We’re spending too much time in Silicon Valley.  Let’s pop over to the East Bay and see if Bay Area Bubble 4.0 has wafted across the San Mateo Bridge yet.  Today’s featured property bubbled up from Burbed reader J from Alameda!  Thanks very much for keeping us Real, which means the whole Bay Area.

623 CENTRAL Ave
Alameda, CA 94501
$285,000

2 Beds
1 Baths
1,139 Sq. Ft.
$250 / Sq. Ft.
Built: 1909
Lot Size: 3,960 Sq. Ft.
On Redfin: 1 day
Type: Detached
Stories: 1
Community: West End
MLS#: 40607329
Style: Colonial
View: Other
County: Alameda

Classic Colonial Revival, 2 bed 1 bath ready to refinish. be the one to gain from the sweat equity.

Upcoming Open Houses

Saturday, Mar 23: 2:00-4:30 pm; Sunday, Mar 24: 2:00-4:30 pm

Comments

Bring your contractors

That last phrase under comments? It’s hidden in the web page and popped up when we did a copy and paste.  Heh heh.  What else is hidden on all those Redfin pages? Maybe it’s an early Easter Egg Hunt.

Now let’s check in with J.

I have been driving by this house for years and wondered how it was still standing. I am still wondering. Let’s see how hot the Alameda market is – how fast will this fly? While not quite RBA it is just a bridge….or ferry…or BART ride away….oh, and make sue you check out the street view.

First let’s check out some more of the house.

And the streetview?

Wow! Lots of neighbors ready to welcome you!

Answer: The RBA is being bought up by foreigners with suitcases full of cash going to individual sellers.  Not the Real Bay Area is being bought up by investors with envelopes full of cashiers checks going to banks.

Report: Investors buy nearly half of Oakland’s foreclosed homes

Real estate firms turning properties into rentals, becoming "massive landlords" in some neighborhoods, critics say

by Aaron Glantz, Bay Citizen — June 28, 2012, 11:01 a.m.

The rental listing advertises a “gorgeous remodeled craftsman-style house” with three bedrooms, two bathrooms, a converted basement, a large deck and a backyard for $2,595 a month.

Eight months ago, this West Oakland home was owned and occupied by Theodros Shawl, a local chiropractor. Shawl bought the house in 2004, his first since emigrating from Ethiopia in 1990. Over the years, Shawl said, he rebuilt the home’s foundation and replaced its aging plumbing and electrical systems.

“I liked the fact that it was an older home, that I could repair and paint and fix there on the weekends. I was always at Home Depot,” said Shawl, 40. “I was living the American Dream.”

Last October, after being sidelined with a wrist injury, Shawl lost his home to foreclosure; in May, Bank of America sold it to a real estate investment firm, REO Homes 2 LLC, a company founded in 2010 by Bay Area businessman Neill Sullivan.

Lest you think this is a trend only in the depressed parts of the Bay Area, we assure you that it isn’t.  Real Estate Investment Trusts are back, mostly because there doesn’t seem to be a lot of places to get reasonable returns these days.  A recent article in The New Republic covers the growing national trend of paying cash for foreclosures and turning them into rentals.  Needless to say, actual would-be buyers are finding themselves aced out of the bottom-feeding.

Your New Landlord Works on Wall Street

Hedge funds are snatching up rental homes at an alarming rate

BY DAVID DAYEN, The New Republic, February 16, 2013

Housing analysts have been giddy for the past year about the comeback of their industry, whose collapse led to the Great Recession. Sure, 2012 was actually the third-worst year for housing ever—but it still beat 2010 and 2011. New and existing home sales, housing starts, and prices jumped in 2012, and experts expect an even stronger recovery for 2013.

It’s clear why people are so excited: Housing typically leads economic recoveries. As more people build equity in their homes, they feel more free to spend disposable income and increase economic activity, a phenomenon known as the “wealth effect.”  So a bullish outlook for housing would seemingly augur a long-awaited recovery to Main Street. But the more you look into it, the clearer it becomes that it’s not being driven by the typical American families who lost their homes in the economic crash. In fact, it’s being fueled by the banks and hedge funds whose speculation caused that crash in the first place.

If you’ve signed a lease in the past year, there’s a good chance your landlord wears a tailored suit and works on Wall Street. One of the hottest trends in the financial sector is known as “REO-to-rental.” Over the past couple years, hedge funds, private equity firms and the biggest banks have raised massive amounts of capital to buy distressed or foreclosed single-family homes, often in bulk, at bargain prices. Their strategy is to convert them to rental units for a while before reselling them when prices appreciate. The Wall Street firms are scooping up properties in the hardest-hit areas, promising high returns for the rental revenue streams—up to 10 percent annually —and starting bidding wars that have driven up some prices well above national averages. It’s the next Wall Street gold rush, with all the warning signs of a renewed speculative bubble.

