mpbro

Danke. Heh-heh, I guess so... ;-) And unfortunately, we never got down to the price point where the builders started sniffing around. This was a lowball from some motivated buyers, and we had to converge. So I certainly can't say that you're wrong and I'm right! We're off to Mountain View, CA (Bay Area). In a week, we'll be stuffed into a 1100 sqft duplex. I'm really not in a huge rush to take a plunge into that market. Surprisingly, that part of the Bay Area is still quite strong. Silicon Valley is hot for the first time in years. The rent-to-mortgage ratio is way out of whack (1:2), so I think that rents are probably going to come up considerably, rather than house prices falling. Makes me think of buying a duplex myself.

Well, we close on May 31 for $515K. Quite a bit lower than the original ask of $599K, but this was not unexpected. Still a very good PSF number ($244) for this neighborhood, though. And a nice premium over lot value, which I estimate at $450-475K. The buyers apparently plan to gut the kitchen and bathrooms, and possibly add a bathroom+bedroom.

Yes, it's exactly that funny little lot (the house on the big corner lot is actually very cool). As for the $100 structure value, that strongly implies a structure with major problems, like foundation beyond repair or with catastrophic termite damage. House looks a little lopsided from the street, now that I think about it.

It's interesting that 2035 Macarthur doesn't move, and I think reflects a big demographic change. Assuming no major problems with the house, they'd have had a starter home buyer 3 years ago at $250K. You don't see these buyers in this area anymore, unless you count "starter house buyers" as two surgeons just out of residency (like my new next door neighbors)! I don't know where these buyers are going these days. So although there are lots of people who could comfortably live in that house, the only fate for that place in that neighborhood is teardown. If you say lot value is $350K and value the house at -$10K, you have $340K. I think the lot is weirdly shaped, tapering toward the back, which might constrain builders.

Heh-heh, very funny stuff. Like domus, I was also surprised by the conservative reaction to my "interpretation" of the house, even though many of the previous owner's updates were done in the 60's and 70's! The updates are mostly reversible: Don't like the paint on the paneling? Strip it off, you would have had to strip it anyway. Don't like the light fixtures? Install new ones. Retile the kitchen. I like certain aspects of the 50's homes, but not others. I ditched the things that I didn't like or couldn't preserve, and kept the things I liked. My wife and I really enjoy living in the home, which is all that matters. From a market perspective, I can tell you that the original house was a bust. Which explains why we bought it for below an initial lot value offer. So why would it sell any better now if I'd have left it in the same condition? I can only assume that in the pool of prospective buyers, MCM aficianados are vastly outnumbered by the Pottery Barn crowd. That being said, I do appreciate the input I've received here; even the sarcastic remarks are "data points". flipper could certainly give a more educated perspective on the market's perception of homes like this.

If you think it's jm1fd's house, you might be crazy. It is actually my house. I thought that was somewhat obvious from the tenor of the original post, but when people seemed not to get it, I edited the original posts to make it seem less like it was my house. The feedback here has been very interesting! I actually have feedback from some clients of agents who have viewed the house. They make me chuckle out loud compared to what you guys have said: "Buyers felt price to be way high for the property.Considering"bathrooms need remodeling,kitchen needs more updating kitchen,add walk in closets" and so" "My client felt she would have to do too many updates. " Now that the cat is out of the bag, I can comment on some issues raised here: This is not a flip! We've lived here for 2.5 years and enjoyed it. We're moving to California. Kitchen cabinets and wall paneling look like a low-end mahogany. Knotty pine in the utility. I tried sanding, and gummed up 2 belts on one cabinet. I tried stripping it, and what a pain in the ass. The grooves between the boards make that hard. For livability, I have zero regrets about painting the paneling! The kitchen was redone in 1979, if the dates on the old appliances were representative. Orange formica has to be from 1979--the formica is on particle board, and the original construction has no particle board. Again, for livability, I have less than zero regrets about nuking the formica. (actually we tiled over it! ) There was a lot value offer for $350K in June, 2004, which the original sellers rejected. I'm 100% confident that a builder would jump at $450K now, and probably into the low $500s. However, as I said, we're priced too high for builders right now. For teardown, it has to be someone who wants a deferred option on the lot, with a livable house for the near future. As for the "Pottery Barn" comment...thanks! As I have no actual taste myself, we aimed for the lowest common denominator with paint colors, etc. It looks as if we've succeeded! It actually pained me to trash(!) the light fixtures. I told my wife that we could sell the cooler ones on E-Bay, and she didn't believe me. She took 'em to the dump before I could do anything about it. If you're going to make a house "mod", I think you have to go all the way. Nobody would touch this house when we bought it! I like to think that we've preserved most of the home's interesting features, but made more appealing/livable to the average buyer (and to ourselves). The open house was (I guess) a success, with something like 20 visitors. Maybe some of you dropped by? Thanks for the comments!

The varnish can get pretty gnarly as it naturally yellows, gets coated with cooking grease, and/or if the previous occupants smoked. The varnish is basically impossible to sand, so you have to strip it chemically. Yuck! What do people usually do if they want to keep their paneling pristine? Wood bleaching might make the look a little more palatable to Pottery Barn tastes, but I guess you can't easily "undo" bleaching. At least paint can be stripped. Heh-heh, but you have to admit that it might look kind of funny in a baby's room! It was a cool fixture, though. What do you think of these old fixtures? It has a Mahogany-like ripply glow. Not like the real expensive Mahogany, which is nothing but ripply glow, but pretty nice wood.

Hmm, didn't think most lovers of "mod" were big fans of orange formica, foil wallpaper, and ratty shag carpet. But YMMV. As for the mod furniture...very cool, but maybe the previous owners took it with them...

Well, skeptics and optimists alike can check out 2134 MacArthur from 2-4 pm this sunday (March 25). A nice day to enjoy the azaleas, even if you think the RE is overpriced.

I guess a lot depends on premium you will pay for larger lot. Or, the premium you will pay for the long-term *option* of building in the one of the only nbhds within walking distance of the TMC. I tend to agree baseline tiny lot value ~ $350K. Not really enough pure lot value sales to know, for sure. Morningside Place has more. You see lots of spec builds there on 6000 sqft lots, but the larger lots in Southgate have to be preferable for custom. Nicer nbhd anyway. 2202 MacArthur (corner, odd shaped 11Ksqft lot across st from 2134) went in 6/06 for $465K to a future custom build buyer; they are renting it out. 2039 McClendon: 1952 ranch style, extremely dated interior, sold quickly for $507K Teardown at 2106 Swift went to contract at $525K. 2102 Southgate (corner) sold 2 years ago for $395K; tore down nice 1940 bungalow to build $1M+ custom New custom builds on corner Southgate & Montclair have no lot sales large odd shaped lot (corner) at 2004 Southgate (ratty location) went to contract at $459K 2220 Watts sold for way over list at $366K 6 months ago. Currently a huge spec(?) house is going up, filling the tiny lot. 2035 MacArthur is a tiny lot with a teardown and has not moved at $385K.

Good points, thanks. I agree that land value is < $600K. A year ago, I'd have said < $400K! But you hear stories of tear-downs and empty lots receiving 10 offers, and have to wonder. An agent who prices conservatively is listing a smaller lot (teardown) in Morningside Place for $460K. So a land value of $500K seems justifiable. As you say, the economics of this place as a lot do not work for spec builders. Maybe for a motivated custom build (look at the action on Southgate Blvd), but best market is prob private citizens (i.e. doctor) who want a long-term option to build on a good lot, but live comfortably in the meantime. Question is, what are they willing to pay for that option. These doctors look at the location (walk to TMC) and see the number of new hospitals going up...put 2 and 2 together and the good build sites will not be around for long! That's my story and I'm stickin to it.

2134 Macarthur in Southgate is on the market. Not as "mod" as most of the homes in this forum, but it is for sale, and it's got some cool features (stacked brick fireplace, big glass pocket door, etc.). An open house will happen this Sunday (March 25) 2-4pm. http://harpictures.marketlinx.com/MediaDisplay/61/hr1878761-1.jpg http://harpictures.marketlinx.com/MediaDisplay/61/hr1878761-2.jpg http://harpictures.marketlinx.com/MediaDisplay/61/hr1878761-3.jpg

Also, if you are back in Southgate again, check out some of the custom newbuilds on Southgate Blvd. If I get motivated, I'll post some photos. 2203 Southgate is about 5 houses west of 2145 -- ultra-modern custom with some interesting angles. Right across the street (21-something) is a massive brick box about 3/4 of the way done. There's a fantastic Tudor-style house about 5 doors east of 2145 -- not "mod" by any stretch, but the attention to detail on the brickwork makes me very happy. Not cheap! The biggest "mod" is a custom house at 2102 Southgate. It is almost 5400 sqft, and is fairly interesting, if a little box-like. Though I'm not a big fan of the stucco...yucko!

I think the lady who submitted the photo to voxproperty (the owner) airbrushed the house next door. ;-) It is to my knowledge the only really obvious MCM home in the nbhd. There are quite a few 70's and 80's homes. A fairly interesting pair of homes was built in 1984, probably the last time that a single lot (11000 sqft) was subdivided in Southgate. One of those homes, 2019 McClendon, is currently listed at $719K. What the neighborhood lacks is some real nice examples of ranch styles on sprawling lots. Prevailing lot size is below 10000 sqft. I like the ranches in Old Braeswood (west of Morningside) better. The prices really have increased over the past 3-4 years. I'm kind of sick of being in such an urban environment (suburbs??? ), though it was great when my wife was doing her MBA at Rice. The southern third of the nbhd has no sidewalks, and increased traffic with the Kirby crap going on. Kind of sucks when you want to take the stroller out...

Heh-heh, nope, it was an estate sale, and the vultures...err, I mean heirs, quickly snapped up some of that fantastic mod furniture. :-( They left us with all sorts of other crap, though. I'm sad to say we used a lot of that crap!