The north of Montana Avenue real estate market has seen its share of flips this year with one Buyer in particular buying four fixer-uppers, fixing them quickly and bringing them (two so far) back on the market. For a person to make a profit flipping homes this way, one must have some experience, a team of home designers, contractors, a large amount of working capital and nerves of steel.
There is an economy of scale that comes with flipping more than one property at a time. But, if that’s not possible, the next best thing is to have a crew readily available to move to the next property under contract that is closing escrow soon. This is where being well capitalized comes in. It takes a lot of money to buy and remodel a 90402 home.
To complete one project and lose your team because they had to take jobs elsewhere is costly. Re-mobilizing the team after more than a week or two becomes a huge headache. As does opening a wall and finding more damage than you budgeted for. This is where nerves of steel are important. The City Building and Safety Inspectors are famous for showing up and telling you to redo something or that what you’re doing must stop because your permit was only approved for (fill in the blank).
But if you like the idea of paying $1.9 million for a fixer on 14th near Marguerita Avenue, fixing it up and selling it 9 months later for $3,000,000, please call me!
New Listings this Week
549 9th St. – 5bd + 3.5ba. $3,799,000. This house was listed and sold earlier this year for $3,125,000 to a Buyer that has been flipping houses North of Montana at a torrid pace. She did a great job on this one. New flooring, new bathrooms and kitchen. 3 bedrooms up and 2 bedrooms down. Last sold in May 2013 for $3,125,000.
455 21st Pl. – 4bd + 3ba. $2,395,000. Major fixer. Here is your chance to flip a house! Apx. 1,800+ sq ft of interior space on a 7,628 sq ft lot. Condition is so bad it probably needs a cash offer as banks may not lend on it.
New Sales this Week
310 Marguerita Ave. – 5bd + 7.75ba. $8,700,000. House is over 6,500 sq ft on a 22,300+ sq ft lot. Features new three zone HVAC, copper plumbing, newer roof and pool equipment. Large living and formal dining rooms, den, kitchen w/island. Sought after location on Marguerita Ave. west of 4th St and close to Ocean Avenue. Last sold in April 1994.
256 24th St. – 3bd + 3ba. $3,250,000. Nothing but the price has changed here since the $2,775,000 December 2012 sale. This corner lot at Georgina really needs a new house. I’m told they are having trouble with the appraisal on this.
628 11th St. – 5bd +4.5ba. $3,200,000. The original list price was $3.5M and after lowering it to $3.2M they were able to attract a Buyer. First time on the market since the home was built. 1980s style interiors.
Closed Deals this Week
328 Euclid St. – 2bd + 1ba. $2,200,000. Sold in 35 days!
Pence Hathorn Silver Active Properties:
6415 Meadows Court – 6bd + 7ba – $5,995,000
465 25th St. – 5bd + 5.5ba – $4,095,000 or $17,000/MONTH
168 S. Medio – 5bd + 3.5ba – $3,988,000
217 21st St. – 4bd + 4.5ba – $3,450,000
248 14th St. – 4bd + 4ba – $2,995,000
416 Entrada Dr. – 3bd + 1.75ba – $1,595,000
1929 Washington – 2bd + 2.5ba – $1,195,000
Search for more homes, see real time analytics and learn about the North Santa Monica / North of Montana Ave. community on our North of Montana blog. Add your comments (scroll down to the “Add Your Comment” section) and read other blogs. And please call my mobile phone (310) 924-4014 with any questions.