Some of you might think that I purposely seek out undesirable overpriced properties in Arcadia for the sake of bashing them. This is absolutely not the case.

SavedbyGrace and I have profiled many homes that we love along with highlighting some of the best neighborhoods in the city. It just so happens that while many of these properties are great, they are not worth the $1MM+ price tags that come bundled with it!

I will go ahead and profile one of the newest Arcadia listings. Listing price? A cool $980,000.

1031 Loma Verde Dr.
Arcadia, CA 91006

Price: $980,000 ($450 per sq. ft.)

• Beds: 4
• Baths: 1.75
• Sq. Ft.: 2,180
• Lot Size: 10,112 Sq. Ft.

A decent sized home sitting on 10,112sf of land. From the photos it looks well maintained and 9 out of 10 local Realtors would tell you that its North-of-the-210 location commands at least $900k – $1MM.

Except for one thing – It’s virtually standing on top of that freeway!

This is the third listing the past week that features freeway-loaded properties. Are these sellers just realizing that the market is tanking and their properties will be significantly impacted?

The current owner bought this home back in 2004 for $758,000. Now he’s trying to unload it for a $222,000 premium. Unfortunately, he’s a little late to the party and I expect to see multiple price reductions in the near future.

This home isn’t worth more than $700,000 ($321/sf). With an adjustment back to 2002/2003 prices, $650,000 ($298/sf) seems like a realistic value 2-3 years from now.

348 Oxford Dr.
Arcadia, CA 91007

Price: $990,000 ($430 per sq. ft.)

• Beds: 3
• Baths: 1.75
• Sq. Ft.: 2,300
• Lot Size: 0.32 Acres

I really like this home, its ranch design and location. Although the property is sitting on a third of an acre, the 2,300sf home is built in such a way that it maintains curb appeal and still has room in the backyard for entertaining family and guests. Its landscaping is pretty simple but very well maintained. My only complaint is the proximity to the 210fwy.

And yet, as much as I like this property in the Colorado Oaks community, I would not spend $1MM for it. It last sold for $420,000 in 1997 and if we applied the standard appreciation table…

$420,000 after 11 years

3% $581,378
4% $646,570
5% $718,342
6% $797,285

So it would take an above-average appreciation rate for this property to be worth just $800,000 today; still $200k less than the current asking price. That gives us a $347/sf valuation.

Given the location and condition of this home, I’d say $800k is a fair asking price and would definitely attract many interested buyers.

303 Joyce Ave.
Arcadia, CA 91006

Price: $999,000 ($301 per sq. ft.)

• Beds: 4
• Baths: 5
• Sq. Ft.: 3,324
• Lot Size: 8,999 Sq. Ft.

At first glance, this home seems like a great deal. $1MM for a 3,324sf “custom-built” 2003 McMansion. Aside from the usual overbuilt living area, this owner opted for more garage space:

There is a 4 car detachable garage with the add-on full bath and can easily add a one bedroom complex to the property.

But there’s always a catch, isn’t there?

#1 – Property is overbuilt.

If you take a look at the aerial, there’s virtually no green yard left. Concrete driveways dominate the leftover open space on this property.

#2 – Location, Location, Location

I guess one lucky buyer will be able to enjoy soothing sounds from the 210hwy.

I find that valuing these types of properties very difficult due to its proximity to the freeway. I am certain that the lower dollars per square foot will attract certain buyers. Even at $250/sf, we’re looking at a sales price of $831,000. Would you spend that much money to live next to the 210?

What is your $5MM dream home? Would it be an ocean-view Mediterranean Villa in Newport Coast?

Perhaps you’re a Hollywood star and prefer a modest 2 acre Malibu estate?

For the city dwellers, Los Angeles’ Avenue of the Stars offer many luxury high-rise condos.

Of course, if you love the San Gabriel Valley, its “city view” and want tons of unusable land, then Monrovia has a treat for you!

