Antioch: Tract Home Trap?

I can remember back in 1970 when my parents bought a brand new tract home in what had been farm land, just off the Dumbarton Bridge in Newark. That was the thing to do back then and the only affordable way for my folks to buy a house, VHA loan and all. As time has passed and land become scarce, it is rare to see large tracts of new homes being built like that in the core Bay Area counties, save for south Santa Clara County. But it is something you still see in Solano and Contra Costa County, which brings me to today’s Daily Stat Board leader in the Rivergate subdivision of Antioch. We have a 1,862 square foot, 3 bedroom, 2 bath single-story home at 5637 Leitrim Way. Described as semi-custom, it is two years old and looks to be in very good shape with hardwood floors, arched doorways, granite counters, and a rose garden. Two things struck me about this property, one good and one bad. The good news is that the financing is available and that the owner is offering a lease-option, good for those without the required down payment. The bad news depends upon the accuracy of both Virtual Earth and Yahoo maps. Both show that this is a development that didn’t finish developing. The most recent of these map images shows you would have a few neighbors to your right and left and even across the street, 34 by my count, but that approximately 60 lots sit vacant in this subdivision two years after this home was built. Failing to build almost two-thirds of homes says a lot about the market, and does not bode well for increasing equity in your home. If, in fact, the builder begins construction, buyers are more likely to purchase a new home where they can choose colors, tile, carpeting, etc., rather than an existing new home. This means that you would need to be in it for the long haul, and by long, I mean five, ten years or more.

Recent Sweet Digs Bay Area Posts:
Palo Alto: Almost a “Buyers Market”
Ahead of the pack – Bay Area foreclosures higher than rest of the US
Dublin: Homes Sold
Urban Delight: Santana Row Loft FSBO for Only $678K
Berkeley & Oakland: Market Snapshots