The Truth Hurts - 829 NE Beech St.

I've heard of the "buy the smallest house on the block" strategy, but I"m not sure I've heard of the "buy the ugliest house on the block" strategy. But hey, whatever works!

Here's the Realtor's description of this house:

"*More photos Take tour*Large corner lot. Ugliest home in the neighborhood. Hardwood in Dining room. One car garage with room to expand."

Christing gets my "Realtor of the Day" award for honesty. And it's probably not a bad strategy.

For what it's worth, this is the smallest, ugliest house around, as it is surrounded by nice, older homes in an up-and-coming neighborhood. I've walked past it and seen it in person.

RMLS# 9004068, Listed for $169k

Update:

It's amazing what a little marketing can do. I didn't even realize the photo above was the same house as posted a few days ago here.

I can only imagine a new Realtor has taken over the listing, as it's improved remarkably.

Where are the Desperate Sellers?

Here's a group of Realtors that know how to market themselves to match the current market conditions.

www.Agent 503.com

What's their angle? They track homes that have been on the market for more than 100 days, and are marked down more than 7%.

Check out their database here. They have multiple databases, broken out by local areas.

It's a great angle, they're really just repackaging data that already exists to find a niche that many buyer's currently want, deals.

And one more quick marketing tip to other Realtors and agents out there. Contrary to popular belief the best strategy in a down market is to get more targeted, not less. Find the key customer that you're after and market to them and only them.

Don't have a core customer? They you also likely don't have a differentiation, and you will struggle in this market. Figure out your strengths and target your marketing efforts towards them.

Cute Bungalow in Need of Finishing Touches - 8907 NE Wygant

8907 NE Wygant, MLS # 8013014

A reader sent in this craigslist ad with the comment:

"More wide angle nonsense. And look at this hell pit! It's only 160K but has it come to the point where we excuse such a slum because it's "only" 160K?"

As usual I love the creative marketing:

"In need of finishing touches".

If a full kitchen and bathroom ceiling are "finishing touches", I'd like to see their definition of a fixer!

"Great investment opportunity, seller has just reduced the price significantly. This house is only $15,000 away from being completed. You could hold this as a rental and cash flow. Your payments could be around 1061.82 (based on 30 year fixed, 6% apr and loan balance of $150,000) and this could rent for more once done. At this price you have many options, you could possibly fix it and sell for a profit (comps out over $200,000)."

If 15k will finish it and make it worth $200k, why aren't they doing it? They'd realize an instant $25k profit. Probably because it needs more like $50k to finish it.

Also note the number of times "could" is used. 4 times? And Oprah could give me a Million Dollars. But I doubt she will. You could make money on this, but I doubt you will.

"Perfect for a savvy first time buyer looking to make some great sweat equity.Those are just a few ideas that you could act on, but first you have to see the place and write an offer. Call to schedule an appointment today before this opportunity is gone."

Savvy first time buyer = sucker.

Last sale was for $137k in May. They need $145 to break even, not counting carrying costs and money invested. Did they run out of money, or get in over their head?

Creative Marketing - 3328 NE 81st Ave

Michelle sent in the following Craigslist ad:

3328 NE 81st Ave

The text of the ad is below. What they conveniently neglect to mention is that they just bought it for $175,500 in May. And in my not-so-humble opinion, the most recent sale price is my best indicator of current value, not a sale from 18 months ago. But it's hard to resist that temptation to think "wow, it's now 25% off!".

"Value:

The house was sold in January 2007 for $270,000.

Appraised at $265,000

Assessed by Zillow: $263,500

Assessed by Cyber homes: $253,100

Bank of America: $258,000

Comparable neighboring houses currently listed for sale (Zillow valuation in parens):

3434 NE 82nd Ave - $250,000 ($248,500)

3148 NE 81st Ave - $220,000 ($213,000)

3234 NE 81st Ave - $239,900 ($245,000)

1135 NE 80th Ave - $269,900 ($260,000)

3118 NE 81st Ave - $228,375 ($237,000)

8030 NE Beech St - $234,900 ($261,500)

4200 NE 81st Ave - $249,900 ($245,000)

3118 NE 81st Ave - $228,375 ($237,000)

Features:

3 bed, 1 bath

1180 SF & 432 SF unfinished basement

Master on main

Large living room with high ceilings

Hardwood throughout

Light and bright

Front porch

Fenced back yard with deck and shed

5,000 SF lot

Newer furnace

Location:

Near bus and shopping. Walk to park and schools. Easy access to I-205 and I-84.

Address: 3328 NE 81 Ave. (not backing to 82 ave.)

House is not a fixer but is being sold as-is.

E-mail or call 360 604-0613 for info or showing. Click on photo below for pictures.

We'll be working at the house all weekend - please feel free to knock if you drive by and would like to see the inside."