Appraisal Value of Larsen Acre Single-Family Lots
When Timberland Bank first filed a motion from relief from stay against Heritage Homes to pursue foreclosure, the valuation of the properties became an issue. Heritage Homes produced the following the May’08 appraisal values of their finished homes of Larsen Acres – generally between $410,000 and $425,000. The unfinished homes was valued between $356,500-$359,788.
Appraisal Values: Heritage Homes
Surprisingly, these values did remain pretty stable. A sale contract signed in Aug’08 for Lot 15 had an indicated price of $410,000, a price level which made the secured lender whole and left the estate with net proceeds of more than $12,000.
In a way, since the senior secured loan was barely made whole at a price level of $410,000, it would be difficult for the home builder to sell it for lower, without acrimonious negotiations with the lenders (which are more than likely to object vehemently to short sales).
