Monday, April 27, 2009

Another House "Deal of the Week"

by Bill McBride on 4/27/2009 12:19:00 PM

Zach Fox at the North County Times brings us another house "Deal of the Week": Come to Murrieta, 70 percent off!

Murrieta is in south Riverside County, just north of Temecula. This is part of the notorious Inland Empire.

Here is the price history for the featured 1,442-square-foot home:

July 1997: $60,000

August 2006: $330,545

January 2009: $96,000

Zach writes:

When we started Deal of the Week in February, we focused on outliers that posted huge declines. No more. This isn't an outlier; this is pretty much the neighborhood average. Homes similar to this 1,442-square-foot, single-family house have been selling left and right in the $100,000 to $120,000 range in this area of Murrieta. Dipping into five figures isn't uncommon.
I'm always amazed by the peak prices - usually in 2005 and 2006. What is the payment on a $96K home? Probably just over $500 per month PITI with 10% down. (principal, interest, taxes and insurance).