In addition to rolling out (mostly) refundable purchase deposits, it appears that the Homes on Esprit Park sales office has rolled out another round of reductions as well.
The list price for 900 Minnesota #S503 has been reduced from $1,293,500 to $1,199,000 (7.3%), the list price for 900 Minnesota #S122 has been reduced from $781,000 to $740,000 (now under $600 per square), and the list price for 900 Minnesota #S116 has been reduced from $613,000 to $582,000 (now under six hundered thousand).
And if our counts are correct, roughly 35% of the 142 units are now in contract, up from 25% in May, and representing a little under three net new contracts a month (with just over 90 to go).
∙ Listing: 900 Minnesota #S116 (1/1.5) – $582,000 [MLS]
∙ Listing: 900 Minnesota #S122 (1/2) – $740,000 [MLS]
∙ Listing: 900 Minnesota #S503 (2/2.5) – $1,199,000 [MLS]
∙ Homes On Esprit Park: Now Offering Refundable Purchase Deposits [SocketSite]
∙ Homes On Esprit Park (900 Minnesota) Sales Update: 25% In Contract [SocketSite]
I’ve bought the unit at initial asking price….haven’t closed the escrow yet. I’m in great dilemma now…how does this reduction affect the dynamics of my home value – should I ask for that reduction as well or back out?
You should DEFINITELY ask for the reduction — it never hurts to ask, right?
They should go ahead and slash these prices 15% instead of 7%, or they will never sell these out. otherwise they are going to keep slashing 7% + 7% +7% ad finitum.
i think a quick big slash will mvoe some units
WALK AWAY! Tell them you are going to walk away if they don’t lower your price. If they don’t, walk away and go back in 6 months. With them selling 3 a month, they have a long way before it’s sold out. You are lucky you didn’t close escrow yet!
@ BOO
What are you going to do with your unit at Esprit Park?
These market conditions hurt everyone, buyers and sellers. But you signed a contract. You will have to perform on that contract and/or expect to lose your deposit and arbitrate depending on how it’s structured. You can always ask, but I can’t see why they would just give away value when they’re hurting already.
@j,
I’m closing escrow but I’m going to ask for a few things before I do. But I got a good enough price on my unit that I’m fine with it.
Interesting timing though on the reductions considering the developer invited contract holders to have a few drinks at the complex this evening. Some folks are going to be upset as I think espbuyer is.
Espbuyer, you say you bought at orignal asking price… as in original from about a year ago? I thought the first contacts had price guarantees? Or maybe you came in after that?
Truth is, I’ve been checking the McGuire website as well as mls and I’ve seen these prices before for the smaller 1/1.5’s but not the 1200 sf 1/2’s. And I haven’t been following the units over $1MM because that’s way out of my range. McGuire hasn’t done a real great job at listing the units and matching prices between mls and their website. And as of last week they had units listed as 2/2’s that were 1/1.5’s according to the Esprit website.
But it’s also been the case that the bottom floor 1/1.5’s have always been listed less than upper floors. And north facing lower than south facing. But I’ve definately seen the bottom floors listed at this price before.
I think the large 1/2’s are tough to sell considering in the end it’s just a big one bedroom for three quarters of a million bucks. But there are DINKs out there that might like it and maybe makes sense for them long term. who knows.
2bdr 2ba in this complex will eventually sell below 600K. might as well wait.
looking at the MLS, seems some units/types have taken public reductions, some have not. striking variation in price/sq ft from <600 to >800. do you think that will all settle out at a uniform price/sq ft or will more desirable units command that much of a premium?
ephbuyer wrote, “I’ve bought the unit at initial asking price….haven’t closed the escrow yet. I’m in great dilemma now…how does this reduction affect the dynamics of my home value – should I ask for that reduction as well or back out?”
Be sure to read this thread:
https://socketsite.com/archives/2008/10/homes_on_esprit_park_now_offering_refundable_purchase_d.html
On there, at least one person claimed that refunds are being offered to everyone. Please let us know if that’s not the case.
ephbuyer:
Ask for the reduction. Know that the location is a good long run location, but you may suffer a bit if you have to sell in the next few years. But in the long run, with all that is planned along 3rd, it is a good location.
Thanks for all your comments…..
I’m a buyer who took up their “offer” to get out of the contract for return of 75% of my deposit — and guess what! I was told that the offer only applied to those who signed a contract on Oct 8 or later. That’s not what the email said: there were no conditions whatsoever stated in that communication. So now I have a fight on my hands. Did anyone else planning to close escrow accept their offer? As far as I’m concerned,it modified the terms of the contract, and I don’t see how they can get out of it.
Very sorry to hear that Patsy, especially hearing the developers comments on how “The units should sell themselves” in response to statement regarding this offer made by a buyer. Not to mention their overwhelming talk of “building a community”. Only an attempt to increase % sold..
I didn’t see any dates or restrictions on the offer either, seems odd they would email the offer to those who are not eligible…
What made you decide to go for the offer ?
interesting turn of events. maybe they are getting really worried now?
clearly these units are not selling well at the current asking prices. of course likely no project could sell really well in this environment, but what do you think a real “clearing price” would be for these places now? I do like the location and look and feel