One Year Later, This Wrigleyville Victorian Sells for $181,900 Under the Original List: 1167 W. Eddy
We last chattered about this 2-bedroom Victorian single family home at 1167 W. Eddy in the Wrigleyville neighborhood of Lakeview in January 2011.
See our prior chatter here.
We have chattered about this house several times over the past year as it kept reducing.
In January 2011, when it was still listed for $575,000, many of you thought they were dreaming at that price.
But Bob seemed to have gotten the closest when he said it would sell for $450k or $490,000 max if they finished the basement.
It finally found a buyer at $181,900 under the August 2010 list of $674,900– or $493,500.
If you recall, the home hadn’t been on the market since 1990.
It was built in 1893 on a standard 25×125 lot.
The house had central air and a 2-car garage.
It retained some of its vintage features including hardwood floors and brass detailed pocket doors.
There were also 8 skylights and an unfinished basement with 8 foot ceilings.
While there were only 2 bedrooms, both of which were on the second floor, there was also a 14×10 office, also on the second floor.
The kitchen had all white cabinets, counter tops and appliances.
You’ll also recall what was across the street from this house:
Does this sale confirm Homedelete’s theory that there are simply too many buyers interested in living in single family homes in the Greenzone neighborhoods to ever push prices much lower than $500,000?
Jan Sachs at Coldwell Banker had the listing. You can still see the interior pictures here.
1167 W. Eddy: 2 bedrooms, 2 baths, 2 car garage, no square footage listed
- The previous sale was before 1990
- Originally listed in August 2010 for $674,900
- Reduced
- Was listed in October 2010 for $624,900
- Reduced
- Was listed in January 2011 for $575,000
- Sold in August 2011 for $493,500
- Taxes of $6494
- Central Air
- Bedroom #1: 17×13 (second floor)
- Bedroom #2: 18×16 (second floor)
- Office: 14×10 (second floor)
Big demand, diminished supply, easy affordability for the professional household.
What a horrible view. No way I could get my wife to go for something like this.
You want a view? Pony up some more dough or move to the suburbs.
There’s really very few options in the 500 to 600 range for a SFH in a great neighborhood. Everything in that range has moved fairly quickly. This one was overpriced from the get go so it rode things down
HD, would you happen to have a link to that thread we were commenting on (debating with Sabrina) this weekend? You made a comment about improvements to the site?
Icarus:
http://cribchatter.com/?p=10305#comments
most people don’t buy SFH’s for the views, unless there’s a rooftop deck or something
thanks Anon (tfo)
“most people don’t buy SFH’s for the views, unless there’s a rooftop deck or something”
Fair enough. But at the same time, most people don’t buy SFH’s across the street from parking garages. When I think SFH, I think quiet, tree lined street. At least this street has trees, I suppose…
I’m not saying I’d live here either but saying the view is a total deal killer might be a small exaggeration, I mean its a house for under 500k in wrigleyville that isn’t a total teardown so obviously that is something that someone found a comprimise on
Lot values in lake view are around 400k. Construction put in place is conservatively $175 / sq ft but much more with the finishes people demand. But let’s go with that. Average new builds are at least 4000 sq ft for a 4br with the bells and whistles. That is your new cost — $1,100,000.
Figure a 30% discount for an older but inhabitable, modestly rehabbed SFH of similar size. Basically, nothing worth buying trades for less than 700k.
I’ve seen some pretty funky set ups sell for north of 700k — converted two flats with layouts only an opening price point buyer could live with. The absolute worst I saw was a basement that you had to go outside to access it — like a farm house in gone with the wind. Laundry was down there so come February you are freezing your ass off to run basic household chores. Try that with a 2 year old in tow… These are the things that get missed by people who critique what a house should and should not sell for but don’t actually own one themselves or not in that price range. Sure you can make do with out many of these conveniences, like open and well thought out layouts, but if you have the means your preference is not to.
