What's the story on this house? 2265 Boston

**Detwa** · August-19-09, 03:58 PM

http://www.realtor.com/realestateand...026_1111739294

Is this a good area? I can't believe its on 50k!

**Russix** · August-19-09, 04:31 PM

There is double the number of foreclosed listings then realtor listings nationally which means its triple or quadruple here. The house next door or across the street is probably selling for under $10,000. A house on my street which was selling for $130,000 in 2006 sold for $5,000 2 months ago.

Lorax · August-19-09, 04:36 PM

Originally Posted by Detwa

http://www.realtor.com/realestateand...026_1111739294

Is this a good area? I can't believe its on 50k!

Here's the reasons why it's OVERPRICED at 50k:

1. It's in Detroit
2. Taxes are most likely disproportionate to the house's value
3. There is no school system
4. There is no police protection
5. Boston-Edison association, which does an admirable job at trying to keep the neighborhood alive, recommends residents pay for the private security detail that monitors the neighborhood.
6. The economy. This house would be twice this price in a better economy.
7. The appraised value is most likely out of whack with it actual value.

Being bank owned, this house will most likely sell around 30k.

I had been looking for a home in this area for several years, and each time I found one I wanted to make an offer on, all of a sudden there were multiple offers.

This is a tactic used by banks, or in some cases owners who want to create a bidding war by pricing the houses so low.

It's really a scam, since it's improbable that each and every house I was prepared to place an offer on all of a sudden had three or four additional offers backed up.

Then, strangely, when I would walk away, they would be back on the market, and stay there for months or years to come.

I told my agent that I would not bid on a house, period. So, apparently there is only scamming going on here, ginning up a real cash buyer against mythical ghost buyers.

So I bought in Southfield.

**Fury13** · August-19-09, 04:40 PM

Originally Posted by Detwa

http://www.realtor.com/realestateand...026_1111739294

Is this a good area? I can't believe its on 50k!

That's on Boston near 14th. Not a great area. It's in the western portion of Boston-Edison, which is on the "other side" of the Lodge. Higher crime over there than east of the Lodge, I believe. Although the neighborhood appears relatively pleasant during the day, you would not be safe walking around the area after dark. You might not even be safe sitting on your own front porch [[I know someone who used to live in that area and was robbed late at night while sitting outside his home).

**Detwa** · August-19-09, 04:47 PM

Wow, well that's why I asked. Just looking at the photo I am amazed because it looks beautiful and definitely looks like it would be worth far more than $50k.

Arghh, I got scammed on those suddenly appearing multiple offers! They got me like that a couple of times, now I know in the future if suddenly competition arrives, I'll just back out. There's not much worth competing for in this market so you can pretty much believe its just a sales tactic.

Lorax · August-19-09, 04:57 PM

Originally Posted by Detwa

Wow, well that's why I asked. Just looking at the photo I am amazed because it looks beautiful and definitely looks like it would be worth far more than $50k.

Arghh, I got scammed on those suddenly appearing multiple offers! They got me like that a couple of times, now I know in the future if suddenly competition arrives, I'll just back out. There's not much worth competing for in this market so you can pretty much believe its just a sales tactic.

In all fairness, I only know personally, for what it's worth, of one couple who were able to make a lowball offer on a foreclosure in Boston Edison and actually get it without competition. The reason being, they figured out, is that the real-estate division of the bank that had the foreclosure, was actually selling it in-house. Most banks hire foreclosure specialist real estate firms who just about 100% engage in the bidding game, so immediately look at the listing agent and see if they are independents, or part of a larger bank-holding company.

In any even, always lowball, and walk away if they don't accept the offer. If they counter, and there is no other competition, consider it.

crawford · August-19-09, 04:58 PM

It's a beautiful house, and an even more beautiful neighborhood, but I wouldn't live there for free.

Safety and peace of mind are the most basic requirements of human shelter. This location has neither.

**mwilbert** · August-19-09, 05:24 PM

There are currently very nice houses in the University District in that price range, and I consider that neighborhood relatively safe. Here are some that are somewhat similar in style to the one you were looking at on Boston.

You might look at this one:

http://www.trulia.com/property/10839...troit-MI-48221

It is a nice house, but certainly needs some amount of work.

Or

http://www.trulia.com/property/10776...troit-MI-48221

which was on my paper route when I was a kid.

I walked by the next one last week:

http://www.trulia.com/property/10841...troit-MI-48221

That is a really nice house from the outside, but I don't know how the inside is. There were no obvious serious issues from the outside.

