Bay Point, CA Condo

For the first time in several years, becoming a homeowner has become affordable to low and moderate income households again in many parts of the Bay Area. Bay Point, at the end of the BART line, has seen a surge of foreclosures, offering many great deals to buyers. This 2 bedroom condo in the Westwood Village complex in Bay Point is listed for $84,900. The foreclosee paid $225,000 for it a few years ago (1/3/2005), and Zillow.com estimates its current value to be $187,500 --- well over twice its current listing price.


A property like this would be good for either an owner-occupant or an investor. For an owner-occupant who works in San Francisco, it is an easy commute – this condo, in the Westwood Village complex, is walking distance to the Pittsburg-Bay Point BART station, and with a total monthly payment of under $1,000 per month, including HOA, this is much cheaper than rent for a decent 2-bedroom unit anywhere in the Bay Area. Alternately, with very little cleaning and cosmetic updating, this unit could be ready to rent for $1,200 to $1,400 per month, delivering good cash flow for an investor.



The basics...
Address: 8 Lancaster Circle, Unit 220, Bay Point, CA 94565
Current Listing Price: $84,900
PREVIOUS Sale Price: $225,000 (1/3/2005)
Size: 2 Bedrooms, 1 Bathroom; 806 square feet

http://www.realtor.com/realestate/bay+point-ca-94565-1102551549/

Durham, NC Bungalow

Here’s a bungalow in a nice, established area on the north side of Durham listed for $87,900. The foreclosee paid $115,000 for this house a few years ago (3/2/2004), and Zillow.com now estimates the value of this house to be $136,500.


This house is on a good-sized lot with mature landscaping, and appears to need very little work prior to occupancy. With some basic cosmetic updating, this place will be ready for an owner-occupant or a tenant. A house like this could rent for about $1,000 per month, so it is a possibility for an investor looking for a long-term investment opportunity in the Raleigh – Durham area.



The basics...
Address: 2608 Banner Street, Durham, NC 27704
Current Listing Price: $87,900
PREVIOUS Sale Price: $115,000 (3/2/2004)
Size: 3 Bedrooms, 1 Bathroom; 1,317 square feet
Lot: .21 acres

http://www.realtor.com/realestate/durham-nc-27704-1103019537/

Boston, MA Condo

This condo in Boston’s historic Beacon Hill is now listed for $793,900. This is a prestigious address in a 3-unit condo building, and it is convenient to all Boston has to offer. The previous owner of this REO paid $1,270,000 just a year and a half ago (3/29/2007), and Zillow.com now estimates its value to be $1,144,500.


A unit like this would rent for $4,000 to $5,000 per month, so it would not be a good candidate for an investor seeking rental income. For an owner-occupant, however, it could be a great opportunity to buy in a demand location while the market is still favoring buyers. Though the unit appears to be in good condition currently, it is a bit dated and lacking that certain top-quality feeling one comes to expect in a high-end property. Tons of potential with this one... with some thoughtful design and renovation, this place could be a really incredible city dwelling.



The basics...
Address: 32 Temple Street, Unit 3, Boston, MA 02114
Current Listing Price: $793,900
PREVIOUS Sale Price: $1,270,000 (3/29/2007)
Size: 3 Bedrooms, 1.5 Bathrooms; 1,500 square feet

http://www.realtor.com/realestate/boston-ma-02114-1103026740/

Akron, OH Colonial Revival

Here’s a sold old colonial revival on the south side of Akron, the heart of the rust belt, listed for just $4,900. This house last sold for $72,000 about six years ago (6/18/2002), and Zillow.com estimates that it is currently worth $79,000.


This house does need some work to make it ready for occupancy, but it still seems to be quite a steal at this price. A complete rehab (probably costing about $15,000) could turn this house into a great rental property. This property could likely bring in $600+ per month, delivering fantastic cash flow for an investor.



