Remember when that toxic wasteland of a home in West Seattle on Belvidere Avenue received 41 offers and sold in just 10 days for $427,000 last July? That three-bedroom, one-bathroom home that was originally listed for $200,000, and was so filthy and hazardous that interested contractors had to sign a liability waiver to enter? Well, after a swift teardown and sparkling rebuild, this broken old home is now a $1.2 million luxury box house.
The new house has four bedrooms, big windows with views of the water, and even a backyard. Housing re-development specialist, Jimmy Tang told the Seattle Times he spent about $415,000 on the demolition and new home rebuild. But even with the combined cost of the land, remodel and various fees, commissions and taxes, Tang will still likely turn a six figure profit.
Tang’s good fortune is becoming the norm in Seattle. As tech workers continue to migrate to Seattle from Silicon Valley at alarming rates, the land has become a scarce resource, pushing housing prices to rise faster in this city than anywhere else in the country. Thus, when a decaying rat’s nest hits the market, people with means pull out their check books.
Home teardowns are a lucrative enterprise in Seattle, with about one per day on average, as developers lacking new land to build on profit on the land they can get by replacing old homes with big luxury houses or stacks of townhomes. Great for those who can afford a luxury property, not so great for the average bear.
Tang is reviewing offers on the home on Wednesday and hopes to “share the good news” after they select a buyer.