No doubt you could use any of a number of tools to find more. There are also a number of foreclosures available if you wanted to look at those.

**davewindsor** · August-19-09, 08:02 PM

Go for it. Have a price in mind and raise it not a penny higher. They all look like great deals and are at a fraction of their historical cost. When the real estate market turns around, you'll make a killing. Don't listen to the naysayers. I bet you it will be sold within a week if you don't start putting some offers down and you'll be out of luck on them.

**Fury13** · August-19-09, 08:58 PM

Originally Posted by davewindsor

Go for it. Have a price in mind and raise it not a penny higher. They all look like great deals and are at a fraction of their historical cost. When the real estate market turns around, you'll make a killing. Don't listen to the naysayers. I bet you it will be sold within a week if you don't start putting some offers down and you'll be out of luck on them.

Dave, that area is simply not safe, and it's not going to get measurably more safe in five years.

Lorax · August-19-09, 09:09 PM

Originally Posted by Fury13

Dave, that area is simply not safe, and it's not going to get measurably more safe in five years.

Try ten or twenty years.

Until the Detroit police respond like they do in Grosse Pointe, then no home in Boston-Edison will be worth more than 100k in the best of times.

**davewindsor** · August-19-09, 09:31 PM

Originally Posted by Fury13

Dave, that area is simply not safe, and it's not going to get measurably more safe in five years.

If you don't feel safe in that area, get a CCW permit. If you're gone, have an alarm set up with monitoring or get a guard dog. If you're talking about B-E, I suspect it has a good neighbourhood watch program since I didn't see any boarded up, broken windows or even bars on the windows the last time I walked through it, unlike the houses I saw on the other side of Woodward, but don't let that side of Woodward deter you. Just pay attention to the condition of the houses on the block you want and that should be indicator of the area.

crawford · August-19-09, 10:04 PM

Dave in Windsor, don't you think that if carrying concealed deadly weaponry is a necessary requirement for owning a piece of real estate, most people might consider other options?

**davewindsor** · August-19-09, 10:16 PM

Originally Posted by crawford

Dave in Windsor, don't you think that if carrying concealed deadly weaponry is a necessary requirement for owning a piece of real estate, most people might consider other options?

No, it's not a necessary requirement; it's if you feel unsafe. I've walked through those neighbourhoods on both sides of Woodward and never had anything happen to me. I never felt unsafe. You make it sound worse than it actually is. Quit acting like a wimp and grow a pair. Take a stroll down some of these streets. Why sweat like a dog for tiny living quarters in the burbs when you can get huge, beautiful and luxurious homes like these for peanuts.

**mwilbert** · August-19-09, 10:24 PM

Until the Detroit police respond like they do in Grosse Pointe, then no home in Boston-Edison will be worth more than 100k in the best of times.

This is a very questionable statement--police response simply isn't the sole basis for property value. I don't know how to assess "worth" in this context, but in the recent best of times, lots of them certainly COST much more than 100K, and certainly some still do. Boston-Edison isn't all alike either--the house in question here is on the wrong side of the Lodge from the best parts of B-E, and one of the big problems with B-E is that even though many of the houses are beautiful, the neighborhood is encircled by much less desirable areas. In my opinion, living on the fringes of B-E requires a proper understanding of what one is getting into. Of course, a proper understanding is advisable wherever you are looking at living.

**stasu1213** · August-19-09, 10:27 PM

Maybe it is haunted

Lorax · August-19-09, 10:29 PM

Just recently the fantastic Italian Renaissance home on the corner of Woodward and Arden Park Blvd. was for sale at 127,000.00. 7800 sq. ft. or thereabouts and a half acre of land. I believe it sold, since it's no longer on the MLS. But this was only a few weeks ago.

Seems to knock a hole in your argument.

Prices are so low it isn't even funny. Some homes in the area are for sale over 200k, which is dreaming at this point. Ain't gonna happen.

**mwilbert** · August-19-09, 10:38 PM

[

Seems to knock a hole in your argument.

Assuming you were addressing my comment, I don't really see why. A single sale doesn't prove much of anything, and you didn't mention the sales price and of course these aren't the "best of times" either, closer to the worst. If anything, I'd say it was a point in my favor.

**davewindsor** · August-19-09, 10:40 PM

Originally Posted by Lorax

Just recently the fantastic Italian Renaissance home on the corner of Woodward and Arden Park Blvd. was for sale at 127,000.00. 7800 sq. ft. or thereabouts and a half acre of land. I believe it sold, since it's no longer on the MLS. But this was only a few weeks ago.

Seems to knock a hole in your argument.

