The Sonora Condos are at below market cost for a reason.

Posted by Danielle & David Contreras on Friday, October 1st, 2010 at 1:14pm.

San Jose Sonora CondoAt the downtown streets of Sonora Avenue and Technology Drive in San Jose stands The Sonora, a gated four-story condominium building situated just a short drive from San Jose Airport (SJC). Completed in 2005, these beautiful and spacious homes had been outfitted with granite counter tops, G.E. stainless steel appliances, maple cabinetry and expansive ceilings stretching up to 14 feet. 1 bedroom 1 bath and 2 bedroom 2 bath condo units in the Sonora were first listed at between $315k and $550k. Currently, however, over 20 of these homes are on the market for between $100k and $150k below their normal market value with some two bedroom units going for as little as $250k.

Why this substantial below market cost? Currently the HOA (Home Owners Association) is in the midst of a lawsuit with the developers of the Sonora Condos regarding approximately 46 flaws in the structure/construction and design according to the court documents. As a rule, banks continue to refuse loans for complexes in a construction litigation issue, making these properties available to only cash buyers. This along with the fact that owners are being forced to short sell their units makes for an excellent opportunity for buyers who are able to pay in full to purchase a stunning unit in a conveniently located, gated community in the downtown San Jose area.

Once the case is settled, prices for these units should likely shoot back up to market value, making the Sonora a wise investment for buyers who can afford to pay in cash. Investors looking to rent out their units should be aware, however. With about 35% of the homes already being occupied by renters, new investors should expect to wait in a long line including a requirement to own the unit for a full year before getting approval from the HOA to rent the unit. This will mean that all new buyers must be purchasing as an owner occupied unit only.

If you are one of these all cash buyers please give me a call.

CLICK TO SEE CURRENT SONORA CONDOS FOR SALE...

Print

2 Responses to "The Sonora Condos are at below market cost for a reason."

Annie Pham wrote: Hello,

I was wondering what the HOA fees are and what they include. I have a friend who lives in Sonora and said the HOA fees include garbage, water, and central air/heat.

Thanks,
Annie

-----------------------------------------------------------------------

Hello Annie,
Current HOA fees for Sonora Condos range in the $315 to $415 depending on the Sq Ft of the unit. They are covering Hot Water, Water, Landscaping/Gardening, Pools/Spa, Exterior Painting, Professional Management, Reserve Fund, Roof, Common Area Electricity, Garbage. I will have to look into the central air/heat for you though as I think each unit has its own A/C unit inside.

I know that the Plant 51 Condos and most the downtown highrises have a central Heat and A/C that is included in the HOA fee. This usually means a higher HOA fee.

Hope this has helped you and let us know if your ready to tour some of the units.

David & Danielle

Posted on Tuesday, May 17th, 2011 at 11:37am.

michael wrote: Do you handle rentals at the Sonora, also what is the average time on the market for Sonora Sales, Thanks! --

-------------------------------------------------------------------------------------------------

Rentals are restricted in this complex to a small number of owners who were lucky enough to petition the HOA for a permit. All others are out of luck and may be breaking the HOA rules by renting their unit without a permit. If you are looking to rent be sure your not renting from a landlord that is foreclosing on their home or needing a permit to rent their unit. Remember the "If its to good to be true, it just might be". If you need a title search to help prove your renting from the owner we can get the information that you're needing. Simply ask...

In the last six months the Sonora Condos have been seeing units close an average 88 days on market. In the last month the average days on market is just 65. This could be attributed to the fact that new litigation lenders are available. Properties in litigation are at their lowest price in years. Recent sales in April include 1 bedrooms selling for $185,700k and 2 bedrooms selling at $258k...

Silicon Valley Team
Danielle & Dave Contreras

Posted on Monday, May 23rd, 2011 at 3:39pm.

Leave a Comment

This site uses cookies to provide you with the best user experience. By using Highrises.com you accept our use of cookies.