2 Bedroom Foreclosure at Murano Grande Sells for $331 Per Square Foot
March 2, 2009 by Lucas Lechuga
I was looking through the recently closed sales in South Beach and came across a 2 bedroom/2 bath foreclosure condo at Murano Grande that sold for $475,000, or $331 per square foot on February 9, 2009. This is by far the lowest that a 2 bedroom condo in the Murano Grande has sold through the MLS. Grant it, the recently closed condo, unit 609, is on a very low floor but from the looks of the pictures it appears to have been in pretty good shape.
Previously, the lowest sales price for a 2 bedroom condo at Murano Grande was $650,000. That unit was located directly two floors above unit 609 and closed in April 2008.
Unit 609 appears to have been the victim of mortgage fraud. It previously sold for $1,100,000 in September 2006. What's interesting is that the list price at the time was intially $949,999. After being listed at that price for about seven months, the list price was increased to $1,100,000 a month before the condo closed and, of course, the listing agent was able to get both sides of the deal.
“the listing agent was able to get both sides of the deal.”
And the Miami shining light listing agent award goes to…?
Looks like the ‘high-end’ SoBe and general beachfront is now ridden with cracks. Stand aside from that freight train.
A November fire-sale auction of units in a West Palm Beach condominium has set a price for all sales in the building. Since November, The Edge condo along South Australian Avenue has sold 40 more units to buyers at nearly the same prices paid during the auction, according to Jay Jacobson, South Florida director for Edge developer Wood Partners.
At that auction, some 33 units were snapped up at bargain-basement prices well below market sales prices. One buyer paid $141,000 for a one-bedroom unit previously priced at $385,000. Jacobson said only about 81 of the condo’s 307 units remain unsold, and he expects steady sales to continue, with about three to four a month being sold.
But he’s selling because prices for Edge condos are staying at the auction level. For instance, recent ads show a two-bedroom/two bath unit that was priced at $436,000 now is available for $195,000.
“For us, the auction set what the market value was. Anyone who thinks they can get more than what we’re getting in West Palm Beach now is drinking Kool-Aid,” Jacobson said. Jacobson pooh-poohed the possibility that the remaining units could go back to the lender, as recently happened at the nearby Whitney condominium.
Follow The Smart Money we won’t take you over the Edge.
No water views at all for this unit, neither the Ocean nor the Bay, not even a sliver. It faces the school side and the Alton road. Who paid a mil for it in the peak? it stinks of fraud. Even at 475K, why would anyone buy with Zero views. To top it, the HOA + Taxes only are a tad over $2000/month.
I like Murano Grande very much. I love the Marina and everything about the location. But unless you have a flat facing the bay/marina or Government cut, it is not worth paying over $2000/month for HOA + Taxes, no matter how cheap you can buy your flat.
AJ….are the total fees $2000/month or $2964 as listed ? Please explain.
Of course we no longer live in a nation of laws, and crimes like mortgage fraud continue to go unpunished.
Isn’t there a Miami-Dade mortgage fraud task force? I read awhile back they have made a few arrests already.
Miami Grande is a nice building, but nothing spectacular. Paying over $1m for anything unless the very top floors is crazy.
“Isn’t there a Miami-Dade mortgage fraud task force? I read awhile back they have made a few arrests already. ”
Yes, there are several officers from MDPD that work on this morgage fraud. I recently worked with an intelligent MDPD Captain that works on this force. As expected, they are swamped with work, but he informed me that they are definitely making arrests. I’m sure his worked has doubled since I last spoke with him.
This is about the fourth closed listing I’ve seen on Alton Road where the owners lost close to $500,000.
In other news-three people were shot outside a nightclub in the Park West neighborhood.
Ace,
Agreed… good article. Auctions are the most efficient means of pricing goods and creating a market (think eBay, Google advertising), so it makes sense that the post-auction sales are using the pricing set by the auction. There’s no reason to use any other data for comps.
Doctor
wild bill said: “In other news-three people were shot outside a nightclub in the Park West neighborhood.”
Sorry wild one but that isn’t “news”…..it is like a serial re-run!
Don’t panic people.
Relax.
Take a deep, DEEP breath.
Lean forward slightly.