Prices are so low it isn't even funny. Some homes in the area are for sale over 200k, which is dreaming at this point. Ain't gonna happen.

Yes, but they're selling fast because they're such a bargain and the buyers know that because they see others listing for so much more. If you went to that buyer who paid $127K, you think he'd sell it to you for $127K? Nope, He knows it's worth more and you're not gonna get it for anywhere near what he paid for it..

Granted, he might not get more if he relists it now on the open market. But. real estate markets have cycles and he's thinking in the long term and that guy will win big in the future. Now is the time to buy and hold.

Lorax · August-19-09, 10:47 PM

I was- not trying to be confrontational here, but I have spent an inordinate amount of time looking in the area, as I really love the housing stock there and was run round the pole on several of these houses, what with the agents creating bidding wars and such.

The house I mentioned no doubt being one of the larger, better situated homes, I'm sure sold for less than the asking price, though I can't confirm this. The listing price alone was ridiculous, even if the interior was trashed, which it was not.

My point, is anyone really interested in a home in this area needs to be aware of the pitfalls of living in Detroit. I am away nearly half the year, and planned to use it only in the better weather months, and ended up buying in Southfield.

I really wanted an old mansion, but love mid-century modern as well, and that won out this time.

I couldn't leave such a house empty for months on end without fear of it being broken into constantly. Even with swat team security, it's not enough.

Lorax · August-19-09, 10:54 PM

Originally Posted by davewindsor

Yes, but they're selling fast because they're such a bargain and the buyers know that because they see others listing for so much more. If you went to that buyer who paid $127K, you think he'd sell it to you for $127K? Nope, He knows it's worth more and you're not gonna get it for anywhere near what he paid for it..

Granted, he might not get more if he relists it now on the open market. But. real estate markets have cycles and he's thinking in the long term and that guy will win big in the future. Now is the time to buy and hold.

I agree entirely. I would have bought it instantly if it weren't that I spend only 4-5 months a year in Michigan. I can't justify leaving it empty, even with great security for such a length of time. I bought a much smaller MCM house in Southfield with a half acre of land with big trees, and paid even less.

If someone with alot to drop on property really analyzed the area, and gated off the streets with 24 hour security, it might stand a chance of making it. I know there is an adversion in Detroit to sealing off streets, but most cities would have done this to their better architecture at this point in history to contain the area, when it's surrounded by blighted sections of the city.

I've always felt this should be done to Palmer Woods, Palmer Park, University District, Indian Village, Rosedale Park, etc.

crawford · August-19-09, 11:01 PM

Why would anyone assume that Arden Park sold for full asking?

I don't care if it's 100,000 square feet and sitting on 100 acres of land; the fact is that it's in a below-average Detroit neighborhood, yet with an asking price 10 times the city median asking price.

Arden Park has some nice homes, but it's a pretty nasty neighborhood. Boston Edison is like Zurich in terms of relative safety.

Lorax · August-19-09, 11:17 PM

Originally Posted by crawford

Why would anyone assume that Arden Park sold for full asking?

I don't care if it's 100,000 square feet and sitting on 100 acres of land; the fact is that it's in a below-average Detroit neighborhood, yet with an asking price 10 times the city median asking price.

Arden Park has some nice homes, but it's a pretty nasty neighborhood. Boston Edison is like Zurich in terms of relative safety.

They are right across the street from one another, how much different can it be?

They have always been part of the same neighborhood.

crawford · August-19-09, 11:43 PM

Arden Park looks a heck of a lot rougher, and has a much worse rep.

For one, Arden Park is half gone. Boston Edison is mostly intact.

And Arden Park has had crime problems since the 1950's, when it was abandoned by whites. Boston Edison has always been racially mixed and somewhat economically grounded.

**masterblaster** · August-20-09, 01:03 AM

Can someone who lives in the Boston-Edison neighborhood please confirm the claim that the neighborhood east of the Lodge Freeway, is safer than the neighborhood west of the Lodge Freeway. I am having a hard time believing that, because the WHOLE NEIGHBORHOOD IS SURROUNDED BY SHADY AREAS.

Fury13, don't you live in the Gross Pointes! Crawford, aren't you in NYC! How do you know how unsafe the area is? Because of one anecdotal incident? I don't have statistical proof, but my uninformed opinion is that you are exaggerating how bad it is! It's not like its Highland Park!

Also, Lorax, the taxes on the house at 2265 Boston are listed slightly over 1,500 dollars, so they are not that high compared to many others.
http://www.realestateone.com/vp/List...&cd_MLS=111243