For the last four months, we've been following the progress of a house on the market in North Rosedale Park. If you've followed along, you'll know the house's journey has been a story of good intentions marred by one poor appraisal. Today, we're happy to report that the house finally sold for $110,000. The story that got us to this point is a frustrating one, but we promise the ending is worth it. Originally bought as a foreclosure by the nonprofit Grandmont-Rosedale Development Corporation (GRDC), the house was beautifully remodeled and put up for sale in July. Listed at $135,000, buyer interest was so strong that the GRDC was able to pursue an offer $15,000 above the ask within the first week. What more could any seller ask for?
But then disaster: a rotten appraiser valued the home at just $85,000 based on a very sketchy analysis, limiting the wannabe buyer's ability to secure financing for the home. Denied the chance at a second opinion, the GRDC was left in a pickle: give up on the deal, or sell the house for cheap, thereby dragging down the values of neighboring homes. Thankfully, they didn't sell.
Here's where things get better: According to GRDC Executive Director Tom Goddeeris, a new buyer placed an offer on the house for $135,000 earlier this month. After a nervous few days, the new appraisal came in at $110,000 — a price Tom felt was high enough to raise the neighborhood's value. That's what the house sold for today. The buyer? A couple from the northern suburbs. He's a Detroit police officer, she works downtown, and they were granted assistance on their down payment via Project 14 — a program designed to help Detroit police officers buy homes in the city. We're sure they'll be quite happy in their new house. Who wouldn't be?
A nonprofit improving a Detroit neighborhood is a good story. But a nonprofit rehabbing a beautiful home, overcoming an unfair appraisal (an all-too-common obstacle in Detroit), and bringing a family back to the city is downright heartwarming. Hopefully it's a story we'll get to hear again soon.
· Magnificently Renovated Stone House For $135 K [Curbed Detroit]
· How One Appraiser Can Ruin A Deal: Magnificently Renovated Stone House Fails To Sell [Curbed Detroit]
· Grandmont-Rosedale Development Corporation