Here’s a find from burbed reader Eric, who noticed something odd in Los Altos:

Subject: Los Altos short sale – what happened to 919 Lundy?

Hi,I browse though you site every once in a while – here’s a Los Altos home that seemed to have sold for a lot less than its last sale price – 33%! I’m wondering if there was a lot split or something since the price dropped so much.  If you find it interesting, too, maybe you can post it to to see how your readers react to this?

A 33% haircut?  That could never happen in the Real Bay Area!  Let’s take a look.

919 Lundy Ln, Los Altos, CA 94024
$2,000,000

Beds: 6
Baths: 3.5
Sq. Ft.: 3,729
$/Sq. Ft.: $536
Lot Size: 0.49 Acres
Property Type: Detached Single Family
Style: Spanish
Stories: 2
View: Mountains, Neighborhood
Year Built: 2005
Community: Country Club
County: Santa Clara
MLS#: 81011846
Source: MLSListings
Status: Sold

This is it! Beautiful custom built home with all the upgrades! Enchanting Spanish style home is located next to the exclusive Los Altos Country Club. The home features expansive cozy gourmet kitchen with hi-end Thermador Appliance, gas stove, breakfast bar, granite and marble finishes, family great room with cathedral ceilings, distressed wood floors and fireplace. Absolutely Enchanting!

The agent sure seems excited about this place, the expensive, sorry “expansive cozy gourmet kitchen” has a “hi-end Thermador appliance” and the wood floors are quite distressed.  I’d imagine the seller was distressed, too, at these numbers:

Property History for 919 LUNDY Ln

Date	Event	Price	Appreciation	Source
Jul 21, 2010	Sold (Public Records)	$2,000,000	-8.9%/yr	Public Records
Jul 20, 2010	Sold (MLS)	$2,000,000	–	Inactive MLSListings #81011846
Mar 23, 2010	Delisted	–	–	Inactive MLSListings #81011846
Mar 12, 2010	Listed	$1,879,999	–	Inactive MLSListings #81011846
Apr 07, 2009	Delisted	–	–	Inactive MLSListings #3
Feb 21, 2009	Price Changed	$2,698,000	–	Inactive MLSListings #3 posted on burbed
Jan 21, 2009	Listed	–	–	Inactive MLSListings #3
Nov 25, 2008	Delisted	–	–	Inactive MLSListings #2
Oct 15, 2008	Price Changed	–	–	Inactive MLSListings #2
Oct 01, 2008	Price Changed	–	–	Inactive MLSListings #2
Sep 10, 2008	Price Changed	–	–	Inactive MLSListings #2
Jun 10, 2008	Listed	–	–	Inactive MLSListings #2
Mar 15, 2006	Sold (Public Records)	$3,000,000	65.7%/yr	Public Records
Nov 28, 2005	Delisted	–	–	Inactive MLSListings #1
Oct 18, 2005	Listed	–	–	Inactive MLSListings #1
May 27, 2004	Sold (Public Records)	$1,210,000	45.4%/yr	Public Records
Sep 09, 2003	Sold (Public Records)	$925,000	3.8%/yr	Public Records
Aug 08, 1989	Sold (Public Records)	$545,000	–	Public Records

Wow, the 2003 flipper must be pleased, but the 2004 owner did even better!  Buy an older house, tear it down, and rebuild in 2005.  The best hint I can find on how old: 923 Lundy next door was built in 1950.  No hint about a split lot, as 923’s owners have been there since 1994.

The sale records for 919, though, are fast and furious. Plus, according to PropertyShark, the 2004 buyer was not the 2006 seller.  A quick trip to the Santa Clara County Recorder’s Office (website) reveals a March, 2005 transaction, where the four owners of the house added an additional two more. Wow, is this a house or a hot potato?  Then, in 2006, all six owners sold the new construction to today’s featured knifecatcher.  And that lucky liener was under a $2,051,000 variable mortgage from IndyMac.  Anyone who realizes that this is $51,000 more than the house sold for last week gets a gold star.

Another couple bought the house in July, but the story doesn’t end with the new happy homeowners.  There are a few documents from the July sale, and one of them is a “Deed of Trust and Request Notice of Default” from Charles Schwab Bank. Anyone in a title capacity want to explain what that means?  The sale had the usual Grant deed, then a power of attorney from one buying spouse to the other, and a subordinate mortgage between the buyers and the Schwab bank.  But a NOD right on the day of acquisition? 

I know!  We can ask California Notary Public Service!

