Good Foreclosure, Bad Foreclosure?
Sort of like the old saying “Good cop, bad cop” our Gatlinburg area real estate market has both well behaving and misbehaving foreclosure properties. Sterling examples of this dichotomy were produced last week as we had both extremes present in new properties that we were assigned. Although they haven’t been priced yet I thought I would write just a bit about these two Smoky Mountain properties, which I will call the “Beauty” and the “Beast”.
The “Beauty” is a 3 bedroom, 3 bath true log structure with 3 levels of elegant construction and quality finishes such as granite counter tops and other upgrades. Located between Pigeon Forge and Gatlinburg it boasts a very nice view of the National Park and Mt. LeConte. The house is NOT set on a postage stamp sized lot (nearly 1/2 an acre) and has excellent surroundings of similar upscale homes. Originally selling for over $400,000, this approximately 2200 square foot home will likely be offered for sale by us as agents for the bank at a fraction of the original sales price. Here is a preliminary photo of the “Beauty”:
The “Beast” is a totally different home that has significant structural issues. Also a log cabin style construction, this property has a foundation “wing” wall that has broken loose from the “stem” wall and caused significant damage to the parking area. Although it can certainly be repaired the cost will be significant. Although the total expense is not yet known I believe that it will likely be in excess of $10,000. We are not yet sure if this repair will be underwritten by the bank but suspect that will be the case. If it is repaired this home which was recently built (2006) and features 3 bedrooms (1 is actually a loft), a game room, and 3 full baths is otherwise very attractive. Located only about a mile from the “Beauty” this home will likely be priced very aggressively but we don’t yet have that price. Here are a couple of photos of the home that we are at least for the time being referring to as the “Beast”:
The failed wall and the resulting near landslide of the adjacent corner of the parking area are items that will put off most buyers. Although both of these vacation homes are Gatlinburg area foreclosure real estate that is about all they have in common. Which one has the most potential as a Smoky Mountain real estate investment? Guess it depends on how much risk a buyer is willing to take and how much work they want to do. The “Beast” may in fact end up being a better investment if it is priced aggressively enough. If you are looking for a great real estate investment here in the Gatlinburg, Pigeon Forge, or Sevierville area please email us!