Lately, homebuyers have been taking a more conservative, less-flashy approach with regards to their housing choices. Part of that choice has to do with expenses; who wants to heat, cool, maintain, and furnish more than they really need?
We saw the 10,000 sf launch pad yesterday that has been listed for around $5 million, but not selling, and some viewers may have wondered about my $1.9 number. It was partly due to the unconventional look, but it was also because you can buy 5,000sf around the Del Mar Mesa area for less than $1,900,000 – I’ve sold two myself.
Are there a lot of buyers today who really need more than 5,000 sf in today’s environment?
Are they willing to pay for more than they need?
Buyers are willing to take the extra room, if they can get it for free, or for a discounted rate. We’ll see what happens on the SpaceStation, but for an idea of how recent buyers have spent that type of money, take a look at the youtube video below. The second house in the video will be the primary comp used to price the SpaceStation, and as a result, my guess is that they’ll list it for around $2,995,000 – and it’ll sell because the buyer will feel like he got the extra square footage for free:
P.S. You’ll hear how I don’t always film these in order!
Yes utility rates are getting expensive.We got a new smart meter from pg&e.We have 2300 sq ft.The AC unit uses about 4500 watts.So if you are paying .11 cents / 1000 watt hr then .11*4.5= .50 cents / hr.If your unit is on 8 hours through the day that is 4.00/day.You guys do the math but it can get expensive real fast to cool a huge home.
Is Olivenhain pronounced OH-LEAVE-IN-HINE or OH-LEAVE-IN-HAYN? I’ve heard both ways.
The “Launch Pad” home is for an Athlete with a big, new, contract, obviously NOT Vincent Jackson!!
That extra square footage might be great…if you have the means to hire someone to clean it for you.
Ditto on the cooling and heating costs.
It’s “hine” (German).
The first one in Olivenhain is on Calle Margarita — solid street. The place has no pool and is slightly dated. I was surprised it sold so cheap. The one next to it (you can’t see in your vid — it’s to the left), sold for $2.3 about 2 years ago. Nowhere near as solid or large of a house and lot. Ouch.
The second one in Wildflower is definitely dated. I think the horse property is actually a drag on the value.
As for the point about $2m being the ceiling in O-hain, you’re probably right with a few exceptions. There are a handful (like literally under 10) that are brand new, top quality true estate-style homes, and another 3 or 4 that are being built. I’d price those at more like $4 mil. But there are so few of them and none are for sale, so it’s tough to tell what they are really “worth”.
Some prefer O-hain to RSF for it’s more country laid-back feel without the pretentiousness. Me? For the same money, I’d take the Ranch (commute, resale, access to the golf club!, and better approach into the community than through ratty RSF Road).
I can see where a 5,000 SF house in necessary so you have ample rooms for your servents to live.