People wonder about today’s homebuyers – how are they affording these prices? 

Most are using a larger down payment.

A check of the tax rolls showed 91 sales of Carlsbad SFRs in May.

Down payments:

All-cash = 9

50-99% = 8

30-49% = 22

21-29% = 11

20%  = 21

0-19% = 20

Total = 91

Seventy-one of 91, or 78% of the buyers used at least a 20% down payment.

Hopefully with homeowners having more skin in the game we’ll see more stability in the future.


Those that were selling were an interesting group:

Bank-owned homes = 19

Sold less than loan amount (non-REO) = 17

These amounted to 40% of the total, and if you take out the ten brand-new homes, 44% of the resales were either bank-owned or short.

Here are a few examples of those that sold:

7332 Circulo Papayo

5 br/4.5 ba, 4,225sf

Fees = $340/mo.

SP: $1,157,500  6/05

SP: $830,000  5/09

This had listed in September for $975,000, and eventually followed the market down.  We had seen this one in February –


6836 Citrine

4 br/4.5 ba, 4,913 sf

Fees = $588/mo.

SP: $1,332,000  5/06

SP: $855,000  5/09

This backed to Alicante, the main artery street, and had quite a slope in back.  It had a number of offers, and had fallen out of escrow a couple of times – but still sold over the list price of $849,000.


7153 Tern

4 br/3.5 ba, 3,510sf

Fees = $159/mo.

SP: $1,400,000  4/06

SP: $825,000  5/09

This probably surprised some folks at the bank – they had listed for $929,900 at the end of December, but it didn’t sell until they got the list price down to $829,900.  The loans had been $1,260,000.


3267 Sitio Tortuga

3 br/2.5 ba, 4,053sf

Fees = $446/mo.

LP: $925,000  2/09

SP: $750,000  5/09

KBHome’s model home in the Dolcetto tract in La Costa Ridge.  It must have been a long road home, this was built in 2006.  Still marked pending too.


6959 Goldstone

3 br/2.5 ba  2,766sf

Fees = $466

SP: $977,500  5/06 (new)

SP: $725,000  5/09

Another in La Costa Greens that had to be disappointing for the sellers, although this looks like it was a corporate relocation. 

Their remarks: WOW! YOU WON’T BELIEVE YOUR EYES JUST REDUCED TO $799,000!!! THIS HOME IS BEAUTIFUL!!!!!   Upgrades galore, completely landscaped front & back! Experience La Costa Greens at it’s best! Simply GORGEOUS INSIDE & OUT! Attention to every detail! EXQUISITE limestone, travertine & custom distressed hardwood flooring throughout! FABULOUS relaxing master suite w/retreat room on 1st level, INCREDIBLE 2nd story gameroom! Corporate Owned.


5450 Los Robles

3 br/2 ba, 2,522 sf

Fees = $0

SP: $625,000 3/02

SP: $1,000,000 5/09

Some ocean view from upstairs in this older (1976) home in Terramar just a block from the beach.  This wasn’t on the open market, but the price still feels like retail, and keeps my hopes alive that this neighborhood might survive the coffee bet.


Of all the 91 reviewed that had previous sales prices from 2002 and 2003, there weren’t any that sold for less than 2003.  There also seems to be somewhat of a floor around the FHA limit of $697,500, it’s just a matter of how much house you get, and what location, for $700,000 to $800,000.  I think we’ll see many more of the over-4,000sf McMansions slide into this category.


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