10967 Shana Way, Grass Valley Bank Owned Fixer on 2.4 acres, listed by HUD at $266,000

Located just outside the Alta Sierra subdivision this three story home has been long time neglected, and is in its second cycle of repossession in the last five years. Purchased by an investor in 2013, it looks like a bit of work might have been done, but all the major defects remain. The looks like it was built by an owner-builder, with eclectic tastes for the floor plan and finishes, and substandard construction techniques throughout.
We often time here the expression, “the home needs work, but it has good bone” meaning that the home might need updating, but frame, foundation, and roof are solid. This home is not one of those homes. Visually, I observe multiple instances of shoddy construction, and structural issues that will require engineering and new permits to make the repairs. There is no upper limit on what it might cost to get this home up to the standard of resale of rental. It would take numerous investigations by professionals to determine exactly what is wrong with this house and what it would take to fix it. I suspect the buyer who purchased it out of foreclosure in 2013 purchased the home without the benefit of many inspections, and only after they started do make repairs did the daunting nature of the true condition of the home reveal itself, at which point they cut their loses and walked away. It is worth noting that in 2013, the buyer paid $215,000. Even at that price, you can’t make a profit on this house, how on earth would somebody paying $266,000 make this work? I am guessing the sales price will fall below $250,000, but as always, we watch and see what happens.

Author: gordon

Nevada County Resident since 1988. Painting and Decorating Contractor 1985-2003 Nevada County Realtor Since 2004 Member of the Nevada County Masters Club (top producing agent) Every Year Since 2004

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