After a series of price reductions, it finally came down to $1,250,000 in June 2008 and dropped again to $1,175,000 in late September 2009.
This home has 3,000 sf of living space, a three car garage and sits on a 14,850 sf lot. When you calculate it out on a per living square foot basis, this home was listed at $392/sf. That is an amazingly low price for the Wellesley - Edgewood Park neighborhood even in this slow market. Rarely does anything sell for under $500/sf of living space in this Neighborhood, even when the lots are about half the size. Recent real estate activity on a busy street like Whipple faired better than this Wellesley Park home.
While it is true that this home needs some renovation and updating, given its size and location, there would appear to be some potential for recovering the additional investment spent to improve this home if you don't go crazy.
Another data point is 150 Warwick which is just a couple blocks up. This Redwood City home sold in January 2009 for $895,000. Warwick was an old 1,230 sf house on a 6,750 sf lot. Someone paid $895,000 for a lot half the size of the Wellesley since 150 Warwick was basically scraped and a new home is now being built in its place.
In addition, 197 Wellesley offers tax savings not available with the majority of other homes in Redwood City. This home is a registered Redwood City historical landmark. Its property taxes are discounted because the owner cannot alter the exterior in any significant way. Given that the new owner could possibly only pay about half of the property taxes levied against a similar priced home, this is like getting another $100,000 discount (accounting for the income tax deductions) when you prorated as a monthly payment for a mortgage.
It's a good value proposition and I remain surprised that no one bought it!