The basics...
Address: 1356 Marcy Street, Akron, OH 44301
Current Listing Price: $4,900
PREVIOUS Sale Price: $72,000 (6/18/2002)
Size: 3 Bedrooms, 2 Bathrooms; 1,264 square feet
Lot: .11 acres

http://www.realtor.com/realestate/akron-oh-44301-1102934198/

Lake Elsinore, CA Spanish Colonial Revival

Lake Elsinore, near Riverside in the Inland Empire (east of Los Angeles), is now experiencing quite a bout of REO fever. Here’s a spacious 4-bedroom Spanish Colonial revival in the Tuscany Hills neighborhood listed for $244,900. This is a high-end development for the area, and is still a pretty good place to live, if you don’t mind the occasional squatting family of bobcats (http://latimesblogs.latimes.com/laland/2008/09/bobcats-on-a-ba.html). The previous owner paid $360,000 for this house about five years ago (7/2/2003). Amazingly, this house could have likely sold for close to $600,000 at the real estate peak in 2006. Zillow.com now estimates that this REO is worth $284,500.


This house appears to be ready for occupancy in its current condition. Although a newer house like this in an upscale subdivision usually would not work as a rental property, this one seems to be an exception. Tuscany Hills houses of this size are renting for $1,700 to $2,000 per month, which could actually make this REO a possibility for an investor. It could also be a great buy for an owner-occupant looking for a large house in the area. The only concern is that prices may very well fall further in this area, as Alt-A mortgages begin to reset in the coming year, likely resulting in even more foreclosures in middle-class areas like this.



The basics...
Address: 21 Villa Roma, Lake Elsinore, CA 92532
Current Listing Price: $244,900
PREVIOUS Sale Price: $360,000 (7/2/2003)
Size: 4 Bedrooms, 3 Bathrooms; 2,589 square feet
Lot: .13 acres

http://www.realtor.com/realestate/lake+elsinore-ca-92532-1102446440/

Oak Park, IL Bungalow

Here’s a cute bungalow in Oak Park, a high-demand suburb of Chicago, listed for $159,900. The foreclosee paid $301,000 a few years ago (1/1/2005), and Zillow.com estimates that this house is currently worth $268,500, well over $100,000 more than its current listing price.


This house just needs some minor cosmetic work to make it ready for occupancy. As a rental property, this house could bring in $1,200 to $1,400 per month, so it could be a potential winner for an investor. It could also be a great house for an owner-occupant. The amount of cosmetic work and renovating to be done could be as little as a couple thousand or as much as $10,000 to $20,000, if a new kitchen and other amenities are desired. The house is habitable as-is, so minimal work needs to be done to bring it back into full service.



The basics...
Address: 1015 South Cuyler Avenue, Oak Park, IL 60304
Current Listing Price: $159,900
PREVIOUS Sale Price: $301,000 (1/11/2005)
Size: 2 Bedrooms, 1 Bathroom; 792 square feet
Lot: .09 acres

http://www.realtor.com/realestate/oak+park-il-60304-1101219403/

East Palo Alto, CA Ranch

East Palo Alto, on the San Francisco Peninsula, has been hit with an extra-hard case of REO fever lately. Here is a cute, renovated ranch listed for $244,900. The previous owner of this house paid $600,000 for it about three years ago (8/12/2005), and Zillow.com estimates its current value at $469,000.


This house is in great shape, and will pretty much be ready to roll with just a basic cleaning. A house like this could rent for about $2,000 per month, which means it could potentially work as an investment property or for an owner-occupant. Property values are very likely to stabilize and recover in this area over the next few years, so the strategy to buy-and-hold could lead to some serious gain if you are willing to stick it out.



The basics...
Address: 2345 Oakwood Drive, East Palo Alto, CA 94303
Current Listing Price: $244,900
PREVIOUS Sale Price: $600,000 (8/12/2005)
Size: 2 Bedrooms, 1 Bathroom; 820 square feet
Lot: .10 acres

http://www.realtor.com/realestate/east+palo+alto-ca-94303-1102855455/