Intrigued by the “Pocket Listing”? 4237 N. Damen in Lincoln Square
It’s been awhile since I’ve seen a “pocket listing” mentioned in the Chicago market.
A pocket listing is a property for sale that isn’t on the MLS/market but the seller makes it known that he/she is interested in receiving offers on the property.
Usually- you see pocket listings when the market is hot or the property is otherwise very unique because the seller is betting that there will be so much demand for the property that he doesn’t even need to list it and it will sell.
You also see pocket listings for properties at the very high end of the market where there would be few buyers anyway.
This 2-unit greystone at 4237 N. Damen in Lincoln Square is listed on Craigslist as a “pocket listing.”
The Craigslist ad states:
Seller Super Motivated! Rare opportunity! Unbeatable location in Lincoln Square. Chance to convert to a single family, possibly du-plex down, or simply rent out. Currently two flat that’s vacant. Lot size of 30 x 152, zoned RS-3, amazing opportunity to rehab/develop in a great neighborhood. Close to El, Metra and great restaurants!
It’s not currently on the MLS (hence the pocket listing) but it has been in the past. It was first listed for sale in September 2007.
Here’s the history:
4237 N. Damen: 5 bedrooms, 2 baths, 2 car garage, 2-flat
- Sold in July 1998 for $305,000
- Sold in November 2002 for $490,000
- Originally listed in September 2007 for $725,000
- Reduced several times
- Was listed for $599,000 in November 2008
- Listing canceled
- On Craigslist as a “pocket listing” for $599,000
- Ron Knoll at Saffron Realty Group has the listing on Craigslist (see a picture of the property there)
The realtor may be using the same strategy that I am right now. This is a terrible time to put a listing on the MLS. Buyers aren’t as active right before Christmas. So you do the pocket listing until early January and then you put it on the MLS. That way you’re not racking up market time for little gain.
Someone should e-mail this owner and let him know that the days of the $600,000 two-flat are over. He missed the boom – he’s too late and priced too high. At $600k the flat isn’t cash flow positive. No one will convert it to a sfh because there is a glut of new construction houses out there. Moreover, why is the building vacant???
Of note, I thought I’d mention these specuvestors refinanced the mortgage five times in six years.
The location is good and the building looks nice from google street view. But I agree with HD on this one: crazy-high pricing for a two flat in this market and location. You couldn’t possibly cover the mortgage by renting it. A conversion would push the price easily over 700K…way too pricey for what you are likely getting.
if the seller is super motivated I bet you can talk them down to $525.. not saying that’s even a deal, but the listing price doesn’t accurately reflect true worth.
You guys are crazy. This place is clearly a $1 million property. Can anybody help me out with a jumbo loan?
Makes you wonder why the seller is so “super motivated”
hint: its because he can’t rent it at a reasonable price and he’s losing his butt!
For properties without photos, is it possible to just use a screenshot of google street view and aerials? Just a thought…at least there would be one exterior photo even if have to link for others…
Will someone explain why anyone would buy a multi-unit building on the north side right now? It’s almost impossible to find a two or three flat for under 450K unless you go to some really crappy part of Rogers Park or some area where there’s no train access. Why would I buy a two flat for 600K when renting out one unit will probably generate all of $1500 a month in rent? I really love owning my own space, but I’m not going to pay 2x more a month for the privilege, and I’m certainly not going to pay double what I would as a renter for the privilege of being a landlord.
this has been apearing as a pocket on CL for over a year. Before that it was on the MLS for awhjile, even during the boom, my guess is there is some structural issue
The Nov 2002 price is at least in the right ballpark, but only if the property is, for the most part, flawless in terms of structure, utilities, and fixtures. $599K is insane for the reasons already listed by other posters. The ownership premium over rental parity cash flow has its limits, all the more so in times like these. The R3 zoning means there is little speculative value in hoping to redevelop, as its already built to maximum density as a two flat. Sure you could bribe the alderman (sorry, make a legal campaign contribution), but such contribution would have to be priced in to the purchase.
Well, it IS on a jumbo lot.
The Google satellite view shows a really old-looking roof on this place, and the tacky home-made “For Sale” sign is visible in the street view.
I see window A/C units and no fence.
John asked: “For properties without photos, is it possible to just use a screenshot of google street view and aerials? Just a thought…at least there would be one exterior photo even if have to link for others…”
John- several people have suggested this but Google Maps also has copyright protection. I’m looking into the options.
Apparently still on the market for $599K
http://www.fizber.com/illinois-buy-single-family-home-8929585.html