1012 Rosecrans Ave — Property Concerns (Manhattan Beach)

Personal notes while considering buying a flipper house in Manhattan Beach.

Seller agent: Alicia Blackburn (or Haskeys),
Vista Sotheby’s International Realty

The property was recently bought by Michael J Flavin (Mike Flavin, of Styl’n Construction) on 1/9/2020 for $1.15M. Interior and bathroom were partially remodeled. Exterior spray painted, windows replaced. laminate flooring, lights, garage door, furnace, kitchen remodel, blown-in attic insulation, grass added to backyard.
–> Relisted property for $1.5M (price increase of $350K).

No permits were obtained for any improvements or remodeling. Manhattan beach issues red-tagging and 2x fine to new owner.

Taxes were unpaid by Mike Flavin, lien was issued on house, previous loan of $330,700 Deed of Trust against property, supplemental taxes were unpaid on difference in assessed value from Jan-June 2020. Some disclosures were not initially given.

Inspection discovered (after remodel):

  1. Rusted cast-iron sewer pipe leaking sewage into crawlspace.
  2. Live abandoned electrical wires in crawlspace.
  3. Rusted, exposed electrical conduits, unsupported in dirt.
  4. Rusted gas line.
  5. All screens into attic and subfloor torn open by rats.
  6. Subterranian termites, dry termites, wood rot throughout.
  7. Water damage to sub floor and garage.
  8. Kitchen and bathroom fan venting directly into attic (not exterior).
  9. Lack of GFCI outlets.
  10. Laundry vent fire hazard.
  11. Neighbor entrance gives unsecured access to property.
  12. Wood / debris in crawlspace (pest infestation).
  13. Sewer line clogged with roots (hydro-jet required).
  14. Loan, title, tax, and lien issues.

INSPECTION REPORTS

  • Alicia did not give all disclosures within required 7 day period.
  • Request for repair — key items removed from our list without consent.
  • Unable to provide property line information.
  • Permits not pulled for any remodeling work done.
  • Taxes not paid by Mike for 1012 Rosecrans and other prior properties leading to lien on 1012 Rosecrans.
  • Taxes not paid by Mike on supplemental ($500K->$1.15M assessment in Jan 2020).