Our new listing in SW Carlsbad!
7206 Durango Circle, Carlsbad
4 br/3 ba, 2,699sf
LP = $999,000 (we represent the sellers)
Nicely renovated one-story 3br home with attached guest house in very private setting located near everything – all for $999,000!
Hardwood floors, stainless kitchen, massive walk-in closets, two fireplaces, central A/C, and it’s tucked away in a culdesac-like spot off the beaten path. No HOA, & no power lines. On the map it looks close to El Camino Real, but it is remarkably quiet. Master br down, & master up (in guest house). Great for multi-gen, work-at-home, distance learning, etc.
So how do you value the ADU portion associated with this home? Looking around Id think it would rent for close to $2000 a month. Looking around I dont think you can buy a 1BR condo around here much below $350,000 plus high homeowners fees and taxes. It wouldnt be in a nice quiet single family neighborhood either. Trying to wrap my head around how you put a value on that?
Because it’s not a legal second unit, for our purposes it’s thrown in practically for free. But that didn’t stop someone from paying $100,000+ for it!
Wow that was fast. Great Job. On the illegal second unit I attended a seminar as Im considering building one too. They said they are making it very easy to get amnesty and have illegal units permited including garage conversions. This is all so new and I wonder how the market will value these over time as more of them get built. Guess I’ll sit back and grab a bowl of popcorn
The old valuation method – income analysis – probably won’t apply.
The State of California is now allowing 3 units per SFR lot, with a detached ADU plus garage conversion. The customary valuation would be to analyze the rental income from all three, but the multi-gen buyers will probably pay more than that to save grandma from the senior home – and their usual $5,000+ per month fee.
> multi-gen buyers will probably pay more than that to save grandma from the senior home – and their usual $5,000+ per month fee.
$5k/mo for full attention senior living is starting to be a low ball number.
Agree – you can spend $7500-$15,000 per month for nice ones. Then you have the high-enders who require a $300,000 “investment” up front.
My dear aunt in her 90s paid the outrageous “buy-in” of $160k 15-20 years ago. “Independent living” at 93 makes me hopeful those were the genes I got too. And sharp? Last we talked she regaled stories of my grandmother and how her Pierce Arrow was replaced by a 1932 Cadillac V-16 Special Phaeton.
Or if you really want the most bang for your retirement buck, there’s also Mexico!