There are still good deals out there!

Check it out! If you bring cash this house will only cost you $462,000.. You might even get a deal as the seller is ‘motivated’ since at least April or so. It brings in $1450 per month in rent too! Can you make those numbers work?

I used the ever handy mortgage calculator to discover that if you put 5% down you’ll need an annual income of $157,631 to buy this house, so it’s quite the status symbol. And yet some people claim that Vancouver is in the peak of a bubble. pshaw!

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dingus
dingus
14 years ago

I think the permits should be OK, given the city's eagerness to get infill housing going, but probably getting the plans together to get the permits is a hassle, then coordinating and paying for construction is the problem. A few houses in my neighbourhood sold as teardowns, presumably with this plan in mind. A couple have gone forward, but a number have stalled for whatever reason. Now they're crack dens, as the flipper/specuvestor/amateur developer tries to get at least a trickle of income to offset the carrying costs. It's a fabulous turn of events for the neighbours.

the pope
the pope
14 years ago

woodenhorse: thanks for the numbers, obviously its a bit of a strange pitch for the realtor to make, but its not like we've never seen it before.dingus: IF you can get permits and IF you can sell in the high 400k range then yeah, I guess you could make this work pretty well for you. Things seem to be moving pretty slowly these days though, maybe they'll pick up after the summers over..

dingus
dingus
14 years ago

As laughable as the house is, and as stoooopid as the realtor blurb is, it's lot value essentially. In fact, it would probably sell better if they plowed this POS under and sold it as a vacant lot. 35×104 isn't bad. And that stretch of 25th is a quiet residential pocket. Could build a duplex if you got approval. Sell each for high 4s, and you've made some good coin. The blurb SHOULD say "ripe for development — come build your dream home…" Trying to sell this as a livable home or rental investment is retarded.

D_Oush
D_Oush
14 years ago

That's a 3.76% annual ROI…a full 1.24% less than a risk free ING banking account.Ok, so maybe not the best deal, but rents can be raised and if the land value is there a new house could be built there. If prices keep rising like they have then it could still be a good investment for the land alone.

WoodenHorse
WoodenHorse
14 years ago

OH…also, my numbers above assume that you have zero interest expense. Not that likely IMHO

WoodenHorse
WoodenHorse
14 years ago

d_oush said….I don't know anything about this house or its locationIf you click on the link that starts the original post (link is under the Check it out! it points to the MLS posting) you'll find that it's located at 2260 E 25TH AV. but it might be a good deal, is that so hard to believe?It is currently rented out at 1450/month. That's a 3.76% annual ROI…a full 1.24% less than a risk free ING banking account. Furthermore, that 3.76% is a gross overestimate as I haven't included prop taxes, repairs/maint or insurance. I've also ingored the realtor fees for selling it on the other end.So the short of it is yes, it is hard to believe this is a good deal.

D_Oush
D_Oush
14 years ago

stuck-name-calling always adds a touch of class to any argument. I don't know anything about this house or its location, but it might be a good deal, is that so hard to believe?

Anonymous
Anonymous
14 years ago

can you imagine what that house would be worth if it was located on top of the empire state building? Millions!!

stuckinburnaby
stuckinburnaby
14 years ago

douche, your logic is flawless. If that house will be eventually worth 800k here because that's what it costs in SF, then widen your horizons and consider that same house would be worth 8,000,000 in Mayfair. Get in on the ground level before it's too late. Be bold! The smart money buys early!

D_Oush
D_Oush
14 years ago

That same house in my neighbourhood in SF would go for $800k.This is exactly my point. If a house like this can get $800k in SF, then it will probably eventually get to that price here.

todd
todd
14 years ago

c'mon, it's $447k AMERICAN.An American should definately buy this property, because if the US dollar keeps dropping against the $CDN it will be a money-maker!

dealbreaker
dealbreaker
14 years ago

I'm going to bid a high $800k, because eventually it will be worth that, particularly once it has a few burnt out cars parked in the yard with a rottweiler chained to one of them.

richard
richard
14 years ago

That same house in my neighbourhood in SF would go for $800k.So this is almost a 2 for 1 deal, how can you afford not to buy it?!It's so close and convenient to burnaby too!

Anonymous
Anonymous
14 years ago

That same house in my neighbourhood in SF would go for $800k.

WoodenHorse
WoodenHorse
14 years ago

Anonymous said… c'mon, it's $500k CANADIAN. 1:29 PM Very helpful. Could you explain?btw: 500K CDN would be 447K USD…why didn't you sayc'mon, it's $447k AMERICAN.

Anonymous
Anonymous
14 years ago

c'mon, it's $500k CANADIAN.

Anonymous
Anonymous
14 years ago

Yeah, but if you're putting 5 percent down you shouldn't be buying a half million dollar house, you should buy a cheaper condo. If you only put 5 percent down on this house you'll probably end up paying more like a million when you factor in interest payments.Whenever possible put at least 25 percent down no matter what the market.

metro
metro
14 years ago

Is that the price for the entire house? Cause I've got to say it looks like the basement alone has got to be worth at least a half-million.What a bargain!