Builder Blues
We’ve all heard of buyer’s remorse – but what about builder’s remorse? It would be an understatement to say that homebuilders have enjoyed their share of profits during the housing boom. As real estate is cyclical, those builders that moved in early to purchase empty lots and tear-downs in 2004 and 2005 have done very well – maxing out lot lines and squeezing the most profit out of new construction for hungry buyers during the peak of the market. The builders that paid for overpriced, overvalued shacks in 2006 and 2007 are now experiencing the sobering reality that all bubbles must burst – and the current supply of spec houses way outnumbers the demand.
The following listings are examples of builder’s remorse: get out and recoup what you can before sinking deeper into the hole. Many of these are listed at, or just slightly above, the original purchase price. For those of you looking for land to build your dream home, the Builder Blues might translate into a Builder Bargain!
844 Lake Washington Blvd NE, Bellevue
MLS 28031721
Last purchase: $929,900 (08/07/2007)
Current price: $949,000
7852 NE 14th St, Medina
MLS 28019314
Last purchase: $1,250,000 (07/31/2007)
Current price: $1,100,000
8650 NE 7th St, Medina
MLS 28037813
Last purchase: $1,249,950 (01/12/2007)
Current price: $955,000
9827 NE 14th St, Bellevue
MLS 28061466
Last purchase: $1,050,000 (08/14/2006)
Current price: $925,000
3108 92nd Ave NE, Clyde Hill
MLS 28056873
Last purchase: $825,000 (12/01/2006)
Current price: $999,000
