Is Half A Bath Worth $70,000?

Scotsman

Here's two essentially identical homes, within half a block of each other, that differ in price by $70,000. The bad news is neither is selling. But I bet one guy really hates the other by now. They're in Trossachs, a neighborhood that bloomed during the peak from 2004 to 2007. It's an interesting study in pricing with many essentially identical homes but varied pricing. My guess is a lot of these folks are suffering significant equity losses, and I personally know a couple that are upside down by at least 10% of the original purchase price.

http://www.johnlscott.com/propertydetai ... D=30990559

http://www.johnlscott.com/propertydetai ... D=31652925

Civil Servant

I think this is going to be another factor that will shortly spell pain for builders – the similarity of floor plans of so many of these new-construction houses (as here) and townhouses makes it easy for buyers to comparison-shop and ask questions like this. For instance, from what I've seen both on Redfin and at friends' places, one townhouse design in particular is very dominant. So buyers who want a townhouse can figure out exactly what they're willing to pay for 5% more square footage, the extra half-bath, a view, a commute that will be ten minutes shorter, whatever – and especially as the market declines, they'll be able to drive harder bargains. Because if a seller balks, they know they can get something only slightly suboptimal, and not appreciably different, nearby and for less money.