Pursuits
Detroit Homes Rot as Appraisals Stopping Sales: Mortgages
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In most American cities, a limestone home with a large front turret and paneled library would have a waiting list of buyers at $135,000. In Detroit’s Rosedale neighborhood, it almost didn’t sell at all.
The first offer of $150,000 fell through when the 2,600-square-foot (242 square-meter) Tudor style home appraised for $85,000, dragged down by comparisons with sales of foreclosed homes in nearby rundown areas, said Tom Goddeeris, executive director of the non-profit Grandmont Rosedale Development Corp., which rehabbed the home. A $135,000 offer squeaked by after a $110,000 appraisal, he said.