Just Sold: 2218 Ruhland Ave Unit A Redondo Beach
I just represented the first time buyer of 2218 Ruhland Ave Unit A in Redondo Beach and there were a lot of great “teachable moments” from this case study. But before I get into all that, here’s what else you need to know.
Two on a lot townhomes are one of the most popular housing types in Redondo Beach and particularly North Redondo Beach 90278. They come in a variety of flavors such as attached or detached with no common walls. For most of the ones in North Redondo, they have standard floorpans meaning the bedrooms are upstairs and the living room, dining room and kitchen are upstairs. Some, particularly those in South Redondo Beach, have “reverse” floor plans with the living room, dining room, and kitchen upstairs along with the primary bedroom.
Two on a lots can be either 3 or 4 bedrooms. Some also have a large bonus area on the second floor and in South Redondo possibly a loft or mezzanine level. In S Redondo you might also find roof decks which are less common in N Redondo.
2218 Ruhland is a detached 2 on a lot built in 2011. So relatively new as things go in the South Bay. Here’s how the property was described by the listing agent in the MLS:
“Gorgeous Spanish style detached townhome with AC and beautiful backyard. Enter in your light filled home to a cozy living room with fireplace & stone flooring. Enjoy relaxing while looking out to your lovely south facing landscaped backyard. Gourmet kitchen features 6 burner stove, granite countertops and plenty of room to entertain family & friends. Kitchen opens to the dining area and living room. Upstairs enjoy rare extra living space to be used for den, kids play area, office, exercise space use your imagination. High ceilings in the home with crown molding & surround sound speakers. Large master suite with fireplace, balcony, walk in closet, separate shower and tub to soak away the stress of the day. Featuring rare 3 full baths upstairs. Superb location near beautiful beaches, restaurants, coffee shop, freeway access and award winning Redondo Beach Schools.”
There are 4 bedrooms, 3.5 baths and the extra bonus room. The house was listed for $1,575,000. Let’s take a deeper dive.
CASE STUDY #1 THE OFFER AND NEGOTIATING
With the low inventory we’ve been seeing, it was no surprise that this property received multiple offers and my buyer client received a SMCO aka “Seller Multiple Counter Offer”.
As is common, the seller wanted the buyer to waive the appraisal contingency which we didn't do. Instead we agreed that the appraisal had to come in at a certain base level. That way the buyer’s risk is limited.
Also, while we were not the highest offer, I encouraged the listing agent to ask other agents we know in common about working with me. My local reputation really helped. The buyer who offered more than we did was not local and the listing agent felt more comfortable with me thanks to the thumbs up I received from the listing agent for the property the sellers were buying. (Their “up-leg.) And that leads me to……
CASE STUDY #2 THE SALE WAS CONTINGENT ON THE SELLER’S UP LEG
Or more specifically, the sale was contingent on the Seller’s Purchase of a Replacement Property (C.A.R. form SPRP).
That means that unless the seller bought another property this sale was not going to happen. The replacement property was already in escrow (as is common) but the seller wanted the Seller Contingency to be in place until the close of escrow on the up-leg. That was a non starter for us for a number of reasons not the least of which was that the seller needed the proceeds to purchase the up-leg. And I just wouldn’t let my client get into an escrow where at the last minute the seller could cancel. So we were able to negotiate a fixed date by which the seller would remove the sale contingency. And as things turned out, the seller took until the last minute, literally, to remove their sale contingency.
CASE STUDY #3 YOU HAVE TO VERIFY EVERYTHING
As agents we always hear “Milgard windows have lifetime warranties”. So when it came up during the inspection that a few windows were damaged and needed replacement, guess what the listing agent said. Yes, “Milgard windows have lifetime warranties”. But being the fanatic attention to detail agent that I am, I went on the Milgard website as if I was a home owner trying to have windows fixed under warranty. And guess what I discovered? It’d not quite exactly accurate to say that ALL Milgard windows have a lifetime warranty under all circumstance. In fact, for this property the original owner had a lifetime warranty but any other owners only ten years from the date the windows were made. Whoops. But fortunately we were able to get the owner to place the repair order which Milgard said they would honor for the new owner - because the original owner placed the order.
CASE STUDY #4 DON’T BELIEVE EVERYTHING YOU SEE ONLINE
The house was listed as being 2340 Sq Ft which is what the LA County tax records indicate. But when we received the Redondo Beach Building Report, it showed 2476 Sq Ft. Not a huge difference but I always prefer when the discrepancy shows the property is larger than the buyer thought it to be.
The final sales price for the home was $1,665,000.
Another first time buyer helped by Ellis Posner.