Enjoy the Open Houses you’ll be making offers on but not buying because some sovereign wealth fund is outbidding you.

Today’s delicious domicile comes to you from Alameda, the island garden of the Bay.  Or should we say Oakland Afloat? Estuary Estates? Maybe you have an even better name for Alameda than those! Thanks very much to Burbed reader JL for finding a house with a creative command to the buyer.

492 MCDONNEL Rd
Alameda, CA 94502
$599,000

3 Beds
2.5 Baths
1,625 Sq. Ft.
$369 / Sq. Ft.
Built: 1992
Lot Size: 3,895 Sq. Ft.
On Redfin: 19 days
Status: Pending
HOA Dues: $365/month
Style: Contemporary
Community: Bay Colony
MLS#: 40601391
Type: Duet
Stories: 2
County: Alameda

Very sunny duet home W/ big lot, great size open backyd, spacious driveway, cul-de-sac. Extra high ceiling grand entrance. Gorgeous new kitchen. double pane window. HOA cover exterior, roof, front yd & insurance. close to ferry terminal. One of a kind. Must see. Nobody pass away inside the house.

Here’s what JL had to say about the house:

Burbed is the best! I had to pass along an Alameda listing that has generous and inexplicable amounts of fail.

First, there’s only outside pictures. Never a good sign. But the best thing is the description. Granted, I think we may have a non-native speaker as the writer, but the last line is hilarious no matter what.

The strange thing is, this looks like a nice house. The redfin Streetview link takes you to a street over a block, but if you go to Google street view directly, it shows a decent-looking place. So the Redfin listing could have been nice, but instead was awesomely bad.

Awesomely bad? It’s not every house that’s not just part of a cookie-cutter tract but a gol-durn “duet home” in a cookie cutter tract that can call itself “one of a kind”! Now that’s awesomely something!  Plus there’s insurance in the front yard! The $365 a month HOA fees are just the cherry on this Win Sundae!

We tried to find the collection of “only outside pictures” without success.  Other listing sites either had the photos removed (with the listing marked as off market) or a slightly different set of photos, inside as well as out.  Here are a couple more, just in case Redfin yanks these bright and early Monday morning. 

And we mean it about the bright, as the Cherenkov radiation is strong in this one.  Just for grins, check out the outdoor pix on Zillow!  Must see.

Serious WHOA.  Of course if we had a yard like that, we wouldn’t pass away inside the house either.

Here’s a very Bay Area solution to the often noted challenge that “they’re not making any more land.”  Build your house on  water!  Sound like a plan to you?  Let’s swim on up to WaterWorld, courtesy of Burbed reader J from Alameda! 

Note: this is a Bay Area solution, but definitely not a REAL Bay Area fix.  RBA houses are in the RBA in the first place because they have land they aren’t making any more of.

2394 Mariner Square C3
Alameda, CA 94501
Sold 11/9/10 for $335,000

2 Beds 
1 Baths 
1,296 Sq. Ft.
$258 / Sq. Ft.
Built: 1972 
Lot Size: — 
Sold On: Nov 9, 2010
Status: Sold
Type: Detached
Stories: 2
Community: Barnhill Marina
MLS#: 40489839
Style: Contemporary
View: City Lights, Marina, San Francisco, Water
County: Alameda

This beautifully remodeled 2 bed 1 bath floating home features estuary and SF views, hardwood floors, new paint, wains coating, vaulted ceiling with exposed wood beams, new appliances, stain glass windows, three decks, and skylights. Close to BART, ferry, train, and Fwy.

Here’s what J floated over with the house:

And this would be cheapest SFR/Floating. Also should get a prize for longest price history….

Unfortunately, would you believe this property was delisted, we swear we are not making this up, the very day we head off to Redfin to write it up?  Which means we don’t know how many days it was on the market for but about two years.  We’ve already done a property that was sitting on MLS for four years!  And this one for more than three!

But while you may be at sea here, the agent says it’s close to everything: BART, ferry, train, and Fwy. It’s even closer to the Posey (underground) tube.  The map clearly shows it runs right underneath you.

Meanwhile, we looked high (Zillow) and low (Sawbuck) for the newly pulled listing without much success.  Here’s what we found in Google cache, but it appears to be a completely different floating house, despite the listing history lining up perfectly.

2394 Mariner Square Drive E6
Alameda, CA 94501
$229,000

1 Beds 
1 Baths 
— Sq. Ft.
Built: 1968
Lot Size: —
On Redfin: 537 days
Type: Detached
Stories: 2
Community: Barnhill Marina
MLS#: 40533694
Style: Contemporary
View: City Lights, Downtown, Marina, Water
County: Alameda

Floating Home. Open plan for kitchen/living room and den; upper level suite for bedroom and sitting area. 360 degree view from upper deck; elegant tiled first floor. New carpet in upper level bedroom suite.

