[villagerjack]

Still a huge profit in 3-4 years. CYV with golf course front are hard to come by. Only about 5-6 on the market at any one time. But this price seems way above the norm. It will be interesting to see the reaction of present owners of CYV on the golf course. There is a great one for sale in Bonita Villas for $399,000. It is a FSBO but not listed anywhere but ZILLOW. Address is 1093 Cottageville Lane. I believe one of the owners passed away.

[kstew43]

Originally Posted by obxgal

The bond isn't paid off. Wow

i know.....really......strange.....

[kstew43]

Originally Posted by manaboutown

I find it quite interesting that it is an all cash deal. There may be much more to the story. I wonder what the property taxes will turn out to be.

it would have to be all cash......i dont think even the tricky sales pros from the villages sales department could get a appraiser to agree to that price....

the mortgage banker would have to be crazy to put that mortgage thru to underwriting....

[Barefoot]

Originally Posted by kstew43

it would have to be all cash......i dont think even the tricky sales pros from the villages sales department could get a appraiser to agree to that price.... the mortgage banker would have to be crazy to put that mortgage thru to underwriting....

According to the online newspaper, the CYV is directly on Lake Sumter with an oversized lot, pool and waterfall.
Market value is what purchasers are willing to pay. There were multiple offers.
It's a cash deal. I doubt they are worried about a mortgage.
According to the online newspaper article, taxes are $5,083.

[janmcn]

Originally Posted by Barefoot

According to the online newspaper, the CYV is directly on Lake Sumter with a pool and waterfall.
Market value is what purchasers are willing to pay, and there were several offers.
It's a cash deal. I doubt they are worried about a mortgage.

Hopefully they are not worried about insurance either. No way any insurance company would insure it for what they paid for it.

[asianthree]

Originally Posted by kstew43

i know.....really......strange.....

Not strange if they were going to sell in the next 5 years

[villagerjack]

Originally Posted by janmcn

Hopefully they are not worried about insurance either. No way any insurance company would insure it for what they paid for it.

If they insure for replacement cost, does it matter?

[villagerjack]

Originally Posted by maddie101

Yes, THEY VALUED IT. THE APPRAISAL WAS LESS AND THEY HAVE TO PAY CASH. Was this sold with all furnishings?

Bank could approve a mortgage for 80% of the appraisal value.

[raynan]

Must have been a bidding war. We had one on our street but nowhere near that kind of money.

[graciegirl]

Originally Posted by kstew43

it would have to be all cash......i dont think even the tricky sales pros from the villages sales department could get a appraiser to agree to that price....

the mortgage banker would have to be crazy to put that mortgage thru to underwriting....

WHAT tricky sales pros from the Villages Sales Department.????????

Good GRIEF! I wonder what our good and decent pro Jim McLaughlin feels about that? I can't let that go unchallenged, even if M brings up again that she thinks I work for the developer.

You know, I think this is the time of the year for negativity...and I don't like it.

[kstew43]

when we purchased our home in the villages a few years ago, we were informed by the villages sales pro that we will be hard pressed to get a typical bank appraiser to appraise our new home. He strongly suggested that we use the villages owned mortgage company. we informed him the villages mortgage company does NOT have competitive rates and we were going outside the villagesowned companys to obtain a mortgage.

once again he explained that my bank appraisal would be not impossible, but highly unlikey for my mortgage to go to underwriting/closing within the 30 days to obtain the asking price of the home. Thus the price of the home would go up for eveyday it did not close and if i remember correctly it was about 3k for a 2 week addition for mortgage completion.

so.....he specifically said, your bank appraiser would not appraise the new home and it would take time for the VLS to convince my banks appraiser into seeing the villages price point...

needless to say, we went with a resale and did not pay a dime over the appraisal....as it should be.

ps......appraisals do not include furniture......appliances yes....furniture no.....

i'm not making this stuff up....that was reality.....

[villagerjack]

. Some of these negative stories really confound me. Not just the comment but the angry tones.

[Buffalo Jim]

In my lengthy career as a Commercial Banker I have seen this type of transaction a few times
1 ] No , I doubt very much that such a transaction even if for " cash " is anything close to a " Money-laundering " scheme . Calling a purchase of real estate a ' cash " deal only means that there is no loan involved to acquire the property . Even a " money-launderer would not be making this public type of transaction with a suit-case full of cash

2] usually when you come across this type of situation there is another " part of the deal " involving a separate piece of income producing real estate or as is often the case a viable successful ongoing business .

3] The " other " part of the deal involves selling say an ongoing business at it`s " Net asset value " which leaves no capital gains to be subject to income taxes . The " Cash flow " value of the business say in this case about $500,000 is added into the price of a home residence .

4] Recall that a Homeowner over the age of 55 who has lived in their residence for 2 years or more can claim a one time tax exemption for the Capital Gains they might realize upon sale of their home .

5] So......... say I own a business which at market is worth about $750,000 as a going concern . say the physical assets of the business are worth about $250,000 . if I sold the business for $750K , I would be subject to long term gain taxes on the $500K over and above the book value which is $250K .

6] So as part of my negotiations I agree to sell the business for only $250K [ book value ] , if and only if the buyer also agreed to purchase my residence for $500K more than it might be appraised for .

7] Net result , I sell my business and my residence and avoid any Capital Gain Taxes .

8 ] Now before every former CPA , Lawyer et al come at me : I have seen this done in " real life " 2 or 3 times . The deals took place in the Buffalo area and also took place almost 10 years ago . So I would not be in the least bit surprised if the " Tax -Folks " have by now figured out how to prevent such structured transactions . Then again ..................

[Topspinmo]

Edgewater Bungalows are exclusive part of the villages and in prime location. I bet few homes in that area sell for less than 500K and some probably more than this one. Just across the street in Creekside Landing the normal small CYV sell for 300K or slightly less and some probably will want more. So who cares what someone else paid? It's none of my business

[beachx4me]

Wow, that is a shocker. Makes me think we can do okay selling ours in the not to distant future. We have a designer, in a cul-de-sac, on a championship golf course, on water and have a swimming pool. I guess if it is something someone wants they will pay for it (at least to some degree)!!!!