10 Kent Place in Cos Cob was listed a year ago for $699. You wouldn’t think there’s a huge room for error at that low price but it finally sold today for $576,000. If you wonder what harm a bit of padding on your price can do in this market, ask yourself whether you want to sell now or sometime in the distant future.
One builder who didn’t conduct that self-examination is the guy who bought 136 Cat Rock for $1.4 million four or five years ago, spent a fortune building a new, three bedroom septic system and a smaller fortune redoing the house. He ended up with a so-so, 3 bedroom house on one acre in a two acre zone without room for a garage and, compounding his original stupidity, priced it at $3.625 million back in September 2006. That lunacy was rewarded with a slow descent, as his resources disappeared and the asking price dwindled until finally he lost the place to Webster Bank. They had to drop the price even lower, to $1.699 and today it went to contract. No word on its sales price yet but I wouldn’t be surprised if someone paid the cost of the land as it was in 2005 and accepted the house and that septic system work for free.