Author Topic: 68 Irvine townhomes priced as low as $425,000  (Read 3418 times)

0 Members and 1 Guest are viewing this topic.

Online CalBears96

  • Yearning for 949 / 714
  • **
  • Thanks
  • -Given: 10
  • -Received: 32
  • Posts: 427
Re: 68 Irvine townhomes priced as low as $425,000
« Reply #15 on: October 22, 2021, 10:52:50 PM »
Can anyone shed light on how difficult these are to eventually exit out of?

A close friend of mine got accepted into this and asked me to help underwrite it...

There are limitations. From the article:

For example, owners cannot rent out their property but can sell when they choose — with a few catches.

The maximum sales price can go up only at a rate equal to yearly growth in local incomes. Plus, the future buyers must meet the same income limits, after annual adjustments for inflation.


So, you won't see a lot of gain, and the pool of buyers is limited.

Offline aquabliss

  • Certified Irvine Addict
  • ****
  • Thanks
  • -Given: 219
  • -Received: 821
  • Posts: 4207
Re: 68 Irvine townhomes priced as low as $425,000
« Reply #16 on: October 23, 2021, 12:25:56 AM »
Tell your friend not to buy this, terrible investment.  My co-worker had one and while we were all gaining crazy equity each year, his value went up only a small amount.  When he wanted to get out later it was difficult to find a buyer and they had to be pre screened for eligibility.

Online CalBears96

  • Yearning for 949 / 714
  • **
  • Thanks
  • -Given: 10
  • -Received: 32
  • Posts: 427
Re: 68 Irvine townhomes priced as low as $425,000
« Reply #17 on: October 23, 2021, 12:59:47 AM »
Tell your friend not to buy this, terrible investment.  My co-worker had one and while we were all gaining crazy equity each year, his value went up only a small amount.  When he wanted to get out later it was difficult to find a buyer and they had to be pre screened for eligibility.

While it's true that it's not a good investment, it would be a good buy if one plans to live there for a long time. And really, these homes are for the ones who can't afford to buy a normal home, which would cost twice as much, considering the income has to be 20% of the norm income of Irvine.

Offline aquabliss

  • Certified Irvine Addict
  • ****
  • Thanks
  • -Given: 219
  • -Received: 821
  • Posts: 4207
Re: 68 Irvine townhomes priced as low as $425,000
« Reply #18 on: October 23, 2021, 08:03:34 AM »
Owning this place will cause you angst and animosity for your neighbors outside of the community.  Imagine buying this for $450k then in 20 years, surrounding townhomes same size as yours are selling for $1.5M and you can only sell for $650k.  I guess you knew that going in, but still very frustrating.

Offline fatduck

  • Yearning for 949 / 714
  • **
  • Thanks
  • -Given: 0
  • -Received: 23
  • Posts: 227
Re: 68 Irvine townhomes priced as low as $425,000
« Reply #19 on: October 23, 2021, 11:59:24 AM »
Owning this place will cause you angst and animosity for your neighbors outside of the community.  Imagine buying this for $450k then in 20 years, surrounding townhomes same size as yours are selling for $1.5M and you can only sell for $650k.  I guess you knew that going in, but still very frustrating.

but this assumes your alternative option is buying a $1m townhome.  for people who qualify for one of these houses, the alternative is renting.

if you buy one of these low-cost townhomes you're paying like $3k or so a month in mortgage + HOA.  i doubt you can rent a similar townhome in PS for less than that (plus rent goes up every year). 

yea when you sell in the future your gains are capped, but at least you get some limited return on equity.

i really doubt you'd have any difficulty unloading one of these in the future given the level of interest in the initial sales of these.

Offline HMart

  • O.C. Resident
  • ***
  • Thanks
  • -Given: 229
  • -Received: 78
  • Posts: 526
Re: 68 Irvine townhomes priced as low as $425,000
« Reply #20 on: October 23, 2021, 12:54:03 PM »
Agree, this is great for people who don't have the income now or in the forseeable future to afford to buy a market rate home. Especially when you look at market rents these days.

Online CalBears96

  • Yearning for 949 / 714
  • **
  • Thanks
  • -Given: 10
  • -Received: 32
  • Posts: 427
Re: 68 Irvine townhomes priced as low as $425,000
« Reply #21 on: October 23, 2021, 06:19:14 PM »
Owning this place will cause you angst and animosity for your neighbors outside of the community.  Imagine buying this for $450k then in 20 years, surrounding townhomes same size as yours are selling for $1.5M and you can only sell for $650k.  I guess you knew that going in, but still very frustrating.

but this assumes your alternative option is buying a $1m townhome.  for people who qualify for one of these houses, the alternative is renting.

if you buy one of these low-cost townhomes you're paying like $3k or so a month in mortgage + HOA.  i doubt you can rent a similar townhome in PS for less than that (plus rent goes up every year). 

yea when you sell in the future your gains are capped, but at least you get some limited return on equity.

i really doubt you'd have any difficulty unloading one of these in the future given the level of interest in the initial sales of these.

Well, if you qualify to buy one of these homes, that means you can't afford to buy a $1M home.

 

Talk Irvine Links

[Recent Posts]
[FAQ / Rules]

Site Supporters


Recent Posts

Re: coronavirus by CalBears96
[Today at 04:05:02 PM]


Re: New Listing - Cascade @ Highlands East home in Baker Ranch (27 Swift) by USCTrojanCPA
[Today at 03:52:42 PM]


Re: coronavirus by The California Court Company
[Today at 03:27:02 PM]


Re: coronavirus by morekaos
[Today at 03:03:45 PM]


Re: coronavirus by morekaos
[Today at 02:08:50 PM]

SimplePortal 2.3.7 © 2008-2021, SimplePortal