—
What happens to the not Smart Money crowd.
ACE ………………..I think YOU’D better re-evaluate your $ 125 a sq. ft. price.I’m thinking $95-100 is on the way Sooner than later………………The Smart Money must re-evaluate.
one more time
“ACE ………………..I think YOU’D better re-evaluate your $ 125 a sq. ft. price.I’m thinking $95-100 is on the way Sooner than later………………The Smart Money must re-evaluate.”
—
As I am a longtime standing member of the Smart Money, Muir can interject with a comment.
We still believe that $85 per sq ft is par for a good 2/2 condo. That is to say, a good building with some financial stability could expect to get $85. Of course, this would be possible only, and only IF, we were not in a strong depression.
We are compassionate and do not hold it against us those that minimized the concept that certain condominiums could have a negative net worth and that it was possible that some would be next to worthless and would be given away for next to nothing as the cash flow would be negative even if bought for $1.
We are magnanimous and urge all to come to our side.
The SMART money said last week DOW 6000 when AMX announced cash back for customers returning cards. We said it was easy money.
Listen.
The Smart Money has made a pact with the the card carrying members of The Smart Money that we will apologize should prices drop below $125.00 per square foot.
If you are a regular reader of The Smart Money advice then you will know that we have had to apologized on two seperate occasions already. And we’ve know doubt that the number of apologizes by The Smart Money to The Smart Money will climb exponentially in line with the jobless rate and foreclosure rate at which time The Smart Money will reevaluate our price per square foot estimate and adjust it downward in accordance with market conditions.
Till then keep yer enemies close and your cash closer.
The Smart Money.
Thank you MUIR…..I am on the SMART MONEY TEAM…….thank you.
WTF is up with everyone refering to themselves in third person now?
delusional and deranged!
Honestly though guys putting the “Smart Money” cockiness, humor or whatever you want to call it aside. $125 a sq.ft for luxury oceanfront buildings isn’t really a guess nor an over exaggeration…let me explain why!
Is anyone familiar with Ocean one? The building closed in 1999, I don’t remember when they started contracts on it…anyone remember? I think it was 1998 anyway the point is back then we were in the mists of the dot.com bubble, money and credit where flowing, unemployment was low…it was the good old Clinton years (yes I know back then Sunny Isles wasn’t much). However I know for a fact that property was selling early on (preconstruction) around mid to high 100’s a sq.ft. My friend had a 2000 sqft. 2 bedroom plus very small den (really wasn’t a den more like a side room part of the living room), ocean views, private elevator ect. and he paid 300k for it preconstruction roughly $150 a sq.ft.
Fast forward to today with the global economy in shambles, no credit, higher and higher unemployment, inventory up the wa-zoo, no demand….do you guys really think we wont over correct?
Renter Tom just hold out that $1.5 million dollar 2 bedroom that was selling 2 years ago has already more then halved to $600,000…it is still due for another 50% correction!
AJ
“delusional and deranged!”
The Smart Money does not take sides.
The Smart Money as the Tao considers all to be her teacher.
We neither cry nor rejoice in others misfortunes, rather, we rejoice in creation and the wonderment of those who believed in the East facing views that favored alpaca wool for those that raised said beasts of burden in their dwelling.
Whaaa? I’m confused. Can anyone recommend a reputable moving company to transport my new Design Within Reach bedroom set about 2000 miles without breaking or scratching it?
so who gotta a place with smelly chinese dry wall
drew299 said: “so who gotta a place with smelly chinese dry wall”
Dare I say “call RCRS”…..they have everything available and, like Cal Worthington, will finance anyone!!! If you negotiate well, you get them to throw in free Chinese laundry service, free Chinese food for a month, and free dates with a Chinese hooker….
Me? I would insist on Japanese food and a Japanese hooker!!!
For those of you not familiar with “Cal Worthington”……….
http://www.google.com/search?hl=en&q=cal+worthington&aq=0&oq=cal+wo
Watch “Go See Cal” video…..
He was the “Jorge Perez” of Southern California car hucksters……..
What a deal! In my market place, there are foreclosures selling for killer prices. It’s unfortunate how much loan fraud occurred, and hopefully lender conditions will improve to get qualified buyers in good homes.