333 N. Madison Ave.
Monrovia, CA 91016

Price: $5,800,000 ($1,328 per sq. ft.)

• Beds: 4
• Baths: 2.25
• Sq. Ft.: 4,368
• Lot Size: 44 Acres

From the description:

A great opportunity for builders. This is a special, one of a kind property, high above the City of Monrovia.

I’m not sure what’s going on here but $5MM+ can buy some very fine homes within SoCal’s most prestigious areas. As for builders? Who in their right mind would risk building Monrovia tract homes in this real estate market?

San Marino. A city known for its large lots, strict zoning laws, specific architectural design standards and the intent on keeping things the way they are. This is the city that people always compare South Pasadena to, but never the other way around. If you want to talk about old money, new money and foreign money, then look here first. As some of you pointed out earlier this week, Arcadia is for the leftover poor-rich folks.

And those concerned with education? San Marino Unified schools are consistently ranked among the top California public institutions.

With a median sales price of $1,940,000 in May, you can expect to pay an arm and a leg to call this city your home. Because there are no apartments in San Marino, wannabe posers are not welcomed.

1365 S San Gabriel Blvd.
San Marino, CA 91108

Price: $1,035,188 ($526 per sq. ft.)

• Beds: 2
• Baths: 1.5
• Sq. Ft.: 1,968
• Lot Size: 10,500 Sq. Ft.

A $1MM home in San Marino is on the “lower end” on the median so you should expect to make compromises. This home sits on the busy section of San Gabriel Blvd. just south of Huntington. This is more like North San Gabriel and appears to be very old and in major need of a gut+remodel.

Of course, we can conclude that this home may not even be worth $1,035,188. Just look at the listing price history:

Listing History

Jan 24, 2008	$1,098,888
Feb 09, 2008	$1,049,888
Feb 23, 2008	$1,050,000
Mar 01, 2008	$1,060,000
Apr 07, 2008	$1,081,888
May 13, 2008	$1,020,000
Jun 11, 2008	$1,030,000
Jun 22, 2008	$1,035,188

2225 S Los Robles Ave.
San Marino, CA 91108

Price: $1,049,000 ($589 per sq. ft.)

• Beds: 3
• Baths: 2
• Sq. Ft.: 1,782
• Lot Size: 8,967 Sq. Ft.

While the first property was bordering North San Gabriel, this one is close to North Alhambra. It’s a very charming property built in 1956.

Based on the previous sales price, this home is no doubt overpriced. Some flipper bought it for $805,000 in February 2008 and now trying to make a quarter million dollar profit after 5 months. WTH.

There are a ton of million dollar properties in San Marino in similar condition as these two: old, sub-prime condition and overpriced. I promise that we will see much nicer properties once I start comparing $2MM+ homes!

Yesterday we got a taste of desirable South Pasadena and its $1MM homes versus Arcadia’s. Today, let’s pull a 180 turn and check out $1MM properties on the other side of town. Yes, even though I often bash Monrovia due to its recent crime problems and school ranking performance, some 37,000+ people still call it home.

As you can see, Monrovia borders Arcadia and carries its share of mountain-side homes.

We already know what $1MM can buy you in Arcadia, so let’s see how far your money will go here:

140 E Hillcrest Blvd.
Monrovia, CA 91016

Price: $995,000 ($249 per sq. ft.)

• Beds: 4
• Baths: 4.25
• Sq. Ft.: 3,994
• Lot Size: 0.33 Acres

Right off the bat we have a 4,000sf home in good condition, third an acre lot and listing for only $249 per sq. ft. Nothing in Arcadia will come even close to this property in terms of house + pricing. Unfortunately, Monrovia must be un-desirable enough to even begin considering this a good deal. The listing prices speak volumes:

Listing History

Date	Price
Feb 01, 2008	$1,250,000
Feb 29, 2008	$1,199,000
Mar 20, 2008	$1,100,000
Mar 28, 2008	$1,050,000
Apr 25, 2008	$995,000

$255,000 in price reductions and this homes remain unsold after 151 days.

