Sunday, February 9, 2014

Preservation Perspective: Why we do not pay 500K for a 'fixer' in Cincinnati

photo courtesy SF MLS

A rare occurrence this week in San Francisco! A house hit the market UNDER 500K!
this 2 bedroom 1 1/2 bath home in Daly City,  (not the best neighborhood in the bay area) just hit the market at the "bargain  basement" price of ONLY 460,000.00. It has a home depot door and cheap plastic windows.

Now before you say "no idiot would pay 460K for that", local real estate experts there actually are predicting the house will sell for considerable more and expect a "bidding war". Oh and you will need cash as they won't wait for you to get a loan.

Of course that just the entrance price to live in San Francisco, err Daly City. The house will probably need another 3-400 K for seismic retrofit, not to mention hundreds of thousands in restoration costs. At the end of the day the "lucky owner" of this home will have spend well over a million dollars. Did I mention is doesn't even have central air conditioning?

Why? Well owning a house in the bay area is a big deal, Owning a "Victorian house' is even a bigger deal. San Francisco began saving Victorian homes in the 1970's and 1980's. They realized the value of architecture to define a city. The city is a major tourist venue and millions of dollars enter the economy daily because people travel to San Francisco to see the architecture.

Contrast that with the 250 Homes Cincinnati will demo as part of "blight abatement" or all the homes we are tearing down for the Lick Run 'ditch' project. Cities that embrace their architectural heritage, san Francisco, Charleston, New Orleans, Savannah, thrive.

Cities that do not embrace their architecture? Well, that's called Cincinnati.

Look around people, wake up and smell the coffee. We can be a great city... or we can be Detroit.

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