$1,689,000

602 CHIMALUS Dr Palo Alto, CA 94306

Beds:	4
Baths:	3
Sq. Ft.:	2,090
$/Sq. Ft.:	$808
Lot Size:	5,311 Sq. Ft.
Property Type:	Detached Single Family
Style:	Contemporary
Stories:	2
View:	Neighborhood
Year Built:	2009
Community:	Barron Park
County:	Santa Clara
MLS#:	81011503
Source:	MLSListings
Status:	Active This listing is for sale and the sellers are accepting offers.
On Redfin:	115 days

Custom contemporary home on a Palo Alto cul-de-sac. Custom bamboo cabinetry in the kitchen and baths w/ soapstone and slate counter tops. Soaring ceilings. Heated bath floors. White oak floors throughout. Green features include LED lights, tankless hot water, ceiling fans, attic fans, 2 zones HVAC, and more! Palo Alto schools including Gunn High. ALso available for rent at $6250/month.

Now this house was mentioned before – let’s take a look at the way back machine…

July 24 2009

Pralay Says:
July 27th, 2009 at 10:52 pm

One more Palo Alto property that has neither buyer nor renter – 602 CHIMALUS Dr. The flipper bought the lot for $1.1M in 2007. In market from December (price reduced from $1.9M to $1.6M).

Now the flipper put it up as rental in craiglist – for $6995 per month.

Recently, burbed reader Gallileo saw that it continues to be listed, and had this additional commentary:

A house no one is worth of in Barron Park

Flipped not once but twice from 2006 to 2007, then undergoing an extensive remodel, this house first listed in 2008 in its new incarnation. All the resales and repricings–"Up! No down! no up!"–show the true desirability of this house–its so hot that no one feels worthy of it for more than a year. Even the former renters moved out. And how can you ever find the right price on a house that sells and rerents so often?

Now it sits there, stately and sideways on its half-sized lot, backed up against Palo Alto’s only light-manufacturing industrial plant, just waiting for a renter or buyer who feels worthy of it. The recent price increase shows just how desirable it is.

Alright all you creative minds out there… what’s it going to take to get this house sold? I’m thinking… increase the price even more! Let’s make it even more valuable by making it even more precious!

Anyone know what the fair market rent value of this house would be? Any good comparables?

Yesterday’s listing was an unsuitable property in a challenging location.  Today’s house is within reasonable commute distance so there shouldn’t be as many complaints.  Also, more eights in the price today so it’s LUCKY.

21631 Hicks Rd  Los Gatos, CA 95032
$1,999,988

BEDS: 3
BATHS: 2
SQ. FT.: 1,704
$/SQ. FT.: $1,174
LOT SIZE: 24.02 Acres
PROPERTY TYPE: Detached Single Family
STORIES: 2
VIEW: Mountains, Canyon, Lake, Valley, City Lights
YEAR BUILT: 1973
COMMUNITY: Los Gatos/Monte Sereno
COUNTY: Santa Clara
MLS#: 81025440
SOURCE: MLSListings
STATUS: Active
ON REDFIN: 24 days

INCREDIBLE OPPORTUNITY! GATED ESTATE PROPERTY ON NEARLY 25 ACRES WITH SWEEPING VIEWS AND LOS GATOS SCHOOLS! SEVERAL BUILDING PADS TO CHOOSE FROM AND EXISITNG HOUSE. .. NEEDS TLC BUT PERFECT FOR TEMPORARY RESIDENCE DURING CONSTRUCTION, OR TO USE FOR "REMODEL" PROJECT, OR TO OBTAIN SFR FINANCING. .. ALL WITH VIEWS! GREAT POTENTIAL FOR THE BUYER WITH VISION AND THAT WANTS PRIVACY. VALUE IS IN THE LAND.

Another description in ALL CAPITAL LETTERS.  Seems URGENT.  Let’s READ IT before REDFIN starts making sure the AGENTS know how to USE a COMPUTER KEYBOARD PROPERLY before POSTING A LISTING.

This seems straightforward enough.  There’s a rather ugly, boring, run-of-the-mill house that would go for about a hundred thousand in flyover country and about three hundred thousand in the non-RBA (Real Bay Area) part of San Jose.  But these out-of-state greedheads want two million dollars for it because it’s GATED.  And they think they’re going to get it because while they say they’re selling this (ugly, boring, overpriced) house, they’re really selling 24 acres of land with an ugly, boring, overpriced house that just happens to be on one of them.  This house can’t be too Special or we’d get to see a photo or two inside.  Maybe it’s all one giant open space when you walk through the front door?

