[Hugh R]

Well we made an offer on a short sale for a one bedroom, two bath 1,430 sq. ft. unit in a nice 3 year old condo complex about 1 mile from the beach. Sold new in 2008 for $375K, we offered what the bank wanted, $214K. So baring something unforeseen, it is most likely going to be ours. Been on the market about 200 days. Total monthly for the mortgage, HOA, taxes and local improvement bonds is going to be about $1,600/month, which I can write off, the realtor also has a rental division and they think we can get $1,850 to $2,000/month rental, so some positive cash flow. I think it is a pretty good deal from an appreciation perspective. It works out to about $149/sq. ft. Comps for comparable units for sale that are not short sales range from $190/sq. ft/ to $278/sq. ft. The bonds and HOA fees are a little steep, and if you were buying to live in, I could see it as a financial turnoff, since you can't write those off as expenses. But as a rental, I will be able to write them all off. No ocean or canal views of water, but if you want that, you will be paying $600K plus for a lesser place. I may keep it for the Summer for my use, and rent it in August/September. It was cool, low 70s there and about 90 inland 50 miles at my house this afternoon. Driving out the 126 highway to Ventura with the Targa top off was really pleasant. Two really nice new Ferrari something or others, both black and no license plates (new, CA doesn't issue temporary tags) came screaming by us on the way home.