This 2/2 In The Gold Coast Is Listed $52,000 Under The 1988 Price: 78 E. Elm

This 2-bedroom at 78 E. Elm in the Gold Coast just came on the market listed at $125,000.

Yes, it is bank owned and being sold “as-is.”

And yes, it is a garden apartment. The listing says the master bedroom leads to a patio.

There are only a couple of pictures with the listing. The kitchen appears to be intact, with white cabinets, counter tops and appliances.

I know you’re thinking “Sabrina, who wants to live in a garden apartment?”

But apparently 2 other buyers have since 1988.

It is now listed $52,000 under the 1988 price.

Yes- 1988.

Is this a steal?

Alexander Chaparro at Dream Town has the listing. See the pictures here.

Unit #1: 2 bedrooms, 2 baths, 1500 square feet, garden apartment

  • Sold in March 1988 for $177,000
  • Sold in October 1997 for $255,500
  • Lis pendens foreclosure filed in August 2010
  • Currently listed “as-is” for $125,000
  • Assessments aren’t listed
  • Taxes of $4385
  • Listing says no central air
  • No mention of washer/dryer either in the unit or the building
  • No mention of parking
  • Bedroom #1: 17×15
  • Bedroom #2: 15×11

19 Responses to “This 2/2 In The Gold Coast Is Listed $52,000 Under The 1988 Price: 78 E. Elm”

  1. just_browsing_thx on December 10th, 2012 at 11:24 am

    I tried to look at this one yesterday but was not able to pull it off. Some of the things I’ve learned:
    -Property currently has multiple offers.
    -Back assessment that the purchasers must pay.
    -Property sold as-is, there is mold and water damage. No seller repairs.
    -Rentals need to be approved by HOA.

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  2. Looks like it is priced right for what it is. Probably could renovate it nicely for 150K putting it at a value of around ~275k+ which is pretty cheap for a 2/2 1500 sq ft place in the gold coast. The street is very nice. (i assume the 150k will be enough to install a washer/dryer if it does not have one. The lack of light/no parking/lack of central air will be difficult to compensate but a nicely renovated 2/2 could probably fetch at least 2600 rent in that area which is cash positive due to the assumed very cheap hoa.

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  3. Would mold and water damage be something the association was partly responsible for?

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  4. “Would mold and water damage be something the association was partly responsible for?”

    It is likely not the HOA responsibility. I would suspect that the mold and water damage came from some neglect of the unit owner and not from a building issue. Hard to know but considering there is a back assessment owed on the unit the HOA is not likely going to roll over and accept any responsibility for that issue. Bank is selling it at a fair price.

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  5. BTW it is likely going to be a rental and there is no way they will put $150K into the space. Basic rental finish choices with Home Depot cabinets etc. Will be a nice place but not upper bracket gold coast stuff. Assuming no major structural repairs are needed they can do plenty with $60 pst on a place like this.

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  6. How much of a down payment is needed to buy a place like this and get another 100k for a facelift? I would much rather buy a unit like this and pay another 75-100k to renovate it than purchase a newer place with fancy IKEA finishes.

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  7. Lauren – Probably 20-25% down minimum for a traditional 30yr fixed depending on whether you’d be an owner-occupier or investor. But let’s face it, no bank is going to want deal with a buyer who’s getting financed, even if it’s at a slightly higher offer than the competing cash buyer. They want this off their books fast, and of course, cash buyers offer faster closings. The rich get richer while buyers like myself with 20-30% down can’t get these types of deals/investments and instead have to overpay on traditional properties.

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  8. Actually Lauren – I misread your first sentence – I’m pretty sure you would need two separate loans, 1 mortgage, and another type of home reno loan.

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  9. “Actually Lauren – I misread your first sentence – I’m pretty sure you would need two separate loans, 1 mortgage, and another type of home reno loan.”

    Actually, she can get one loan for this property. It is called a 203K loan,
    http://www.thenichereport.com/articles/the-truth-about-fha-203k-loans/

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  10. Granted, that is a very cheesy article, but it does explain what a 203K loan is.

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  11. If they fixed it up a little, given its location near the hotels it could be a good place to house a hooker or illuminati sex slave for the Elliot Spitzer, Dominique Strauss Kahn, Marv Albert, and Dick Morrises of the world.

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  12. If mold is present,most lenders will not lend due to being uninhabitable. If going 203k route,pretty sure unit will have to be FHA approved and owner will have to be owner occupied.
    Pretty sure this will close as cash deal.

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  13. Listing agent isn’t responding to showing requests. I am not shocked.

    Elliot, you are going to have to look for Fannie Mae listings that offer the 15 day owner occupied offer window in order to have a chance at a bank owned listing. Fannie recently started incentivizing their listing agents with a few hundred bucks if they sell to an owner occupied buyer, so that might help you as well. Problem is Fannie overprices most of their listings for the first few months.

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  14. Looks like one of the other units had a $450 pm assessment last year, also a 2/2, same sq ft.

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  15. taxes are high.

    any parking around here? maybe its worth combining units.

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  16. Listing agent remarks from 2009 listing – much more info than Mr. Chaparro provides: QUALITY LIVING IN PRIVATE RESIDENCE CONVENIENTLY LOCATED ON RESIDENTIAL TREE LINED STREET BETWEEN LSD AND NEIGHBORING GOLD COAST SHOPS, DINING & NIGHTLIFE. CUSTOM FINISHES WITH PERSONAL TOUCHES ADD TO THE CONTEMPORARY DECOR, HIGH CEILINGS, WOOD FLOORS, MARBLE BATHS, WB FIREPLACE, LARGE PRIVATE PATIO, AND IN-UNIT W/D. IDEAL FOR PET FRIENDLY IN-TOWN, OR INTIMATE PERSONAL RESIDENCE W/PRIVATE OUTDOOR SPACE.

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  17. The tub in this place scares me being set down right next to the toilet. Go out drinking, come home and fall asleep, wake up to go to the bathroom and fall into the tub while peeing. Hit your head and your recessed tub in your basement apartment becomes your grave.

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  18. This place will sell for probably double the list price. My guess is 250k.

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  19. Man look at that bathtub. Looks like Buffalo Bill used to store people down there. “It puts the lotion on the skin or else it gets the hose again.” All that hosing down probably didn’t help with the mold problem!

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