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October 26, 2007
Whats with this 199k ft greene auction?
There are fliers for it everywhere. "call for details". Inspection saturday auction sunday.
I expect there is some problem with this "2br co-op" on "lovely park block" that someone needs to offload it so quickly and in such a manner.
What is the scoop here? do I have to call and go along to confirm there is no such thing as a good deal (yet) in real estate?
Comments
I also saw a newspaper advertisement; again, 2br, park block. The ad closed with something like, "Will absolutely be sold to high bidder on Sunday night." I took that to be the operational phrase, that 199K was meant only to get you there and then get you into a bidding war. That's how I read it, although there may be another explanation.
I would love to find a 199K, two bedroom apartment. But I won't be there because my bottom line thought followed the adage, "If it seems too good to be true...." Maybe I'll miss out on an incredible opportunity.
Posted by: guest at October 26, 2007 12:30 PM
This was on craigslist too, right? I had to confirm with a legal friend it was even legal... I'd never heard of a round-robin auction before (I'm a RE newbie, admittedly).
Posted by: guest at October 26, 2007 1:27 PM
I assume calling the number would get you more answers then asking random people here.
Posted by: guest at October 26, 2007 1:35 PM
Hi All,
I'm the owner of the 2BDRM up for auction this weekend. I've included the details below and hopefully it answers most of your questions. Please feel free to contact me via e-mail (comedyshow@gmail.com) or by phone and I'd be happy to answer any other questions you might have.
THE LOCATION
60 South Oxford
Apt. 2A
Brooklyn, NY 11217
10 - 5 SAT, OCT 27th
10 - 5 SUN, OCT 28th
THE APT
The apartment is 550 sq. ft. with two bedrooms (11 x 17)
and (9 x 13). The unit is located on the front end of the building on
the second floor facing South Oxford.
Board requires 10% down. Maintenance is approx. $490/month. Boiler
replaced in 2006; roof in 2002. Laundry facilities will be installed
at the end of the year and free storage space is available in the
basement.
THE AUCTION
During the open houses on Saturday and Sunday, attendees will receive
an info packet that includes information about the coop, a recent
inspection report and a explanation of a "round-robin auction"
process.
There will be a sheet posted where interested buyers can submit a
non-binding bid that reflects the price they are willing to pay (i.e.
$199,500). On
Sunday night, I will take the bidding sheet and call each bidder
starting from the highest and working my way down. I will relay the
current high bid (i.e. $199,500) and ask each bidder whether they
would like to advance the bidding or step out of the auction.
At the end of the evening, there will be one high bidder left and they
will proceed to the contract/settlement phase for the unit.
WHY ARE YOU SELLING?
I lived in this apartment for two years and then relocated to Los Angeles in 2005. I rented out the apartment for two years at $1800/month. However, the Coop has a policy that restricts sublets to no more than two years. Sadly, I'm a permanent LA resident now, so I have to divest myself of the property.
Rest assured, there will be plenty of information available to make
this process as easy and clear as possible. In the interim,
don't hesitate to contact me via e-mail or phone if you have any
follow-up questions.
Thanks again,
Matt O'Brien
718-926-2631
Posted by: guest at October 26, 2007 1:54 PM
12:30, again. I appreciate Matt's additional information. Sounds like my guess "that 199K was meant only to get you there and then get you into a bidding war" was on the money. Speaking of money, this may indeed be a two-bedroom, but I doubt very much it will sell for $199K. I'd be curious to know what the upset price is, as well as how much back-and-forth was involved to nail down a purchaser.
Posted by: guest at October 26, 2007 2:14 PM
A 550 sq. ft. 2 bedroom? It sounds tiny...the whole sales pitch by Matt makes me think he doesn't really have any idea of the current market conditions. It's no longer a seller's market.
Posted by: guest at October 26, 2007 2:20 PM
550 sq. ft is a studio, sorry.
Posted by: guest at October 26, 2007 2:26 PM
550sq sounds low because brokers are always jacking up the square footage in their sales pitch! Honest Matt is apparently not factoring in common share space sf allocated to the unit etc and not exaggerating the actual sq ft. I've seen studios which measure 20x15 listed at 550sf - hello! Although I have a couple of mathematics degrees, I certainly did not need them to figure the math on that sf was fuzzy!
Good luck Matt. I wonder if you got your idea for this auction on one of those Home & Garden tv shows - I saw an episode the other night where a couple tried this method - hope it turns out better for you!
Posted by: guest at October 26, 2007 2:43 PM
Maybe he's just totaly ignorant about apartment size...I agree, 550sf is a studio size and I bet if you add up the square footage of those two rooms he gave dimensions for, it's probably more than 550.
Posted by: guest at October 26, 2007 4:25 PM
if it is the front half of a floor-thru it is probably 550 or so. Two bedrooms and a combined living/kitchen area.
A risky play, if he isn't asking for certified bank checks for (say) $10k immediately from the winning bidder, then it could get messy. If the top few over-bid thinking they can figure out if they really want it later on, then the first legit buyer might walk away shaking their head with annoyance at the yes/no/maybe/are you still interested process.
Posted by: guest at October 26, 2007 4:53 PM
Hey Matt,
Don't make the same mistake this couple did. Do take the highest bid seriously as it is the market talking to you.
http://www.youtube.com/watch?v=UG3J9XtfZT0&eurl=http://nychousingbubble.blogspot.com/
Posted by: guest at October 26, 2007 9:03 PM
That's the same couple that I saw on one of the home channels....Matt, please learn from their lesson!
Posted by: guest at October 27, 2007 10:35 AM
"That's the same couple that I saw on one of the home channels....Matt, please learn from their lesson!"
learn what lesson? the couple found out the current value of their place and decided they couldn't sell at that price. What lesson is there in that? So this guy should get a broker who will have it on his books for 3 months and then take 5%?
nothing wrong with auctions if they are advertised well enough.
Posted by: guest at October 27, 2007 10:55 AM
"Neighborhood: Brooklyn
Date: Sunday, August 26, 2007
Hours: 12:00-1:00
Type: Coop Sale
Bedrooms:1 Bedroom
TotSqFt: 535
Baths: 1.00
Price: $395,000
Mon Maint: $425.00"
according to google you tried to sell it in august, and listed it as a one bedroom, but for an extremely optimistic (given building comparables) 395k?
Is that right?
so what is the reserve for this auction?
Posted by: guest at October 27, 2007 11:05 AM
well I saw it. it probably is 500 sq ft. Feels like a big studio converted to a 2br. Needs updating, as they say in the trade but its an honest apartment.
Bidding on the butchers paper in big marker had reached $275k, how exciting. I would be interested to know how much it goes for. Comps in the building are easily seen in property shark.
Posted by: guest at October 27, 2007 4:59 PM
How do you know the numbers he's telling you on the phone (at the end of all this) are real? I don't get it.
Posted by: guest at October 28, 2007 11:45 AM
I just saw the place and it appears to be a straight forward good deal from an honest guy (he was very genuine and transparent). If you are at all interested you should check it out - I think the whole concept is interesting - has anyone else out there done this? Can't wait to see how it turns out (fyi when I was there 3ish it was up to $279 - amy
Posted by: guest at October 28, 2007 3:58 PM
The location for this place is IDEAL.
Posted by: guest at October 29, 2007 12:35 PM
Anyone know how this ended??
Posted by: guest at October 29, 2007 10:00 PM
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