One bedroom, two bedrooms, so what? No square feet, 1300 square feet, big deal.  Blue trim, green trim, doesn’t mean anything.  C3, E6, you sunk my battleship!

Now, here’s one of the 360 degrees of views you can enjoy from the upper deck.  Also check out this delightful photo of the house and environs from homes.com!

Bunus: Sold in 2007 for $448K.

Another bunus: This old listing (with old paint job) says there’s a $523 a month berth fee.  But that’s nothing.  Trulia says this place is a mobile/manufactured home.  They’re the only site that says so, which means they could be wrong.  But what could possibly be better than a trailer house in a trailer flotilla?

Welcome back to another week of Extreme Housing Win, Bay Area Edition!  We hope everyone had a wonderful holiday break and we wish you all a Very Happy New Year if you haven’t been reading us Every Single Day Like You Should Be.

Today’s featured FUBAR hails from the linchpin of higher learning in all of California.  No, not Stanford.  Thanks very much to Burbed reader Ms. Snoopy for this bodacious buildout of BOOM in Berzerkely!

1068 CRAGMONT Ave
Berkeley, CA 94708
$399,000

4 Beds 
3 Baths 
2,129 Sq. Ft.
$187 / Sq. Ft.
Built: 1959 
Lot Size: 8,100 Sq. Ft. 
On Redfin: 20 days
Status: Active
Type: Detached
Stories: 2
Community: Berkeley Hills
MLS#: 40598550
Style: Craftsman
View: Bay
County: Alameda

If You Love Natural Light, You will Fall in Love w/ the “VIEWS” of this home. This is definitely a HOME IMPROVEMENT house in the workings! NEEDS a lot of TLC.

Here’s Ms. Snoopy’s nominating speech for this front-page folly:

According to the agent, this one “NEEDS a lot of TLC.” I guess “TLC” in realtard speak now means drywall, doors, and ceilings. But the agent is right that you will get “lots of natural light” due to the fact that there are no walls.

Love your site!

No walls?  That means plenty of fresh air as well!  Plus fresh water.

And plenty of nature, both animal and plant kingdoms, free to surprise you day or night.

Would you look at those VIEWS!!!!!

We hope you had a wonderful winter whatever and got all the toys you asked for.  But just in case you didn’t, we have some close-out specials for the end of the year!  Today, Burbed reader J from Alameda has some Island High Style for you.

828 LINCOLN Ave
Alameda, CA 94501
$249,000

1 Beds
1 Baths
561 Sq. Ft.
$444 / Sq. Ft.
Built: 1959
Lot Size: 1,275 Sq. Ft.
On Redfin: 76 days
Status: Active
Type: Detached
Stories: 1
County: Alameda
Style: Cottage
Community: Alameda
MLS#: 40592515

MOST UNIQUE NARROW BLDG. 150 FEET DEEP, FENCED IN LOT, BACKYARD PATIO, RESIDENTIAL (NEW ZONING R-4 RESIDENTIAL) POSSIBLE ART STUDIO PLUS GALLERY, LIVING IN AND WORK ON COMPUTERS, ANOTHER POSSIBILITY, SO MANY POSSIBILITIES OF HOME OFFICES. CLOSE TO BUS AND ALL TRANSPORTATION AND NEAR WEBSTER STREET.

Here’s why J thought we’d be interested in this offering:

My Alameda black Friday nomination. Do not be fooled by first photo – its the narrow yellow building to the right. On a very busy street, not a great part of town. That maybe, just maybe, can be zoned commercial.

Happy Shopping!

Wait, Black Friday was last month…. oh, this was sent in last month.  That says we can’t possibly be in the RBA, because it’s still on the market!  So hurry before it isn’t!

And if you have any doubts that this listing is “MOST UNIQUE” at least the lot itself is.

Bunus: the broker has the same name as a famous television personality.  Double Bunus: also the same name as a VP at Alain Pinel, Saratoga, just to really confuse the customers.  (Plus 3 more real estate agents in California alone.)

Who likes a nice, hot breakfast? Okay, who likes a nice, hot fresh breakfast? No mawbul kawlums, but this listing is only 11 days up, and what a history!  Our thanks to Burbed reader waiting for the fall for this nice nest in Newark!

Yes, even houses in Newark are going pending in a week.  What can we say? The bubbly is BACK!

35726 HALEY St
Newark, CA 94560
$389,000

3 Beds 
2 Baths 
1,100 Sq. Ft.
$354 / Sq. Ft.
Built: 1961 
Lot Size: 6,000 Sq. Ft. 
On Redfin: 11 days
Status: Pending
Type: Detached
Stories: 1
County: Alameda
Style: Contemporary
Community: Newark
MLS#: 40597759

Completely renovated; Charming single story home; Updated kitchen with stainless steel appliances and granite countertops; Brand new flooring and carpet; Freshly painted inside and out; New roofing; Large driveway; Beautiful deck with covered patio for outdoor parties.

