ft. lot in a desirable location for $401 per sq. ft. The waiting time on approval should be minimal since the lender has already approved the price.

CLICK HERE for more information and photos of 1209 Olivia Street. Please note: the photos in this blog are old photos. They do not represent the present condition of the property.

If you would like to see 1209 Olivia Street, please call me, Gary Thomas, 305-766-2642 to schedule a showing. The house is vacant so it is easy to see. But please see it with me.

Show All Comments
Anonymous
L.Fisher

This is downright silly. The listing contains an asking price of $549000. One would have thought that the listing price would have been known by the lender and tacitly agreed to. For the lender to insist on a price in excess of the published asking price probably explains why banks are in such trouble. The third party approval language contained in short sale listings was designed to respond to bids under the asking price.  I would have been willing to wait for lender clearance and to jump through lender hoops. I'm not willing to  think that every one is negotiating in good faith when that's just not true

Mar 30, 2009 09:48 AM
#1
Gary Thomas
Preferred Properties Key West - Key West, FL
Realtor to the Dreamers

The prior listing did have an asking price of $549,000. That was the amount the seller hoped the lender would accept to approve the short sale. The contract price agreed upon by buyer and seller was reportedly less than that. The lender did not approve either price. The lender did approve $610,000 as a price lender would accept at this time.

Lenders do not have to accept any short sale offer. Lenders can demand payment in full. Lenders can be very demanding on other terms of sale (including real estate commissions).  It may make more sense to write an offer that works for all 3 sides (seller, buyer, lender) than it is to try to stick it to the lender.

I showed 1209 Olivia perhaps 10 times or more and every single looker that liked the place discussed making a low ball offer.  It appears that is what was presented to the lender and that is what failed.

Gary

 

 

 

Mar 30, 2009 11:23 PM
Anonymous
L.Fisher

I agree that the offer should make sense to all 3 sides. It doesn't make much sense, however, for a buyer  to make an offer in excess of the asking price. It would appear that an offer at the asking price would have been rejected...if I were the buyer, that would come as an unexpected and unpleasant surprise.

i don't think that hiding the ball is all that clever. Everyone gets to watch the house slowly sink away.

Mar 31, 2009 02:31 AM
#3
Gary Thomas
Preferred Properties Key West - Key West, FL
Realtor to the Dreamers

This property was originally listed in August 2007 at $1,199,000 and reduced until it became a "short sale" last summer.  The price has been periodically reduced until the last go-around when the lender declined to accept the contract price but did state a price it would accept.  $610,000 is the amount the lender will accept today.  If no offer is received or if a lower offer is received, perhaps the lender will reconsider at a later date.

Lenders need to be mindfull that Key West buyers are about to depart in droves. They do it the same way every year. They come down to Key West to buy second homes during "season".  For the most part they disappear until Christmas.  Hurricane Season is approaching June first and that signals potential evacuations of the Keys as an abundance of caution. Those evacuations are devastating to the local economy during good times. So it will be interesting to see what happens this year.

I think really low ball offers are pretty much a waste of time.  It makes more sense to submit a real offer based on recent comparative sales if you want to buy a property. 

 

Gary

Mar 31, 2009 10:13 AM
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