If you live in Belwood or the Belgatos or Surmont areas of east Los Gatos, you probably have at least a general idea of neighborhood values. Homes here generally sell between 1 and 2 million.
Apparently, not always.
On November 8th, the little fixer at 301 Belblossom Drive, Los Gatos 95032 closed escrow at $757,000.
True, it needed lots of work and could only offer 1430 square feet.
But was it really all that bad?
I don’t think so.
So what went wrong?
The timing was tough – the money supply was tightened up considerably in August and September and that set a difficult tone for the fall.
Right now, the homes that are selling usually are completely fixed up, priced aggressively, marketed well, and are in the best school districts. Eliminate one or more of these and you have problems selling.
This particular sale was a trustee situation, where family members were selling after the death of a parent or relative. In those cases, often the sellers really don’t want to or cannot do improvements. So the homes are sold in less than ideal condition. For buyers with imagination, it’s a great opportunity!
Luckily, this is only one home in the neighborhood, the size is different enough that it will not impact most home sales in the area over the next six months. But for smaller homes in east Los Gatos that are within a mile or so of Beglatos Road and Belblossom, it will create a sting for the next half year. Knowing the circumstances will help any appraisal issues if there’s a sale.
And in time, this too shall pass.