Here’s why wftf sent this reverse snout-house in.

Check out this house in Newark.  It’s been flipped more than a pancake!

When we make pancakes, we only have to flip them once.  And they stay flipped.

Stainless and granite.  In Newark.  We’re thinking if they’re going to decorate like it’s 2005, maybe they should price it like it’s 2005 too.

Yesterday we showcased the cheapest house we could find in Napa County.  Today we continue with our vineyard labors.  Except, we’re late to the grape-stomping.  Burbed reader JL sent this one in a couple months ago and we’re only now getting to it.  We apologize to all our readers who would have bought this house instantly if only we had featured it sooner.

18069 VINEYARD Rd
Castro Valley, CA 94546
Sold for $475,000

4 Beds 
2 Baths 
1,991 Sq. Ft.
$239 / Sq. Ft.
Built: 1960 
Lot Size: 10,125 Sq. Ft. 
Sold On: Nov 16, 2012
Status: Sold
Type: Detached
Stories: 2
Community: Castro Valley
MLS#: 40589131
Style: Contemporary
View: Valley
County: Alameda

Beautiful upper Castro Valley home with a great private backyard that has valley views. The property has a new roof, interior doors, paint, carpet, laminate flooring, and other miscelaneous improvements recently performed. A must see!!

Here’s why JL shared this house with us.

This one is not all that notable, other than that it’s a really ugly house. But the street view REALLY sells it.

Of course it’s notable! It’s on a street with a name straight out of Napa County, which makes us wonder why the trellis is so bare. 

Yet like yesterday’s home, the photographer gives us some of those artistic stairway views.  Plus the kitchen shot is completely awesome, that is if by awesome we actually mean another word that starts with “aw.”

The street view, you say?

Indeed.  These must be the “other miscelaneous improvements.”

We’re not just having Black Friday deals, we’ve got the cheapest housing all throughout the Bay!  Today we’re looking for the cheapest house in Alameda County.

Think you can’t afford a house? Boom. You could buy this one and still have enough left over for… oh… ANOTHER HOUSE.  The argument e-store is now offline.

1351 91ST Ave
Oakland, CA 94603
$39,888

1 Beds 
1 Baths 
634 Sq. Ft.
$63 / Sq. Ft.
Built: 1927 
Lot Size: 2,725 Sq. Ft. 
On Redfin: 5 days
Status: New
Type: Detached
Stories: 1
County: Alameda
Style: Traditional
Community: Oakland
MLS#: 40596586

Nice started home, good for investor. Bring your offers

That’s right! Bring it!  When you do, maybe you can figure out what’s in the structure in the back and why the roof looks, um, distressed.

They did say it was a nice started home. You just have to figure out what they started.  But look on the bright side.  It’s a gated community!

It’s a new month, Spring Bounce is just around the corner, and the Real Bay Area continues to be awesome sauce.  But what about those outside the Zone of Ever-Climbing Real Estate Values? Let’s check in with Burbed reader J from Alameda, who found something in the treat bag for us.

1315 Court St
Alameda, CA 94501
$970,000

Loan Payment:  $3,377/mo
Bedrooms:  4
Bathrooms:  4&1/2
Size:  3,193 sqft
$/Sqft:  $303/sqft
Type:  Single Family House
Year Built:  1905
Lot Size:  4,000
Days on Movoto:  14 days
MLS#:  40593343
Status:  Active

Beautiful Remodel. New Kitchen with Granite and SS appliance. Shining New Bathrooms remodeled w/ Marble. Elegant Dark Engineered wood floors. New Plush Carpet. New Paint Inside & Out. New Roof. All make this property shine. Open House Sat 1-4

Good news! We’d hoped a house that’s 107 years old would have at least one appliance eligible for Social Security.  Better buy it quick before Congress decides to implement Dishwasher Death Panels.  We hope the paneling will match the engineered floors.

Here’s what J thought about this property:

Here is a question to ponder: investor buys house. Puts some money into it. Then ups the price – was it $400,000? No, more. Be that as it may, for that huge profit, do you think they could hire a real photographer? One with a clean lens (photo 9)? Who can take a bathroom photo without appearing in it (photo 10)? This is in a lovely neighborhood but I predict it will sit. Something about that 3,000+ sf house on a 4,000 sf lot does not bode well.

It looks like its raining in photo 9.

It’s raining instant equity!  Bunus: Buy this house for almost a million dollars and you get to choose whatever washer and dryer you want!  That’s right, hookups only.  Super Bunus: Zillow sez: “This home is done! Just move in your belongings!”  Laundry appliances are belongings, too.