“Failed Flip
3129 E. 6th Ave, Vancouver
Sold – August 5, 2011 $715,000
Attempted sell as a pre-sale new-build house??? $1,068,000
Listed and cancelled multiple times
Finally listed the original tear-down – Abandoned the build – June 20, 2012 at $759,800
Sold for $700,000
With all those transaction and holding costs – this has to be a $50,000 loss and no success on the build.
Given the builder that owned it – it is probably a good thing that it never got built because it would have probably been a P.O.S.
This is getting boring – I could post stories like this all day. Richmond is going down!!!!!
Also – Most of the West Side sales (other than new) are going for 10% below assessed.”
- ZRH2YVR at VCI 14 Aug 2012 10:00am
I’d call this more a failed contract build more than a “failed flip”. The owner wasn’t comfortable doing it on spec, or couldn’t get financing.
f1 I am confused, please enlighten us what happened. Surely this is just a glitch in the matrix?
$700k for a tear down on a postage stamp lot in east van is still well into bubble territory. Yawn.
Looking at this Crack shack,100 K seems like too much money for it. I read on CP 24 in Toronto yesterday that it is easier to buy HARD DRUGs (forget about pot) than it is to buy a bottle of wine in Vancouver. Seems like all them drugs have fried the brains of the natives; Trailer Park Boys moves to the Left Coast? NO SYMPATHY for the Greedy Reptiloids in that part of the country whose brains have been so fried that they actually think GLOBAL is News! BTW it’s not much better here in Toronto; it is going to be a bloodbath in Canada’s next capital of delusion with the difference that TO / Ontario takes Canada down with it while VanCoker takes only BC down with it!
Can we have a contest for which date this will sell for 350k?
East side won’t decline by 50%. Looks like you’ll be buying in Surrey.
“East side won’t decline by 50%. Looks like you’ll be buying in Surrey.”
On what basis? 6 weeks of training as a REALTOR?
Don’t be too harsh, Pretzels… for all we know VanGuy is just ‘lashing out’ a little – having only recently discovered that his SureThing investment in a new garden shed and EmuChicks wasn’t quite TheEarner he thought it would be…
“My friends and neighbours had invested – I just followed them. I believed the claims made by the firm because they were endorsed by famous actors.” – P. Ramaraj, Coimbatore Farmer
[TheAustralian] – Thousands of Indian farmers ruined in emu scam in Tamil Nadu
…”IN hindsight, everyone agrees that it looked like a turkey. But when Indian farmers were offered fabulous returns for raising emus, thousands succumbed to temptation. Now the crash of an investor scam in the state of Tamil Nadu has left at least 10,000 people out of pocket and 100,000 of the flightless birds pecking at the dust.
The premise was simple: an insatiable demand for emu meat, feathers and even oil. For a small stake, farmers were given three pairs of chicks and a shed. The promoters even paid a monthly sum towards the upkeep of the chicks and guaranteed to buy the mature birds at a price that was more than double the outlay.”…
http://tinyurl.com/8grbpvj
IMHO, these properties will indeed decline by 50% or more.
Nem -> Great find.
If the very same farmers had simply been told: Give me ten bucks today and in a month I’ll give you twenty bucks, they’d have spotted the ponzi scheme instantly. But because they were farmers and because the structure of the scam involved growing things, they fell for it.
Substitute ‘raising emus’ with ‘holding land in Vancouver’, and ‘farmers’ with ‘Vancouverites with BPOE infatuation’, and off you go!
TeeHee! By the way, IllustriousEd… I have this DiabolicalIdea for a new ‘charity’… Wanna slap a new banner on the Blog?…. Hmmm… “Save The Emus!” should do it… with a suitably emotive graphic of a neglected chick, of course [and the customary celebrity endorsements]. Donations by PayPal to a Liechtenstein phantom LLC layered through Nevada, Panama, Andorra, Monaco, the Institute for Works of Religion, etc… We reaggregate in Ecuador and retire to our new EmuSanctuary on the Galápagos!
