Warren Buffett Slashes List Price on His California Beach House
When Warren Buffet bought his California beach house in the early 1970s, he paid a whopping $150,000. Today, he’s hoping to get a little more than that, having just slashed the list price by about 30 percent to the bargain rate of $7.9 million.
Buffett, who used to spend his holidays at the home, has not visited it frequently since his first wife, who died in 2004, died. He has said he bought the home because she loved it, but now Laguna Beach has “changed dramatically,” (possibly the understatement of the year) and he would like to sell it. Buffett sold an adjacent house, which is connected by a staircase to the main house and was used for house guests, in 2005.
The property has been on the market since February of this year and boasts 3,500 square feet. It is located in a gated community. The home has six bedrooms, seven bathrooms, and plenty of Buffet-related anecdotes for the new owner to enjoy. For example, Buffett joked in an interview once that he “hid out” in the master bedroom to write the Berkshire Hathaway annual reports each year. The property has sliding glass doors on all three levels that open to ocean-facing terraces, gray carpeting throughout, and white laminate countertops, tokens, per Architectural Digest, of “Buffett’s famously understated tastes.”
Although the property spent nearly half a year on the market at its original list price, the price cut could help expedite the sale. However, noted Bloomberg in a recent report, luxury real estate in the Laguna Beach area currently is staying on the market for over a year unless it is listed below $4 million. In fact, total sales were down 1.4 percent in July 2018 for all of Orange County, and about one in every five listings had at least one price cut.
Do you think Buffett should wait out the year to see if the house sells?