In a way, they’re being honest about it. VALUE IS IN THE LAND = House is worthless, but you can’t finance this place if we tear it down.  They admitted it was still standing TO OBTAIN FINANCING.  And you could use this PERFECT FOR TEMPORARY RESIDENCE DURING CONSTRUCTION.

So, what happened between 1998, when the owners paid $275,000 for this place, and now? The wishing price is almost eight times higher!  Doesn’t RBA property only double in ten years?  Why have they tried to sell this place once a year, every year since 2004?

But there’s a bit of a mystery to this place.  Why are there SEVERAL BUILDING PADS TO CHOOSE FROM?  Did they hire several different contractors and fire each one of them before they built anything permanent? Or did they intend to invite NASA to move in when they lose Moffett Field,?  How many BUILDING PADS is SEVERAL, anyway?  The Redfin description doesn’t say, but this older listing says that not only has the house gotten 300 sf smaller, there used to be POTENTIAL FOR 8 BUILDING SITES.  And something about a BARN.  A BARN!  There’s nothing about a BARN in the current listing!  No wonder they reduced the price from last year’s $2,288,000!  If only they’d added some more eights.

And why did they take the TourFactory Video down?  Is there something on those BULDING PADS they don’t want us to see?  Maybe it’s the collapsed 300 sf part of the house.

Are you a BUYER WITH VISION?  Do you WANT PRIVACY?  Do you have a broom for some SWEEPING VIEWS?  There’s probably a fascinating backstory to all those abandoned BUILDING PADS, and it can be yours for just two million dollars.

And now for something completely different… a guest post from madhaus.

17259 DEER PARK Rd  Los Gatos, CA 95032
$1,989,000

BEDS: 4
BATHS: 3.5
SQ. FT.: 3,800
$/SQ. FT.: $523
LOT SIZE: 2.96 Acres
PROPERTY TYPE: Detached Single Family
STYLE: Mediterranean
STORIES: Bi/Split Level
VIEW: Mountains, Canyon
YEAR BUILT: 1978
COMMUNITY: Los Gatos/Monte Sereno
COUNTY: Santa Clara
MLS#: 80950749
SOURCE: MLSListings
STATUS: Active 
ON REDFIN: 207 days

Private setting, updated custom home, redone/last 8-9 yrs. Mstr. bedrm & ba redone 2007.Excellent flr pln. Lrge grt rm, F. R. & D. R. ,granite slab in eat-in kit, wd cab, gas stve. Lge utility rm. Big lot size of 2.96 ac w/ built-in pool/spa & fenced yrd. Gate entry w/ lg circular drvwy. Gd lndscping, R. V. boat area/slab w/ power. 2nd side of grge used as offce. Garage can be rtrnd to 3 car garage.

omg wtf?  Does Coldwell Banker now want all home descriptions to fit into one Tweet or SMS?  Are we going back to per-word classified rates? You’d think for almost two million that the agent would meet his well-heeled buyers halfway and not make them guess what some of those abbreviations stand for.

First things first: Prce Rducd.  Listed for $2.489M in October 2009, dropped $100K in January and $400K more in May.  Lge lot, lge drp!  Now why would a nice home in the hills have trouble selling?  Maybe it’s because during the open house, there’s a welcoming committee.  

Everyone loves dogs!  Everyone!  Just ask the agent!  Everyone loves dogs!  And if you don’t love dogs, then, who cares, because evry1 <3s dgs!  These dogs are loved so much, their owners wouldn’t dream of locking them up while a bunch of strangers tramp through their home.  And nothing says “This could be my house” like being greeted by wolf hybrids in the driveway.  Unleashed wolf hybrids.  If a couple of these don’t scare away the buyers, there’s always the vicious little yappers caged in the laundry room!  This is a whole new level on Special.  If you aren’t brave enough to get out of your car, you don’t deserve to own ths hse.

Do you like 3-car grges?  Do you want one?  You can have one on this property!  Simply gut the offce that’s using up most of it!  It’s all about choice!  I mean chce.

600 KENWOOD Dr Menlo Park, CA 94025

$1,500,000

Beds:	4
Baths:	4
Sq. Ft.:	2,840
$/Sq. Ft.:	$528
Lot Size:	8,600 Sq. Ft.
Property Type:	Detached Single Family
Stories:	2
View:	Neighborhood
Year Built:	1945
Community:	Allied Arts/Downtown
County:	San Mateo
MLS#:	81010762
Source:	MLSListings
Status:	Active This listing is for sale and the sellers are accepting offers.
On Redfin:	54 days

Surprisingly large home – charming cottage style with mature landscaping expanded to 5 bedroom home with 3 suites (l large suite w/ sitting room on second floor), lg suite + small suite on main level. Oak floors in nearly all of house. Central courtyard off dining, hall and master ste. Wide balcony off upper master suite. You’ll be surprised at the space and convenient location. FP + storage blds.