Then there are the things that experienced homeowners know all about but most new buyers miss entirely. Quality HVAC, siding, insulation, windows, roofing, doors, trim, built ins, ventilation, drainage systems, generators, etc. That stuff costs real money and people who care about it pay up everytime when they see true quality (not just a nice paint coat and stainless appliances).
I am sure real estate agents have said “That building [view] should be gone soon…” I.E. get rid of ‘icky’ real jobs for the ‘professionals’ to live in Green Zone.
I think Homedelete might be on to something. Many people want a SFH at the condo price range b/c they think that because they own the whole structure they can do whatever they want. Not always true….my brother and sister-in-law bought a 1 bedroom w/ sunroom vintage house (much like this one) outside of Washington DC instead of a condo b/c they could do what they want with it (no condo restrictions) and eventually add on. They drew up plans for an additional 2 small bedrooms for kids and 1 bath (about as much as you would want to do for neighborhood without over improving)but learned that they couldn’t add on b/c they are not hooked to the city water line and have a septic tank in the back that would collapse under an addition. To hook to the city line and to install the required sprinkler system (if you add much to the size of your house, you have to add sprinkers) then the addition became cost prohibitive. Now they live in a one bedroom house they can’t sell with 2 kids. The condo would have been better as they could rent it out. They have huge gardens/yard that most renters don’t want to deal with it!
“Now they live in a one bedroom house they can’t sell with 2 kids.”
A 1 bedroom house? That’s hilarious!
Well, that shows that buyers should do their due diligence before make a purchase based on an assumption that they can make major changes to a property.
SF? Are you kidding? This will be torn down. A brick 3-flat will be there in 12 months.
speaking of teardowns, anyone want to hazard a guess when that little yellow crapshack at 11xx W. Addison housing the “Yesterday” memorabilia store bites it?
“my brother and sister-in-law bought a 1 bedroom w/ sunroom vintage house (much like this one) outside of Washington DC instead of a condo b/c they could do what they want with it (no condo restrictions) and eventually add on. They drew up plans for an additional 2 small bedrooms for kids and 1 bath (about as much as you would want to do for neighborhood without over improving)but learned that they couldn’t add on b/c they are not hooked to the city water line and have a septic tank in the back that would collapse under an addition. To hook to the city line and to install the required sprinkler system (if you add much to the size of your house, you have to add sprinkers) then the addition became cost prohibitive. Now they live in a one bedroom house they can’t sell with 2 kids.”
Incredible. Didn’t they go visit the city building dept., have a discussion with a city planner, hire a local architect or builder to review this before they closed? It’s called due diligence.
“Didn’t they go visit the city building dept., have a discussion with a city planner, hire a local architect or builder to review this before they closed?”
Don’t you understand how real property works? If there are no condo restrictions, you can do anything you want with it. My rooftop shooting range is coming along great, although it’s unclear where we are going to move the tigers’ cage.
This is it folks. $500k is the entry level price point for a SFH in the green zone, and it’s north of $300,000 and usually north of $400 for a SFH outside of the green zone and west of the river. Which is sort of weird because there are so many houses priced far, far higher than this that just sit. The crapshacks in the $100’s and $200’s get snapped up almost immediately; of the houses I’ve followed I’m continuosly surprised at the prices people will pay. Yes, most of the homes that sell for higher than I anticipated are less than 20%, usually 10% or 5% sold, but since that market will not dry up and the FHA will not go away, this is the bottom. Even the homes I’ve looked at that need work – all over 60618, 60641 and 60646, they’re listed in the $300’s, put $100k into them, and you have a $400k home that would sell immediately.
The problem I see in the future is the inventory of $500k plus homes that haven’t sold – and there are anecdotally a lot. Russ says this price point is sort of hard because of teh down payment requirement. But I don’t think there are enough of them to affect the $500k or $400 entry level price point. Unless you’re lucky enough to be a winning bidder on a short sale or foreclosure priced less than market, you’re SOL. And with this I wish you all good luck and a good night.
http://www.redfin.com/IL/Chicago/5015-W-Balmoral-Ave-60630/home/13499327
Listed for $335,000
Probably sells for $300,000
Put $125,000 and it’s a $450,000 house.