When it finally dawns on the ultra delusional folks in the GVA that houses, especially 80 year old crack shacks are not an INVESTMENT, they are just ugly places to sleep in, they will flee just faster than they pile into RE. Then 50% will happen within months, the only question is how low will it go? With a quarter or more of the population engaged in work related to RE, not just construction, but furniture sales, TV sales,
lawncare, haircare, spas, yoga studios etc. etc. that all depend on the health of the population’s HELOCs, 50% may be the best case scenario. let’s talk in 2015!
lol I found that report hilarious…. here is another link
http://economictimes.indiatimes.com/news/news-by-industry/et-cetera/emu-farming-touted-as-a-money-spinning-opportunity-in-tamil-nadu-goes-bust/articleshow/15504940.cms
You don’t need to go to India to find such birdbrains:
http://www.cbc.ca/news/canada/story/2010/12/02/pigeon-fraud-galbraith.html
There’s also an alpaca scam going in Canada. Since you can buy an alpaca for almost nothing in Peru, the Canadian greater fools are all about establishing pedigrees and breed standards to keep prices inflated and cheap foreign stock out (handwave — “these aren’t the alpacas you’re looking for”). When was the nutria craze? ’70s? ’80s? The common thread is that it apparently isn’t considered a ponzi scheme if you’re selling a thing, only if you’re selling ethereal paper investments.
I’m not a realtor pretzel. You’re looking at 2004 levels for that to happen. I hope you don’t get shot in Surrey.
Van Guy
“I’m not a realtor pretzel. You’re looking at 2004 levels for that to happen. I hope you don’t get shot in Surrey.”
I don’t live in Surrey but I agree there is crime in some pockets of Surrey. And so does in every major city in North America.
You don’t go out or travel much, do you?
I think during the last bubble housing prices fell down to what they were 10 years ago. So some people lost 10 years of equity in just a few years.
2-3 years max 5. Its gonna go down alot faster than it went up.
In Toronto, sometimes I see two listings on MLS, one for the teardown, the other with an artist’s sketch of the proposed new build. Or a listing for a teardown complete with all plans and permits for the new build.
In the case above, one may have to give some credit to the developer for sensing that the market is turning and that building on spec might be a big loser, if indeed it isn’t just (as noted by YVR) that he couldn’t get financing. But the smarter builders generally line up project financing when they buy the property in the first place…
In my weekly drop posts on the Vancouver Price Drop site I constantly have to go through and filter out more and more listings that went from new home builds to just lot sales. The last month or two there have been a ton of these.
I wouldn’t say that most builders are getting smarter about what’s happening but more likely they are so over leveraged with other properties that aren’t selling that they need to start dumping lots
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cyclopsian, and looks like there should be a moat … why is the door off-center? … oh, little pink houses!
http://www.theglobeandmail.com/report-on-business/economy/economy-lab/listing-chill-hits-vancouver-housing-market/article4482381/?cmpid=rss1
700K for land value only in mediocre neighourhoood? Should I be concerned?
I think MLS # V957927 is a much better way to spend your money if you’re a buyer. Not too far from subject home
What do you mean land value, that is a great “starter home”. You can rent it out or live in for a couple years and sell it for 800k.
Am I doing it right?
Thanks for the post. I like to keep up with Canadian market.
I am really curious what your thoughts are on the Canadian market. That is if your post is not a auto-generated post.
Your insight would be greatly appreciated.
‘Realtor Chicagoland”s sales have ranged in price from $85K – $412K (median $200K), so the Vancouver market must be pretty shocking to him.
Clearly fishing for Canadian buyers
More than likely, ED… or perhaps… just perhaps… Mr. ChicagoLand is toying with the idea of practicing Realtorship™ in a market where he doesn’t feel obliged to provide his clients with ballistic armour…
“I think people here are numb to it. There are parts of the city where it’s normal to hear gunfire. I’ve heard gunfire standing next to crime scenes and waited for someone in the neighborhood to call it in, only to hear silence on my portable scanner. I’ve listened to the scanner and heard cops calling in gunfire while they’re guarding a crime scene from earlier in the night, only to hear the dispatchers keep saying “no tickets yet,” (which means nobody’s called 911 to report shots fired calls). – Peter Nikeas, Homicide Reporter, Chicago Tribune
http://tinyurl.com/c8jzn7z
What you published was very reasonable. But, what about
this? suppose you wrote a catchier post title? I mean, I don’t wish to tell you how to run your blog, but suppose you added a post title to possibly get a person’s
attention? I mean Failed Land Flip In East Van – This is getting
boring – I could post stories like this all day.
| Vancouver Real Estate Anecdote Archive is kinda
boring. You ought to look at Yahoo’s front page and watch how they write article headlines to get viewers to open the links. You might add a video or a pic or two to grab readers excited about what you’ve
got to say. Just my opinion, it would make your blog a little bit more interesting.