Thanks to Burbed reader Nate for this final part of his guest post:

Only $1.5M for this thoughtfully expanded home with not one, not two, but THREE suites!  Perfect for the families that don’t want to ever see each other.  If you’ve ever wanted to have a house with wings, but don’t have money for an Atherton estate, this place is for you.

Best of all, you’re quietly tucked away in an Allied Arts cul de sac, but you still have Safeway as a neighbor.  How is that possible you ask?  Just look in the backyard.  Granted, the wall separating you and the loading dock is 30 feet high, but think of it as your own personal climbing gym.  That, or you could just listen for when trucks pull up and have them toss you a case or two of whatever they’re hauling.

419 LELAND Ave Palo Alto, CA 94306

$1,650,000

Beds:	4
Baths:	3
Sq. Ft.:	2,542
$/Sq. Ft.:	$649
Lot Size:	7,500 Sq. Ft.
Property Type:	Detached Single Family
Style:	Contemporary
Stories:	1
Year Built:	2007
Community:	College
County:	Santa Clara
MLS#:	80957331
Source:	MLSListings
Status:	Active This listing is for sale and the sellers are accepting offers.
On Redfin:	136 days

LIGHT AND BRIGHT. HARDWOOD FLOORS THRU OUT IN LIVING ROOM, FAMILY ROOM, DINING AND KITCHEN. GRANITE COUNTERTOP, STAINLESS STEEL BUILT-IN APPLIANCES. WINE COOLER. MASTER SUITE HAS JET TUB. BEAUTIFULLY LANDSCAPED WITH COVERED PORCH. JUST ACROSS THE STREET FROM STANFORD AND CLOSE TO ALL SHOPPING.

Thanks to Burbed reader Nate for this guest post. Here’s the first in a three-part series!

Sure, it’s nice to have a good walk score on a house and be able to stroll to a neighborhood eatery or grocery store.  But could that proximity ever be a knock on a house?  Take these three RBA houses for example:

Asking $1.65M – on and off market for nearly a year. 
http://www.redfin.com/CA/Palo-Alto/419-Leland-Ave-94306/home/1540974

It’s newer construction in prime Palo Alto, so what’s the catch?  Could it be that you’re steps away from El Camino and customers from the Sundance steakhouse may occasionally park in your driveway?
Of course, at least that house is close to an upscale eatery (never mind the downscale apartments across the street).  So the pros are you’ll have fancy cars in your driveway, and the aroma of prime aged beef in your backyard every evening.  But the big con is that you’ll end up eating there so often that you won’t be able to afford your $8k+ mortgage payments. 

There has to be a better option, right?  Well here you go … [Stay tuned for tomorrow!]

234 LELAND Ave Menlo Park, CA 94025

$1,530,000

Beds:	3
Baths:	2
Sq. Ft.:	1,800
$/Sq. Ft.:	$850
Lot Size:	8,350 Sq. Ft.
Property Type:	Detached Single Family
Style:	Ranch
Stories:	1
View:	Neighborhood
Year Built:	1948
Community:	County/Alameda Area
County:	San Mateo
MLS#:	81003410
Source:	MLSListings
Status:	Active This listing is for sale and the sellers are accepting offers.
On Redfin:	73 days

Charming rancher in Las Lomitas School district * * * Extra large lot in a highly desirable location. Hardwood floors, large eat in kitchen with family room, extra large living/dining, wonderful home. Many updates!

Not sure if this will make the cut since the house actually looks pretty nice and is a nice ‘hood – but I couldn’t resist because the location of the refrigerator is so epically awful.  If you look at the pics closely, you can see that the refrigerator is outside of the kitchen, with the door just down from the tv in the family room.  The best part is that the kitchen actually looks updated – and the refrigerator in question is of course stainless. 

This place has been on the market for 2.5mos and has had multiple price reductions.  At this point the asking is $155k below what the seller paid at the end of 2007 (he probably thought he was buying the dip).

Let’s take a look in the kitchen first:

Indeed. No fridge there. Let’s take a look at the “extra large living/dining”:

Sharp eyes Nate! That would’ve been an easy miss right there.

Frankly, this is perfect for 4/20 day. Got the munchies while watching The Matrix for the 2410th time? No problemo! The fridge is right there!