Saturday, October 23, 2010

After 3 years, Laguna Beach Mansion Sells for 2003 Price

1302 Skyline, a very high end french country farmhouse style mansion, sold in September for about $3,675,000. The home features 4 bedrooms and 4000 square feet of highly upgraded living spaces.
This home has been for sale on and off the MLS since 2007. One of those old listings was for 5,995,000 by James Ardery of Prudential California Realty. In my opinion, this seller lost millions by not competitively pricing the home in the first place. A competitive price long ago could have resulted in a sale, but instead the home sat on the market while home values sunk even lower.

The home was last purchased in August, 2004, for $4,400,000. The more recent sale price in September 2010 is probably equivalent to what the home would have sold for in 2003 or even 2002! This tells you where the luxury home market is on the OC coast.

What does this mean? If you are buying a home, try to determine what it would have sold for in 2003 - that is one indicator of the home's value today, despite the listing price.

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