Douglass Street Doubleshot Auction
Two troubled houses on Douglass Street in Carroll Gardens are hitting the auction block on Monday. Number 78, which was a House of the Day in June of last year, has a minimum bid of $945,000 and Number 47 starts at $700,000. Who’s in?
Two troubled houses on Douglass Street in Carroll Gardens are hitting the auction block on Monday. Number 78, which was a House of the Day in June of last year, has a minimum bid of $945,000 and Number 47 starts at $700,000. Who’s in?
any follow up? anyone go to the auction? heard what results were?
Did anyone hear if these properties were aunctioned off? I have my doubts given the short notice of the sale.
Also, is the auction for 100% of the property? It’s unclear, but the deed of transfer to the LLC now in bankruptcy seesm to indicate that it is a 50% undivided interest (whatever that means).
Sorry to be late to the party, but does anyone know if these auctions satisfy or extinguish the recorded mortgages? I see that both properties each have a $415,000 mortgage recorded. I am going to try to take a look at these places this weekend, but it makes a big difference in terms of calculating the fair value if the properties are taken subject to encumbrances.
Let’s put it this way, BHO, I agree with your “bingo” statement. _If_ there is a big scary depression, or even a double-dip, then yes, housing prices will drop. I already agreed to that point (as, I’m sure, does any sane person who tries to take you on). So no need for you to launch into overly long point-by-point rebuttals when your whole argument basically boils down to one key point: double-dip/depression.
Of course I’d rather you not keep recycling the same debate on every thread having anything remotely to do with house prices, but if you’re gonna do it, just keep the debate to the main point: double-dip. The rest is just (admittedly related) noise.
There’s plenty to rebut about your arguments, but since that’s pointless I’ll just suggest you go back to your econ 101 notes (if you ever took the class…). Your poor understanding of economics notwithstanding, you are correct that if we double dip, house prices will fall, so why don’t you just debate about the likelihood of a double dip in the future (or is that too much to ask??)…
“Prices are in the ballbark of correct, and poised to appreciate over a 5+ yr holding period.”
Please tell me you’re joking, ‘rude. Assets like housing depreciate in depressions (10% of GDP contraction temporarily patched up by deficit spending) whether deflationary or hyperinflationary.
“we’re talking about real assets of a limited quantity. There are only so many townhouses/brownstones in desirable neighborhoods.”
Ahhh, but is the supply of credit unlimited? Is it not falling through credit contraction? Are 75% or more of transactions not 80% or more LTV (value being a falling target)? Look, all neighborhoods are desireable at some point. Demand makes them so through gentrification. Bed Stuy now, Park Slope previously. If there was really a run on this finite housing stock, Bed Stuy would be rapidly gentrifying and booming but it isn’t. That trend is reversing.
“I’m sure you know what happens when demand is high”
I’m sure you know what happens to 80% or more of the price when appraisals come in low.
“Yes, to some extent higher rates will deter the marginal buyer”
Not what I said. I said higher rates will drive down prices. Buyer interest will remain because their monthly payment will stay more or less constant. It’s a seller’s problem because they don’t get the price they paid.
“NYC is growing, Brooklyn is in a secular uptrend, and you simply can’t create more Cobble Hill brownstones from whole cloth.”
Population can grow all it wants but you cannot creat jobs out of cloth neither. No job, no 80% LTV mortgage.
“Your average rent comparisons based on national data or outdated Brooklyn comps (from when Brooklyn — and NYC, really — was a very different place) are meaningless.”
Outdated? You are absolutely wrong. History repeats. Means revert. Historic fundamentals are absolutely meaningful. Why do you think lending standards are so tight and lower appraisals causing contracts to fall through?
“Of course prices _can_ fall further from this point, but that would require another severe downturn in NYC, something that reverses the secular trend”
Bingo! “another severe downturn” = “double dip”. The seculur trend is not in jobs and income.
***Bid half off peak comps***
I dont think either is a foreclosure and I bet they both go for north of a million, even the dump
But but but…..there cannot be foreclosures in paradise? These people can sell these precious detail laden gems for limitless millions because there is always more demand for brownstones now that Brooklyn is hip an all
auction guidelines:
d) The successful bidder(s) shall (i) within one business day after such approval be required to make an additional deposit as is necessary to increase the total deposit to ten (10%) percent of the approved bid, and (ii) enter into a contract of sale, without contingencies except as to delivery of title, upon terms acceptable to the Debtor, including, but not limited to, the approved purchase price, the name of the successful purchaser and the form of payment of the purchase price. Closing shall take place not later than ten (10) days from the date that an Order approving the sale to the successful bidder becomes a final, non-appealable order.
not sure what that means but maybe you need to be able to close very quickly? if this means they need cash buyers, that cuts down their pool of buyers by a lot (and could get you a good deal)