7 figure foreclosures…$1,000,000+ bank owned homes in Palm Beach County

When the word “foreclosure” is used, the image that is conjured up is normally one of a dilapidated home on an overgrown plot of land owned by some down-on-their-luck real estate agent, that will be lucky to sell for pennies on the dollar.
But, here in Palm Beach County, even the 1%’ers fall victim to the faltering economy occasionally. But, with almost 2200 properties on our MLS with an asking price of $1m or more…there are only 4 are bank-owned, foreclosure sales,of  $1+ million:

• In Wellington, there is a 6800 sq foot home on 6.5 acres with an asking price of only $1.1M. The last time this home sold was in December of 2004, for $2.3 million. It was once listed (in 2006) for $4.9 million!
• In Palm Beach Gardens, in Old Palm, there is a 5700 sq foot home on the golf course, built in 2004, with an asking price of $1.2 million. This home sold for just over $2 million when new in 2004.
• In Jupiter,directly on the Loxahatchee river, there is a partially completed 6700 sq foot home with an asking price of $3.5 million. Back in 2009 this home was listed on the MLS for $5.9 million.
• In San Michele, off of Donald Ross Road in Palm Beach Gardens, is a 4500 sq foot home with a detached guest house, with an asking price of $1.3 million.

There are 3 other $1+ million foreclosure sales currently under contract:

• There is one in Vero Beach…a 4200+ sq foot home built in 2007 and listed for $1.2 million
• A 3700 sq foot home in Old Palm, built in 2005 and listed just over $1 million. This home was previously mortgaged for $1.6 million.
• In Boca Raton, in Long Lake Estates is a 7200 sq foot, 6 bedroom, 4 car garage mansion, with an asking price of $2 million. The home sold for $3 million in 2005.

And the top sale of a bank foreclosure in the last 12 months was a home on West Indies Dr., on the island of Palm Beach. That one sold for $2 million…in an all cash sale!
If you’ve been hoarding your cash for an opportunity to rub elbows with the Trumps…now may be the time! I’d be happy to work with you on one of these homes.

And, as always, thanks for reading!
Steve Jackson…561.602.1258

Tenants living in a home that is in foreclosure...

Here’s the gist: The Tenanct Act is a federal law that gives renters living in a house that gets foreclosed on 90 days before they can be evicted. If there is a bona fide, arms-length lease, AND THE LEASE WAS IN PLACE PRIOR TO THE FORECLOSURE ACTION BEING FILED, the lender or investor, or its servicer intermediary, cannot evict until the lease is expired or the renter breaks the lease.

To educate renters about the law, the Ombudsman for the Office of the Comptroller of the Currency (OCC), released a brief PSA on YouTube explaining the basics. Check it out below: (you can tell it is a govt. produced product...they spelled YOUR as 'yor'  : )



Effective May 20th, tenants with a “bona fide” lease that was entered into before notice of foreclosure can remain in a foreclosed home until the end of their lease, unless the bank sells the property to someone who intends to make it his/her primary residence. If the new owner intends to occupy the home, they are still required to give 90-days notice to the tenant prior to eviction. If the tenant does not have a lease (month-to-month) or current state law allows the lease to be terminated at will, there is still a 90-day notice requirement prior to eviction. Notice must be provided by the “immediate successor in interest” which, in most cases, would be the bank or the new owner.

A “bona fide” lease is defined in the law as one that:

(1) the mortgagor or the child, spouse, or parent of the mortgagor under the contract is not the tenant;

(2) the lease or tenancy was the result of an arms-length transaction; and

(3) the lease or tenancy requires the receipt of rent that is not substantially less than fair market rent for the property or the unit's rent is reduced or subsidized due to a Federal, State, or local subsidy.
 
Click HERE to read the actual legislation.
 
As always, give me a call if you have any questions or comments regarding anything we blog about.
561-602-1258
 
Steve

Listing of particular interest in Journeys End

Even though this is our Winston Trails blog, a home just came on the market in Journeys End that may be of interest to us, the residents of Winston Trails, for two reasons:

1. This sale may have a direct or indirect effect on your home value...especially if your home is currently on the market
2. The home may be of interest for a Winston Trails resident to purchase, as the largest 1 story home in Winston Trails is generally a Venice at 2400 sq ft under air...The Journeys End home is a 1story, 2950+/- sq ft under air, 5/3/3, lake/pool.

It is a bank-owned home, taken back by the bank in July of this year, and put on the market today at $279,900

Foreclosure in Barton Creek

 The Copenhagen foreclosure in Barton Creek that had a contract fall through and came back on the market last week is back under contract. It was priced at $190, 800.

Foreclosure sale

A bank-owned home in Lake Nona just sold.

The home was a Cairo model, 1 story, 3/2/2, 1860+/- sq ft on the canal that backs to Rivermill. The home sold for $160,000...it was listed for sale at $180,000 and previously sold for $333,900 in December of 2006.