Does the Housing Bubble Still Haunt Some Properties? 1321 N. Bosworth in West Town
This 3-bedroom duplex down at 1321 N. Bosworth in West Town came on the market in April 2018.
This building was constructed during the last housing boom, in 2005. There are five units and parking.
It has cherry hardwood floors throughout.
The kitchen also has cherry cabinets, stainless steel appliances and granite counter tops. There’s also a wine fridge.
The master bedroom suite is in the lower level with the two other bedrooms on the main level.
The master bath has an air tub.
This unit has all the features buyers look for including central air, washer/dryer in the unit and 1-car garage parking.
The property has been reduced $99 since April to $519,900.
That’s just $10,900 above the 2005 purchase price of $509,000 even though the West Town neighborhood is booming.
Is this a deal for a 3-bedroom or does it reflect the magnitude of the prior housing bubble?
Luis Ortiz at Re/Max Partners has the listing. See the pictures here.
Unit #2S: 3 bedrooms, 2 baths, 1538 square feet, duplex down
- Sold in December 2005 for $509,000
- Originally listed in April 2018 for $519,999
- Reduced
- Currently listed at $519,900
- Assessments of $284 a month (includes exterior maintenance and scavenger)
- Taxes of $7923
- Includes 1-car garage parking
- Central Air
- Washer/dryer in the unit
- Bedroom #1: 23×18 (lower level)
- Bedroom #2: 16×10 (main level)
- Bedroom #3: 16×10 (main level)
- Laundry room: 8×5 (main level)
The wording on this listing is odd:
STUNNING MODERN 2 STORY DUPLEX IN CHICAGO’S VERY OWN WICKER PARK!
As opposed to all the other real estate listings in Chicago, which are not in “CHICAGO’S VERY OWN” neighborhoods?
I think we looked at this place in 2013; we definitely looked at a place a block west on Greenview. I remember thinking that this little micro-hood was kind of cut off from the rest of Wicker.
easy access to Oak Street beach? lol ok
All they need to do is paint the interiors some shade of grey or white. Instant sale! lol
those cherry floors hurt my eyes (how easy is it to stain cherry?) but for about $500,000 doesn’t seem too bad, its a duplex so that is nice.
Maybe they need to darken it up even more?
WHY ARE THE LISTING COMMENTS IN ALL CAPS….THIS DRIVES ME CRAZY
This property might have a problem with split faced brick. Looks like they used it on everything other than the facade and the last place I’d want to buy in a split faced brick building is the basement.
I dont think the bubble haunts west town because that was actually one of if not the best areas to survive the recession and have the best appreciation since 2000 in the city. What haunts this property is bland exterior box like appearance, bad window proportions and dated interior finishes that scream 2005 developer special.
They overpaid in 2005, less than 1600 sq ft is tiny for a bewer duplex down. I like the floors just fine, they are not the problem.
*newer
“easy access to Oak Street beach? lol ok”
Apparently doesn’t realize that Washington Sq Park (the east end of the 70 route) is still a half mile walk to the Beach.
It looks so dark and dreary. It’s also so far west. Too bad it’s not east of the expressway.
“Apparently doesn’t realize that Washington Sq Park (the east end of the 70 route) is still a half mile walk to the Beach.”
I’m more than twice as close and wouldn’t say “easy access to Oak St. Beach” lol… maybe they meant North ave beach?
“maybe they meant North ave beach?”
The 72 turns around at Clark. Meaning the beach is also a half mile from the bus stop, and you have to walk 3x+ as far from the condo to get to the bus.
Just surprised that they didn’t claim Skinner North and Payton as the attendance area schools.
Seems they’re not that interested in a fast sale @ a good price. This thing should have been repainted. Professional pictures wouldn’t hurt the cause either. Oh and the listing reads like fiction. Amateur hour all around. Seller and agent deserve each other.
I hear the architect was moon-lighting with this one. His specialty is prison and mental institution exterior design.
This isn’t really Wicker, it’s still Noble Square. The first thing I think about is how many coats of paint is it going to take to get rid of the baby shit brown and oxblood…(who are these people?). Plus, the kitchen is very small for a three bedroom. And why take a picture of a window that looks at brick? Put the blinds down. The realtor, the seller and the photographer deserve each other.
I LIKE INTERIOR DECORATING THINGS LOLZ!
THIS PLACE NEEDS SOME OLD STYLE WHITEWASHING!!!!
GO CUBBIES!!
My friend is trying to sell her place right now. EXACT same finishes – – floor, kitchen, baths, even the fire place. Could be the same developer.
