A typical home built in the 1980s that has had work done in the past, but needs more now:
Here’s a good example of how to dress up an older tract house to get top dollar.
The list price was $770,000 for 1,442sf on premium 8,464sf lot which was probably the best location in tract. Four offers were submitted, and it closed at $825,000!
Here’s a brief look at the Plan 2 and an update on sales now that VSF has been open for six months:
Let’s keep improving a listing as we go along!
It became obvious at the open houses that people didn’t feel the need to explore the backyard – they just looked out from the house to get their feel. But the hedge in the middle blocked some of the view, and to fully appreciate the size of the backyard, you need to see past it.
It’s common that buyers are in a hurry and may not fully explore the potential, so let’s help them with the vision of what’s possible:
One of the main positives about this property is how suitable it is for adding a granny flat, and still have big yards for both. Originally, we thought the hedge might help to differentiate the two possible locations, but if buyers aren’t going to walk out for a look, let’s make sure the extra-large yard is visible from the house!
The other concern is that buyers aren’t used to seeing homes built in the 1970s.
These are literally the oldest houses in South Carlsbad, and $800,000 is the entry-level. The 2019 median sales price within a half-mile of my listing is $1,072,500, so for those who want a larger, newer home with more upgrades (but smaller yard + HOA), they are certainly available – you just have to pay more.
Here’s another example of the 1978 variety – and this is probably our main competition. It has upgrades, but the fancy stuff doesn’t change the floor plan and the yard is almost 5,000sf smaller:
Entry level means sacrifices, and the temporary inconveniences at my listing can all be fixed with money!
People almost instantly separate themselves into posers or players by their comments at open houses, and the remarks today ranged from “you’re nuts” to “this will sell in a week”.
Those who are following the market closely will recognize that the entry-level house in the Encinitas School District today starts around $800,000. Add in the popularity of one-story homes and the general resistance to HOA and Mello-Roos and my listing has many positives.
Here is another comparable home that closed this week that happens to be in the Carlsbad school district (vs the preferred Encinitas school district). For buyers who can live with an funky one-story floor plan on a larger (though multi-level) lot with no HOA or Mello-Roos, this would have been a potential candidate – and it closed for $995,000 (my listing is priced at $880,000):
Segovia Way is in an area of mostly long-time owners and low turnover – people love the area! It makes it harder on buyers though because the comps are few and far between.
I mention in this video tour (with special guest!) that the house is worth $800,000, and the double-sized lot is worth a premium – I say 10%:
Here are my comps that suggest the house alone is worth $800,000:
The last model-match closed for $795,000 and went pending the first week of January, 2017 – two-and-a-half years ago. The San Diego Case-Shiller Index has gone up 10% since:
The last model-match sale was actually this house, but they had added a fourth bedroom without permits. It has the same formica kitchen and dirt backyard, but backed to a very busy six-lane Rancho Santa Fe Rd.
This larger 3br needed work (though everyone should have a toilet near their bed) and was on the main feeder street for the neighborhood – it closed six months ago for $833,000:
This was in original condition and had an old pool that took up most of the backyard. They had multiple offers, and it closed for $850,000 a month ago:
If the house at 3022 Segovia Way is valued around $800,000 in its current condition, how much is the premium for a double-sized lot? Five to ten percent should be reasonable.
Want to compare the other homes currently for sale?
A. Older kitchen, pool takes up most of the backyard. Listed for $925,000:
B. Slightly older look; pool takes up most of the backyard. Listed for $975,000:
C. Larger 3br nearby with pool. On the range $999,000 – $1,099,000:
My listing is the classic case of buyers expecting a discount just because the house is older – but every house is older in this neighborhood! Richard and I will be there 12-3pm this weekend!
My new listing in Old La Costa – with a lot size of 68 x 190 feet!
Compass is a big sponsor of the races at Del Mar, and Saturday we got the royal treatment:
We have our share of turf club or GA tickets if you want to go!
A flipper picked this up for $810,000 in November, 2017 and sold it for $1,140,000 this month: