$1M-$2M homes

[oc_35_IHB]

<p>I have really enjoyed reading the threads on this site as I think they are very informative. Most of the discusions seem to be around houses in the 600-800k range (PS, Qual Hill, Turtle Ridge) and what will happen to their prices going forward. There has been some talk that the higher priced homes are not as effected by the subprime mess with the assumption that the borrowers were more qualified. Is there any substance to this argument?</p>

<p>I guess my question is can we expect the same percentage declines in these more expensive homes that we are starting to see in the 600k-800k range? </p>

<p>My guess is we would but it would lag behind the decline in the less expensive homes.</p>

 

[graphrix_IHB]

<p>oc_35,</p>

<p>Welcome to the forums. You are correct the high end is not immune to the price declines.</p>

<p>Here is Turtle Ridge <a href="http://www.irvinehousingblog.com/tag/turtle-ridge">http://www.irvinehousingblog.com/tag/turtle-ridge</a> and there is one REO that the bank took back for $1.5mil and another one sold at the foreclosure auction for $1.4mil.</p>

<p>Read the <a href="http://forums.irvinehousingblog.com/discussion/346/1/foreclosure-and-distressed-property-topics/">forclosure thread</a> and you will see plenty of $1mil homes in trouble. </p>

<p>And everything here is a must read <a href="http://www.irvinehousingblog.com/analysis/">http://www.irvinehousingblog.com/analysis/</a> </p>

<p>Good times ahead. </p>

<p> </p>

 

[IrvineRenter_IHB]

oc_35,





Mondays post is on the Turtle Ridge property that was foreclosed on and sold at $411 / SF at a $350,000 loss. The high end will be creamed along with everything else, it will just take a bit longer.