Surterre Properties Inc. cofounder and President Gary Legrand, entrenched in the luxury real estate market for more than 25 years, has seen it all, from the housing recession of the 1990s to the go-go housing boom of the early to mid-2000s, to the shocking drop in home prices during the Great Recession, to the rapid uptick in housing sales—and prices—during the last year.
The luxury homes market that Legrand and the Surterre Properties team specializes in saw sales volume shoot up 32% and dollar volume climb 33% from 2012 to 2013.
He looks at it all with equanimity.
“I’ve come to realize that I neither prefer a buyer’s market, as we have experienced from 2007 to the end of 2012, nor a seller’s market that has been seen nationally in 2013,” he said.
The pace of luxury home sales has slowed since late last year, as has the rise in home prices, and the market has entered a neutral phase, where appreciation hovers around 5% to 6%.
That’s a good thing in Legrand’s eyes.
“A neutral market still creates confidence in the buyers but does not give sellers an unrealistic expectation.”
Such a market tends to prevent issues with the appraisal process, which often come with a house that attracts multiple offers, he said.
It also guards against another bubble or a market that can’t sustain itself over the long run.
“The local agents that I come in contact with all are optimistic about this neutral market,” Legrand said, “which in my opinion creates stability and confidence in the luxury coastal area.”
Windows to the World
The five-bedroom, 5 ½-bath estate that crowns the hilltop in Emerald Bay sold Feb. 28 for $7.5 million. Its September listing price was $8 million.
The 5,000-square-foot home at 1413 Emerald Bay in Laguna Beach is a study in modern architecture, with features that include vaulted ceilings, sculptural staircases, and clean lines that emphasize its open feel.
Virtually every south-facing room has a wall of windows, which bring the ocean views inside.
The home is on a 7,405-square-foot lot. The patio features landscaping and lounge seating, a rock fire pit, barbeque, a spa, and an outdoor shower.
Inside, the home has a wine cellar and a wet bar, as well as an additional guest suite. It also has a media room with a built-in media center with three flat-screen TVs.
Heather Kidder of Surterre Properties represented the seller, and Diane Cannon of Berkshire Hathaway HomeService represented the buyer.
Front-Row Seat
Homes on the front row of Irvine Terrace in Corona del Mar are known for their unobstructed, 180-degree views of the ocean, Newport Harbor, and Balboa and Catalina islands.
On March 3, the sale of the home at 1523 Dolphin Terrace closed for $5.3 million, or 96% of its November asking price of $5.5 million. The three-bedroom, 2 ½-bath modern-style home is 3,151 square feet and sits on more than a quarter acre.
The home was extensively remodeled in 2005. Each high-ceilinged space flows into the next, creating an open layout enhanced by walls of glass that showcase the ocean views.
It has tech amenities that include a home automation system with audio-visual and security controls, in addition to a fitness room, office and spa-inspired master bath.
Kathryn White and John Cain of HÔM Sotheby’s International Realty represented the seller, and Steve High and Evan Corkett of Villa Real Estate worked on behalf of the buyers.
Inland Elegance
The contemporary estate at 5191 E. Crescent Drive in Anaheim Hills, secluded and privately gated, sold on March 5 for $3.3 million, just under its December asking price of $3.4 million.
The five-bedroom, 6 ½-bath estate sits on more than 1.5 acres. It blends California modern living with Asian-inspired design, from the authentic Japanese koi pond and south-facing, two-story frameless glass entry hall topped with skylights to the resort-like grounds adorned with hundreds of palm trees.
The 10,211 square feet of living space includes a floating staircase, office, library, expansive family room with a soaring stacked-rock fireplace and full bar, and separate entertainment pavilion.
There is new limestone flooring, Hawaiian koa wood columns, and beamed ceilings throughout the home.
The remodeled kitchen features dual sinks, leathered granite counters, a Wolf gas range, dual dishwashers, and a Sub-Zero refrigerator.
The master bedroom has a private balcony overlooking the grounds. The estate also includes a swimming pool, spa, gazebo, terraced patios, fruit trees and lush lawn areas.
Carole Geronsin of Prudential California Realty represented the seller in the transaction, and Harshini Gunasekara of Real Estate Brokerage Group worked with the buyer.