779 NORUMBEGA Dr.
Monrovia, CA 91016

Price: $975,000 ($659 per sq. ft.)

• Beds: 3
• Baths: 1.5
• Sq. Ft.: 1,479
• Lot Size: 0.77 Acres

As we all have seen, mountain homes with a view command a significant premium in Arcadia. Well, it’s no different here. Compared to the adbundance of living area in the home above, this property offers only 1,479sf.

MID-CENTURY HOME SITS HIGH IN THE HILLS OF MONROVIA. ENJOY YOUR PANARAMIC VIEW FROM YOUR LIVING ROOM…

This is obviously a wishing price at $659 per sq. ft. If you take a look at the interior photos, this home is in need of a serious re-gutting.  But hey, I guess some people really want the “panoramic view”!

How cheap will a home have to be in Monrovia before you consider it over Arcadia, South Pasadena or even Pasadena?

Part of my job task involves visiting new tract home developments and posing as a buyer. One day I am a single guy looking to blow money on a million dollar high rise condo; another I am a husband in desperate need of a “modest” 3,000sf home to raise my family of 2, 3 or 4 (depending on my mood). The whole point of this was to find out 2 things:

1. How desperate sellers were and,
2. What their bottom-line price was

Between 2005 and late-2006, sellers were in no rush to sell. In fact, many of them would not accept offers if it was within 1-2 weeks of their initial listing. Sellers would hold out until the very end in order to squeeze every last bit of equity out of their home. Even public builders would boast of the how long their waiting list was for homes in LA, OC and the outlying deserts. You’d be lucky to purchase a home for the listing price.

Anyways, times have changed and the tables have turned. Let’s take a look at $1,000,000 homes in Arcadia and South Pasadena. Do you think that a $900-950k offer would be rejected at this point?

ARCADIA

1733 Highland Oaks Dr.
Arcadia, CA 91006

Price: $1,050,000 ($511 per sq. ft.)

• Beds: 3
• Baths: 2.25
• Sq. Ft.: 2,055
• Lot Size: 0.35 Acres

Decent looking home located in a great neighborhood. But at $511 per sq. ft., this listing is ridiculous. Larger homes on the same street have recently sold for less.

316 Laurel Ave.
Arcadia, CA 91006

Price: $1,085,000 ($339 per sq. ft.)

• Beds: 4
• Baths: 4.5
• Sq. Ft.: 3,201
• Lot Size: 6,350 Sq. Ft.

$339 per square feet for a this home seems like a great deal until you find out how close it is to Monrovia and that the neighbor, 5 feet away, looms over your swimming pool. No wonder the seller is offering free vacations to anyone who tours the place.

South Pasadena

If you think Arcadia is expensive, then you’ve never been to South Pasadena. This city hovers North-East of the 110 Highway and, unlike many other cities in the SGV, its residents are determine to preserve its small-town culture and neighborhoods. Therefore, we won’t see too many Spanish stucco boxes in this area.

1124 Hope St.
South Pasadena, CA 91030

Price: $998,000 ($404 per sq. ft.)

• Beds: 4
• Baths: 3
• Sq. Ft.: 2,470
• Lot Size: 8,200 Sq. Ft.

A classic Victorian that has been completely gutted and remodeled. For $1MM you get to share the lot with a home behind you. But like I said, this is South Pasadena so don’t be expecting too much more than Arcadia.

827 Oneonta
South Pasadena, CA 91030

Price: $995,000 ($585 per sq. ft.)

• Beds: 3
• Baths: 2.75
• Sq. Ft.: 1,700
• Lot Size: 3,180 Sq. Ft.

This is one of the more interesting properties I’ve found in South Pas. A tri-level new construction in the hills. You get a view and… a new 58″ flat screeen TV!