Santaluz – Current Market Conditions

[Coronita]

Just curious, what are Santaluz’s selling points?
Not a slam on the community. Just understanding the uniqueness aspect that would drive demand in that area.

[kcal09]

I think it’s the unique environment similar to Tuscany/Italy.

[kcal09]

I think it’s the unique environment similar to Tuscany/Italy.

[kcal09]

I think it’s the unique environment similar to Tuscany/Italy.

[kcal09]

I think it’s the unique environment similar to Tuscany/Italy.

[kcal09]

I think it’s the unique environment similar to Tuscany/Italy.

[70Degrees]

We looked at the custom areas in Santaluz extensively. My (by no means exhaustive) pro/con list looks like:

Pros:
– large lots
– lots of open spaces
– large houses
– great central park/open green area
– *very good* “community” feel – there were always people at the cafe and club house and it had a great vibe.
– Fitness center was well staffed and in general everything seemed very well run/organized as far as the club went

Cons:
– tons of empty lots. This has to hurt both the club (less dues paying member opportunities) and puts downward pressure on prices until the development is fully built out.
– seems like alot of distressed sales. I’m not being scientific here – its just a “feel” based on watching it since last fall
– huge mello roos (crosby suffers this problem too). The MR does NOT get you anything as far as club access/facilities goes.
– desert landscaping. I think they consider it a plus, and others might as well, but we didn’t like the look & feel of rough dry scrub. I’m sure its easier on the water bills, but it just wasn’t the look we wanted (we’re moving Canada so desert is distinctly foreign to us!)

[70Degrees]

We looked at the custom areas in Santaluz extensively. My (by no means exhaustive) pro/con list looks like:

Pros:
– large lots
– lots of open spaces
– large houses
– great central park/open green area
– *very good* “community” feel – there were always people at the cafe and club house and it had a great vibe.
– Fitness center was well staffed and in general everything seemed very well run/organized as far as the club went

Cons:
– tons of empty lots. This has to hurt both the club (less dues paying member opportunities) and puts downward pressure on prices until the development is fully built out.
– seems like alot of distressed sales. I’m not being scientific here – its just a “feel” based on watching it since last fall
– huge mello roos (crosby suffers this problem too). The MR does NOT get you anything as far as club access/facilities goes.
– desert landscaping. I think they consider it a plus, and others might as well, but we didn’t like the look & feel of rough dry scrub. I’m sure its easier on the water bills, but it just wasn’t the look we wanted (we’re moving Canada so desert is distinctly foreign to us!)

[70Degrees]

We looked at the custom areas in Santaluz extensively. My (by no means exhaustive) pro/con list looks like:

Pros:
– large lots
– lots of open spaces
– large houses
– great central park/open green area
– *very good* “community” feel – there were always people at the cafe and club house and it had a great vibe.
– Fitness center was well staffed and in general everything seemed very well run/organized as far as the club went

Cons:
– tons of empty lots. This has to hurt both the club (less dues paying member opportunities) and puts downward pressure on prices until the development is fully built out.
– seems like alot of distressed sales. I’m not being scientific here – its just a “feel” based on watching it since last fall
– huge mello roos (crosby suffers this problem too). The MR does NOT get you anything as far as club access/facilities goes.
– desert landscaping. I think they consider it a plus, and others might as well, but we didn’t like the look & feel of rough dry scrub. I’m sure its easier on the water bills, but it just wasn’t the look we wanted (we’re moving Canada so desert is distinctly foreign to us!)

[70Degrees]

We looked at the custom areas in Santaluz extensively. My (by no means exhaustive) pro/con list looks like:

Pros:
– large lots
– lots of open spaces
– large houses
– great central park/open green area
– *very good* “community” feel – there were always people at the cafe and club house and it had a great vibe.
– Fitness center was well staffed and in general everything seemed very well run/organized as far as the club went

Cons:
– tons of empty lots. This has to hurt both the club (less dues paying member opportunities) and puts downward pressure on prices until the development is fully built out.
– seems like alot of distressed sales. I’m not being scientific here – its just a “feel” based on watching it since last fall
– huge mello roos (crosby suffers this problem too). The MR does NOT get you anything as far as club access/facilities goes.
– desert landscaping. I think they consider it a plus, and others might as well, but we didn’t like the look & feel of rough dry scrub. I’m sure its easier on the water bills, but it just wasn’t the look we wanted (we’re moving Canada so desert is distinctly foreign to us!)

[70Degrees]

We looked at the custom areas in Santaluz extensively. My (by no means exhaustive) pro/con list looks like:

Pros:
– large lots
– lots of open spaces
– large houses
– great central park/open green area
– *very good* “community” feel – there were always people at the cafe and club house and it had a great vibe.
– Fitness center was well staffed and in general everything seemed very well run/organized as far as the club went

Cons:
– tons of empty lots. This has to hurt both the club (less dues paying member opportunities) and puts downward pressure on prices until the development is fully built out.
– seems like alot of distressed sales. I’m not being scientific here – its just a “feel” based on watching it since last fall
– huge mello roos (crosby suffers this problem too). The MR does NOT get you anything as far as club access/facilities goes.
– desert landscaping. I think they consider it a plus, and others might as well, but we didn’t like the look & feel of rough dry scrub. I’m sure its easier on the water bills, but it just wasn’t the look we wanted (we’re moving Canada so desert is distinctly foreign to us!)

