The final chapter of the Carnes' has arrived... for this bubble, that is. They started their real estate adventure by "purchasing" a million dollar abode (5903 Mountain Hawk ) under the guidance of super realtor, Chris Nunez. When the benefits of interest only payments disappeared, they managed to sell at a small loss and "purchase" another house (1086 Elsbree Ln ). This, however, was a price too far, and a little over a year later they were forced to sell using a short sale. But here is an alternative thought: they purchased this house for its peak sales price and then months later put it back on the market. Hmmmmm...
09/21/2007: $640,000 - peak sales price
Feb 2008 - back on market - why so soon??
Zillow: 1086 Elsbree Ln Windsor CA 95492
Price Paid: $640,000
Days on Zillow: 292
Recently Sold: $525,000
On the sale price of $525K, the buyers are foolish. Unless they have money burn (which is what they're doing), they'll watch the value of this house fall to under $400K. My guess is that they sold a few years back and have been renting, waiting for that "bottom", but most people still don't grasp the magnitude of the economic problems this country is facing.
This story is probably repeated hundreds of thousands of times all over the country. What made the Carnes' story unique is that they openly discussed their insane spending spree on PBS--NOW Part 1, Part 2.
3552 Kendell Hill Dr
494 Quince St Windsor CA