This property is simply amazing - it's a luxury beachfront home in Laguna Beach that is right off Coast Highway. But, as we know, it works the same no matter where the address is: Stop paying the mortgage, and the lender gets unhappy and begins the foreclosure process.
This property became a preforeclosure in March and also is up for sale on the MLS. Got all your pennies saved for the downpayment on this one?
31091 S Coast Hwy, 92651
Asking price: $12,800,000
Asking price/ sq ft: $2,977
Income requirement: You can't afford it
Purchase price: $4,800,000
Purchase date: 6/24/04
Size: 3 beds, 5 baths, 4,300 sq ft (built in 1992)
MLS: L25935 (31 days on Redfin)
Zillow Zestimate: $2,487,040
2007 property tax: $54,497.34
Type: Single Family Residence
Style: Contemporary
Stories: 2 levels
Lot size: 6,251 sq ft
From listing: Breath taking beach front contemporary home. Recently completed a $2 million remodel in 2007. Rare luxury property with every amenity imaginable. Enjoy short walks on the sand to the montage resort & spa with private beach access. Bang & olufsen tv and sound system, security cameras, automatic window coverings, custom temperture controlled wine room, partner's office, gym and entertainment room complete with pool table and professional bar. Hotel inpired master retreat with ocean views from every angle. Kitchen boasts his and hers sub-zeros, beverage center, convection range & gaggenau hood. Custom sie-matic cabinetry and zodiac stone counter tops designed by euro-kitchens. Home is elegantly completed with honed marble and limestone floors. Enjoy the magical sunsets nightly from the comfort of your living room or from one of your beautiful decks.
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(Google street view maps are a wonderful thing. We will now be including these with our featured properties whenever available. Don't forget to use your mouse and poke around the street if you feel so inclined)
Here's the recent financial history on this property:
10/23/03: Sold for $4.5 million.
6/24/04: Sold again for $4.8 million. Buyer put $960,000 down and financed $3.84 million through Loan Link in Aliso Viejo. Funding came in the way of a $3.36 million first loan and a $480,000 second (70/10 financing).
3/14/08: Notice of default filed - $12,714.
3/31/08: Appeared for sale on Redfin.
If you were compelled to read the long listing description (which sure as heck is warranted with a house of this price), you would have seen that this property underwent a $2 million remodel just a couple years ago. But does this alone warrant an appreciation of $8 million - a 167% total increase, or roughly a 28% gain per year - from the previous sales price in 2004? What is it really worth today?
Only a very small group of people can answer those questions - they make up the very tiny pool of potential buyers who would be interested in a property like this and have the financial wherewithal to pull the trigger (for all cash, we would presume). Consequently, they would be bailing out the current owner at the same time.
Will the "location, location, location" rule win out here and provide the current owner with enough appreciation to spring them from the foreclosure trap? We will certainly be watching to find out.
And, guess what: This isn't the only distressed property in Laguna Beach...
8 comments:
Who owns this property? I see homes like this and my first question is, "what do they do that they can afford a house like this?" My second question is.."Are they single?"
Good questions. Absolutely beautiful house.
Anon, you'd be surprised how much money some people have. The owner probably owns his own business or works in the financial markets. But it's surprising to see that even these success wonders don't pay their mortgage. Wonder if they're behind in their lofty property taxes, too? Those pesky property taxes won't go away no matter what fool buys this multi-million dollar over-priced white elephant.
I also was wondering about the tax bill, since it's so significant. I checked the county Web site, and it looks like everything is current.
Nice, but for 12 Mill I don't want to live on PCH.
Yeah...me too. I'd buy it right now except it's on PCH. (!) Heck, I couldn't even afford the property taxes!
There is a lot of inherited wealth in south coastal OC. Also, most beach houses on PCH are not affected too much by the traffic noise. They are designed to ameliorate that issue -- you'll hear more waves than traffic.
I own the property. I appreciate the comments, both constructive and curious. I'm an everyday hard worker from a humble background who started his own business and was fortunate enough to be able to afford the house. It went into "pre-foreclosure" due to a dispute with the mortgage company. They can certainly play hardball. It's no longer in pre-foreclosure but I am seeing if it will sell at a price, unbelievable as it even seems to me, that is comparable with other sales in the area. I am not single.
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