Previous Purchase: 12/27/06 - $2,128,000
Listing History: 5/7/10 - $2,875,000
Reduced: 06/16/10 - to $2,725,000
SOLD: 8/31/10 - $2,640,000
According to a comment left on the last post, the agent said half a million was spent on the major upgrading of the property. While there is no doubt that a large chunk of change was spent, I think you always need to exercise some skepticism when you hear things.
For our purposes, I will look at the developer profit/loss in the following way:
$2.64 (sale price) - $2.128 (previous price) - $0.4 (upgrades at a discount estimate) - $0.13 (5% sales agent fee) - $0.1 (property tax + other) = a loss of about $120,000 without even taking into account the time value of money or interest charges on anything borrowed. I would guess that this is a conservative estimate but even still, the developer did well to "only" lose a relatively small sum given when they bought this place!
So this is a mid 2007 rollback?
ReplyDeleteI commented on the last post before reading this, but I still doubt the upgrade would be this much. I expect it would be much less than 400k so he probably made a little money.
ReplyDeleteOverpaid!
ReplyDelete