[clearfund]

I have a very intimate knowlege of Santaluz having owned/sold over 10 lots/homes out there during its early stages.

Early on people were very scared of the place because “where are the trees?” they would say.

Now that custom homes have been built on about 50% of the dirt (to varying degrees of refinement) and the higher end price point of $4mm has proven attainable the fear factor has subsided somewhat.

70 Degrees’ comments were very accurate. I believe that upon buildout in 15 years it will be looked at as an amazing community and folks will wonder why they didn’t buy in when it was cheaper.

For now, the flood of custom homes preparing to come tumbling down in price due to foreclosure is set to begin. Several are in foreclsure and the market is jammed with homes between $2.4- $3.4mm. Once this breaks it will be a race to sub $300/sf for a good quality custom home on an above average lot (6,000sf for $1.8mm or less).

My take is that it will get to the point that you can buy that home for its hard construction costs ($250-$300/sf) and get the lot,permits,effort, etc for free.

If you can handle the MR/HOA, have young kids, or like the active family environment, and plan to stay for the long term, I personally feel you cannot go wrong. Flipping, however, may prove hazerdous to your retirement.

[clearfund]

I have a very intimate knowlege of Santaluz having owned/sold over 10 lots/homes out there during its early stages.

Early on people were very scared of the place because “where are the trees?” they would say.

Now that custom homes have been built on about 50% of the dirt (to varying degrees of refinement) and the higher end price point of $4mm has proven attainable the fear factor has subsided somewhat.

70 Degrees’ comments were very accurate. I believe that upon buildout in 15 years it will be looked at as an amazing community and folks will wonder why they didn’t buy in when it was cheaper.

For now, the flood of custom homes preparing to come tumbling down in price due to foreclosure is set to begin. Several are in foreclsure and the market is jammed with homes between $2.4- $3.4mm. Once this breaks it will be a race to sub $300/sf for a good quality custom home on an above average lot (6,000sf for $1.8mm or less).

My take is that it will get to the point that you can buy that home for its hard construction costs ($250-$300/sf) and get the lot,permits,effort, etc for free.

If you can handle the MR/HOA, have young kids, or like the active family environment, and plan to stay for the long term, I personally feel you cannot go wrong. Flipping, however, may prove hazerdous to your retirement.

[clearfund]

I have a very intimate knowlege of Santaluz having owned/sold over 10 lots/homes out there during its early stages.

Early on people were very scared of the place because “where are the trees?” they would say.

Now that custom homes have been built on about 50% of the dirt (to varying degrees of refinement) and the higher end price point of $4mm has proven attainable the fear factor has subsided somewhat.

70 Degrees’ comments were very accurate. I believe that upon buildout in 15 years it will be looked at as an amazing community and folks will wonder why they didn’t buy in when it was cheaper.

For now, the flood of custom homes preparing to come tumbling down in price due to foreclosure is set to begin. Several are in foreclsure and the market is jammed with homes between $2.4- $3.4mm. Once this breaks it will be a race to sub $300/sf for a good quality custom home on an above average lot (6,000sf for $1.8mm or less).

My take is that it will get to the point that you can buy that home for its hard construction costs ($250-$300/sf) and get the lot,permits,effort, etc for free.

If you can handle the MR/HOA, have young kids, or like the active family environment, and plan to stay for the long term, I personally feel you cannot go wrong. Flipping, however, may prove hazerdous to your retirement.

[clearfund]

I have a very intimate knowlege of Santaluz having owned/sold over 10 lots/homes out there during its early stages.

Early on people were very scared of the place because “where are the trees?” they would say.

Now that custom homes have been built on about 50% of the dirt (to varying degrees of refinement) and the higher end price point of $4mm has proven attainable the fear factor has subsided somewhat.

70 Degrees’ comments were very accurate. I believe that upon buildout in 15 years it will be looked at as an amazing community and folks will wonder why they didn’t buy in when it was cheaper.

For now, the flood of custom homes preparing to come tumbling down in price due to foreclosure is set to begin. Several are in foreclsure and the market is jammed with homes between $2.4- $3.4mm. Once this breaks it will be a race to sub $300/sf for a good quality custom home on an above average lot (6,000sf for $1.8mm or less).

My take is that it will get to the point that you can buy that home for its hard construction costs ($250-$300/sf) and get the lot,permits,effort, etc for free.

If you can handle the MR/HOA, have young kids, or like the active family environment, and plan to stay for the long term, I personally feel you cannot go wrong. Flipping, however, may prove hazerdous to your retirement.

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