San Clemente $1-million-plus rollback

This 4-bedroom mansion in Forster Ranch (San Clemente) is another example of the small crack forming in the luxury home market. Looks relatively "cheap" at $275/sq ft...

Asking price: $1,099,000

Asking price/ sq ft: $275
Income requirement: $274,750
Purchase price: $1,150,000
Purchase date: 1/30/2007
Size: 4 beds, 3.5 baths, 4,000 sq ft (built in 2002)

Days on Redfin: 57

ZipRealty price tracker: Price Reduced: 11/08/07 -- $1,229,000 to $1,199,000
Price Reduced: 12/04/07 -- $1,199,000 to $1,179,000
Price Reduced: 12/08/07 -- $1,179,000 to $1,099,000
2006 property tax: $14,855
HOA dues: $175
Type: Single Family Residence

Style: Mediterranean

Stories: Two Levels
From listing: Model perfect home on private cul de sac in Cantomar! Tired of showing over priced listings that don't show well? Look no further! Grand entry w/ circular staircase, HIGHLY upgraded with marble flooring, gourmet kitchen with granite and cherry cabinets, custom paint and woodwork, moldings throughout, granite baths, 2nd level tech center, plantation shutters, custom light fixtures, plush-always in bloom landscaping! Super private- w/ no one behind you! Most important--MOTIVATED & MOVING SELLER!

It appears the owners have really gotten serious in the past week or so - two price cuts have taken place to the tune of $100,000 off.

Sorry to the agent/broker who wrote the description, but I have to point this out: I found at least seven instances in the listing that either are total RE cliches, or don't actually mean anything tangible and/or specific. Here is my list - please note there are a few others not included that are borderline as well: "model perfect;" "highly upgraded;" "gourmet kitchen;" "custom paint;" "always in bloom landscaping;" "Super private;" "motivated...seller."

I did, however, like reference to the "granite and cherry cabinets" in the kitchen. Specifics I like, generalities and puffery I can generally do without.

There would be a loss on this property of $116,940, assuming a sale at this price and 6% in sales costs. That's not the entire story, though. The peak price on this property was $1,348,090 in August 2005, according to Redfin.

That would then signal a depreciation of 18.4% on this property from peak to now, assuming a sale at the asking price and not including sales costs.