More Price Drops Seen In Luxury Coastal Homes

Buyers planning to hold out on Laguna Beach homes may decide to buy sooner with prices falling for luxury homes along coastal Orange County, a trend that’s expected to last throughout the holiday season.

Home affordability has been up throughout most of California, but has been particularly noticeable in pricier homes. Coastal homes with premium views have seen price drops as large as 40% in the past few months.

Values are expected to stabilize, however, as changes slowed by about 30% and the lower prices have attracted demand. Altera Real Estate agent Steven Thomas says that prices may not change much in the next few years, so it’s not practical for buyers to wait out for a 10% difference.

Several multimillion-dollar homes have slashed prices in Laguna Beach just in the past month, including a $1-million drop on an oceanfront home in Three Arch Bay. The home, situated on .33 acres and offering 5,000 square feet of floor space, recently fell from $11.9 million to $10.9 million.

Another home in South Laguna went from $15.3 million to $14.9 million, a $400,000 drop. On Seacliff Drive, a 5-bedroom property went down equally from $11.9 million to $11.5 million. Similar cuts have been seen in neighboring Newport Beach, where coastal properties are also in high demand.

Experts agree that the upcoming holiday season is a good time to buy luxury homes, as prices are expected to stay low because of low buyer activity. Prices may go up again in the spring for the same homes that didn’t sell during fall and winter.

 

Earlier in Laguna Beach Real Estate News:
Charge Your Electric Car in Laguna Beach
More Luxury Homes Hit Laguna Beach Real Estate Market
Oldest House In Laguna Beach To Be Rehabbed