I'm just back from visiting the "auction" house on Valleyheart. I have quoted the word auction because, as it turns out, it's not really an auction. Yeah. It's a cheap gimmick.
Despite the fact that it says: "Will be sold to bidder with best reasonable offer" they are reserving the right to pull it back if they don't think any offers are "reasonable." I say: if you are opening up the bidding at $589k, anything over that is "reasonable." They disagree and say they will pull back. But! Let's not forget they took out an ad that was phrased much less conservatively. It said in the paper that the home WILL BE SOLD to the highest bidder. And, this being Los Angeles and all, I wouldn't be too surprised if somebody sued.
Anyhoo, so far, their highest bid is $605k (recall that the last sale was at $600k). I doubt it will go higher than that because why bother bidding if they aren't necessarily selling. Ridiculous.
Also, I love that they printed out all these "comps" that are not comparable in any sense of the word. This is a two bedroom house, yet every other sale they present to you as comparable is a three bedroom house.
The house itself is right across the street from the 101. It is very loud despite a large and obvious sound wall. The neighborhood itself is confused. It's a mix of older not very well maintained tract houses with 1970's model RVs parked out front and McMansions. Basically, this aging freeway adjacent neighborhood got hit by gold diggers during the boom and they've all packed up and left the neighborhood with one foot in each world.