Blog Update Last year this same home was listed for $209,000- and I put together my assessment below- The home did not sell, not surprising! Same tenant lives in it a year later, and the seller is once again got it on the market, but now the price is $10,000 more than last year.
No video for this tenant occupied rental. Tenant pays $1100 per month. Limited parking, home is in poor condition. Yet another fixer is the Grass Valley market, very similar to the several we have already been looking at over on Second Street. A little better than the bank owned home on Mill. Puts everything in perspective. Check out previous blog entries to see where this one fits into the matrix of fixers and investment property under $250,000.
The strong hand of a contractor has made this sow’s ear into a silk purse. A year ago this was just a shell, and needed everything. The contractor came in, got the floor plan right with all new interior walls and staircase, redid the plumbing and electrical, added new windows and doors, and put in some nice finishes. I doubt he spent less than $75,000 not including the labor. Because the house started out with no sheet rock and no interior walls, there was not much demolition, and my guess is the contractor did not find any “surprise” damage when he got to work on the rehab. This was basically an unfinished shell when he took over, and now it is a complete house. In Grass Valley this same house would be right around $300,000. In North San Juan the market is weaker, demand is a less, and buyers require a discount to be tempted to live out in the rural community. But I am certain someone will see the value of this home and purchase it. Just have to keep an eye on the sales price to know what market place says the discount between a Grass Valley home and similar home in North San Juan
The North San Juan market is always a bit difficult to predict. There are some very high end homes on large private parcels that get priced equal to any other location in the county. There are also shacks and sheds on dirt roads, they also hit the same price point for sales as other remote locations in the Nevada County. What is not typical of any other location in Nevada County is the small neighborhood right near the North San Juan post office, and the surrounding area where homes tend to be older and on city lot size parcels, similar to some of the shabbier neighborhoods in Grass Valley, except for the location is 30 minutes from Grass Valley! There are not that many home that fit this rarified description, but when one comes on the market they are extremely tough to price. If this same home was in Grass Valley, and there are plenty of homes like this one in the city of Grass Valley, it would be easy to price it. I have reviewed dozens like this one over the last year or so, and $217,000 would be a decent price. That’s just about what you would expect for a home like this, on this size lot, walking distance to downtown Grass Valley. But what do we make of this same house in North San Juan? Buyers, of course, will make that decision. At the Corner Office, we watch and report, and see what happens when this one sells.
When looking under $250,000 I see a large number of these older manufactured homes, often times, like this one, they are on post and peer foundations, and have lots of deferred maintenance. This one is typical. What is not typical is the frontage on Deer Creek. The location is almost at the corner of Bitney Springs and Newtown, so there is a bit of road noise, but you can’t see the road, and I doubt you would hear much late at night or early in the morning. There is one neighbor on the same access driveway, but the neighbor’s home appears to be in equal disrepair and not currently occupied. The road in a bit rough, looks like it might flood during the winter, but the house is up on a ridge well above the riparian area, so the home looks comfortably free from potential river flooding. The home itself looks and needs an extreme make-over, and I don’t anything about the well or septic, but the location is idyllic, with sound of the river permeating the home, and big windows looking out to the water. Without inspections there is no way to put a value on the mobile, but the land is probably worth $150,000 to $175,000, which means the property is likely priced fairly close to fair market, or maybe just a little over. (Figure the mobile is worth $30,000 or so.)
This is nice 2.9 acre property, but the creek run along the road, so the only part of the property that is accessible is a narrow strip between the road and the creek. There is no bridge, and no vehicle access to the larger portion of the property on the far side of the creek. County records show this cabin was originally built in the 1960’s before setbacks from the riparian area were strictly enforced, and when build permits were lax. But the records show that the current owner got a building permit in 2015, but the permit was never acted on, and has since expired. It is doubtful that the county would make a new owner remove the home, but they might not be willing to issue a permit either. The home is clearly in danger of flooding, with the edge of the foundation just inches away from the creek. Perhaps more of challenge will be the location of a septic system. The property is not wide enough to get a septic system far enough away from the creek and not be inside the setback from the street. There are always work-arounds for these kinds of problems, but there might be additional costs and engineering fees that would make this home a money pit.