I’m just waiting for it to sell.
Under contract, listed at $400,000 as a short sale
http://www.redfin.com/IL/Chicago/3643-N-Harding-Ave-60618/home/13456436
http://www.redfin.com/IL/Chicago/3747-N-Lowell-Ave-60641/home/13458486
even this crapshack is under K, listed at $375,000. The most comparable property at $253,000 is a block over on kildare, same sized lot, same old crapshack victorian house, built within a year of each other – yet this is listed at more than $100k than the other house and it’s under contract in just a few weeks time. At least the house had a basement, this home has a cellar!
Like I said, the homes I think “wow, that’s over priced, that won’t sell anywhere near that price, ends up going under contract this summer, the BOTTOM IS END FOLKS.”
YOu can buy these crapshacks in the $300’s, put $100k into them and they’re easily $400k plus homes… and somebody with $40k down paymetn will come along and buy it in record time.
if you buy them in the 300s and put 100k into them . you have 400k plus in them. no offense hd but did you get this plan from doctor lambo?
Yes and then they are $400k+ homes that sell in an instant because they are ‘new’ and ‘turnkey’. $300k for a crapshack, $400k for a turnkey, this is ENTRY LEVEL for the north and northwest sides because teh NW is really just the northside with less walkability and better elementary schools. the metra ride from forest glen is shorter than the brown line ride from north center.
It’s not the bottom, HD. It’s simply the inventory. The crapshacks sit there and don’t sell because they are not “new.” Fix it up, throw in some stainless steel appliances and they sell.
The sales figures tell us that the market is nowhere near normal. But there are, of course, those that wish to buy. Because inventory is so low they are choosing from a very small population of homes. So if you really want to be in Old Irving Park under $500k- how many homes do you have to choose from? 1 or 2 or so?
That’s why they sell for the still elevated prices (also low interest rates and still fairly accomodative down payment requirements add to the mix.)
Prices are coming down more in the suburbs because there is simply more supply of the $350k house in, say, Highland Park. And yes, there are buyers there too- but not enough to sell all of the crapshacks. So the prices go lower still.
I wonder what this stock market sell off will do to the upper bracket housing market? It was starting to recover a bit. But this may have been enough to put some jitters into a few buyers.
Sabrina did you notice what 10 yr bonds have done the last few days and the huge spike today? That is very bullish for even LOWER mortgage rates… in fact the fed flat out said today that they won’t raise interest rates until 2013! Do you have any clue what kind of juice that will add to the stock market!
this “could” lead to another housing or stock market bubble as they are keeping rates way too low way too long again and with housing, supplies will dwindle over the next two years because nobody is building or buying old crapshacks. down the line it will be a good time to own a nice home in a nice area with good schools. IMO of course.
The only thing I see as a hindrance to the economy in the near future is taxes, they will need to be raised because politicians are idiots and can’t seem to cut entitlements or wars to more reasonable levels.
At this point, low rates are actually hurting the housing market.
Why would a bank want to take a risk on anything but the safest mortgages when they can instead make risk-free easy profits by borrowing from the fed for damn near nothing and loaning that money to the government in the form of treasury bill purchases? Its an easy risk-free 5% spread. Better than loaning money to someone to buy a house with marginal credit at 8% APR and hoping they don’t default.
because its MUCH higher than 8% APR? have you seen an amoritization schedule before? do you know how much lenders collect in fees?
So maybe the real moral of the story is that even in a bad year the Cubs have enough “drawing power” to influence people to buy even “questionable” housing just to brag that they live in Wrigleyville.
What would an equivalent property look like/price out in the nabes surrounding the Cell?
P.S. In case you’re interested – The Ron Santo statue at Sheffield/Addison will be unveiled apx. 5:30 pm today.