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In Palo Alto, it's easy to speculate with empty plots of land. Example: http://www.zillow.com/homedetails/2240-Columbia-St-Palo-Alto-CA-94306/19504874_zpid/ h
by kqr2 11y ago
In Palo Alto, it's easy to speculate with empty plots of land.
Example:
http://www.zillow.com/homedetails/2240-Columbia-St-Palo-Alto-CA-94306/19504874_zpid/ http://www.zillow.com/homedetails/2240-Columbia-St-Palo-Alto...
The owner of this plot was able to hold onto a huge empty lot (with weeds) for ~$1000 a year in property taxes until 2014 when it was sold for more than $2 million with an original purchase price probably under $30 thousand. In less than one year, it was flipped for $3.3 million.
06/01/15 Sold $3,300,000+56.0%
08/15/14 Sold $2,115,000+41.5%
07/21/14 Listed for sale $1,495,000
- prostoalex 11y ago> it's easy to speculate with empty plots of land. It's easy once you pony up the cash (land loans are generally in 70-75% range, 80% is an exception, so one needs to have the 25-30%), have a credit history that's good enough for the bank to approve the other 70-75%, willing to take a hit on the property tax (~1% annual), and will generally be okay and have other sources of income if the market were to cool down or take a dive.