She repainted her unit and it looks fresh and inviting, plus she has tons of light….. but similar to this, the feedback from prospective buyers is that all the finishes are dated and “need” to be replaced with white/grey/modern whatever. When did we become a society that demanded all new (and trendy) finishes when we buy a place?
It is actually amazing because her place is in excellent shape and while the finishes are no longer all the rage, she has it tastefully decorated, competitively priced (compared to other recent sales) her place. Additionally, hers is freshly painted, professionally photographed, better location than this….and so far no offers. It has been over two months.
Granted, I think if my friend took like $25K off her ask and maybe replaced the washer / dryer and the dishwasher with more lux models, it would sell real quick (and she would still make money), so it is a weird situation of trying to get the new construction pricing on a dated unit that the owner has made zero investment in. Whearas $500K is now a price point for a lot of first time buyers (primarily because they were previously priced out and are becoming first time buyers when they are more established financially), and a first time buyer at this price point for a condo of this size is not looking for a big repair bill in the next couple of years.
Also, December 2005 was the peak – – people were paying very irrational prices for class C locations (ask me how I know). I kinda feel like this is a B/C location. This is overpriced and the owner could come down to $499 and still not cut a check at the closing table. They will get most of their equity back and had the tax benefits of ownership for the past 13 years. They overpaid and haven’t put any money into the space.
Time to face the music.
If you aren’t going to get a decent check at closing, I would rent it out.
“it is a weird situation of trying to get the new construction pricing on a dated unit that the owner has made zero investment in”
See, that’s why it ain’t selling. Why would you pay (basically) the same price for used as you do for new? This isn’t a collectible we’re talking about.
“See, that’s why it ain’t selling. Why would you pay (basically) the same price for used as you do for new? This isn’t a collectible we’re talking about.”
Because RE isn’t automobiles. I can see someone paying more for more more modern amenities. But I always find it strange if a new building sells at a significant premium to one that say 10 years old with same amenities. I think it comes back to the whole if you give an idiot a bunch of credit they will use it.
“But I always find it strange if a new building sells at a significant premium to one that say 10 years old with same amenities.”
But we’re not discussing a premium; we’re discussing a 10 year old place asking *the same* as a new place.
If nothing else, you’re talking about 10 year newer HVAC and appliances, and 10 year newer common areas–meaning 10 more years w/ lower chance of need for replacement, or increase ass’n assessments.
“But I always find it strange if a new building sells at a significant premium to one that say 10 years old with same amenities.”
“But we’re not discussing a premium; we’re discussing a 10 year old place asking *the same* as a new place.”
I’m genuinely confused by this. Isn’t bobbo (glad he’s back, but somehow I thought his return would be more exciting) saying that he thinks a premium for the new place seems odd to him. And you’re saying there should be a premium and the fact the this old place prices as if there’s not is odd? In bob’s world, this is priced sensibly (at least wrt the old/new comparison).
“I’m genuinely confused by this.”
Fair enough. I’m thinking of the new place being at ‘market’ price, and the old one being sold at a discount, rather than the old being ‘market’ and the new at a premium. Which is heads and tails, I suppose.
The point is that everything in the 10 year old condo has 10 years of depreciation on it, which has a discernible value. So the new condo is intrinsically worth more, even if identical in location, amenities, size, etc.
Interesting discussion.
At what point does a building’s “vintage character” factor into the equation, if ever?
“The point is that everything in the 10 year old condo has 10 years of depreciation on it, which has a discernible value. So the new condo is intrinsically worth more, even if identical in location, amenities, size, etc.”
That sounds logical, to be sure, but bob resents the new place being pushy and asking for a premium. Possibly he could be persuaded by teh notion that it’s even pushier for the old place not to offer a discount? Maybe the framing does matter?
“even pushier for the old place not to offer a discount”
Exactly.
This place is in the trough of it’s bath tub curve – both in major systems, and in style. Everyone knows 12-20 years are the dead period for new units. If you’re going to buy from the developer, you better plan to sell in the 3-7 year range, you better hold, or you better prepare to have the least appealing unit on market.
Buy an old building or unit and you’re buying an asset. Buy a new building or unit and you’re buying an asset with a package of consumables. The asset will retain value, but the consumables won’t.
Additionally, this place was also over paid for in 2005, and is in the worst corner of the WP, UKV, NS, BT super-neighborhood. So many things working against it.
“you’re buying an asset with a package of consumables”–very well said.
I have tried to explain that to friends, but will borrow your phrasing in the future.
Why anyone trying to sell ANY house does not get professional photos is beyond me! If I were in the market, I wouldn’t look twice at this place. Way too dark.
closed on 7-24 for $490k.
That’s a like-for-like LOSS on a pre-bubble purchase.
In real dollar terms, it’s a 25% loss.