Our $212K Home By The Ocean In Laguna Beach, CA Is Actually A Trailer
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- čas přidán 14. 06. 2024
- Jaclyn Westlake, 38, and Brian Westlake, 42, live in a 1960s aluminum trailer in Laguna Beach, CA. They purchased the 940-square-foot trailer for $212,000 in 2022.
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Our $212K Home By The Ocean In Laguna Beach, CA Is Actually A Trailer
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Land lease $3400 a month for a trailer is mind blowing 🤯
It’s on the beach!😊 all beachfront property in California is expensive!
The land lease system has always been an anchor to upward mobility of lower income families but in this context it's just like...blown over because it's Laguna beach.
Beautiful style. They did a wonderful job with their place.
It’s laguna. Same area as 3 story mansions overlooking cliffs with rotating floors. To live in that area, how they are, that’s a steal. That’s California dreamin. Trade off though is the COL obviously. Happy for them. I was born and raised SoCal. Would never return after seeing the rest of the US and other countries. Ignorance is bliss.
I live in So. CA, have my whole life. Mobile home parks, lot leases away from the beach is around $1500 so $3400 is not surprising.
I live in a 18,500 resident 55+ community around 30 minutes inland from Laguna Beach and my monthly HOA fee is $815. The housing costs are very high in CA.
Increasing 3% each year 💀
If you don’t own the land then it’s pointless. Look up all the recent news reports of mobile home owners of decades having to leave because suddenly rich people decide they want the land they considered once worthless , especially in a location as nice as this
It's coming
Yes, there are many places where mobile home owners are being forced out by greedy corporations acquiring rental properties then jacking up the rents. Luckily in Laguna Beach, the rent control laws apply to mobile homes, so that 3% annual rent increase referenced in the video is the maximum amount their land lease can be increased. When the housing market - both purchase and rental, increases exponentially on vacant units, that rent controlled annual increase is still lower than what most of us anticipate the housing market will be if we're moving to a new home.
Agreed but it all depends on the owners long term plans. Some like the investment for long term income and security.
trailers are not an investment!!!!! type in dave ramsey trailer park. please!!!!
Lots of haters in the comments. 38 & 42 years old…probably not planning on having kids, why not live in a little slice of paradise. They have jobs that allow them to live anywhere. Doesn’t seem like they have to worry about their current living situation being an investment. They can probably sell the trailer for a decent price if they decide to move in the future
I think the only reason the trailer wasn't $750k already was because of the insane land rent. That may make it a hard sell as the landlord charges more and more.
A cheap house, but that land lease is so expensive.
If and when they sell, they will not recoup the land lease.
If they paid market rate for a stick built traditional home, the initial cost would have been exponentially higher. If they even qualified for a larger mortgage, the associated finance charges on that larger amount would add up to way more than their land lease. Add to that higher property taxes on a more expensive home and higher insurance premiums on a higher value value home and you're still coming out much further ahead with the land lease. You don't recoup your interest payments, property taxes and insurance payments when you sell your home. With the ever increasing housing costs in their area, mobile homes are no longer loosing their value, so all around it looks to me like a good investment, especially with the improvements they've incorporated.
@@jekalambert9412 That is not the same thing.
@@jekalambert9412 You seem to be forgetting the fact that you would have a home that would have appreciated over time that you would own outright. The gains in property value outweigh the other associated costs.
Whats most laughable about this dumpster fire is the absurd amount of money these folks spent on a backyard that they do not own. WILD! And there is only so much you can get for a traier unfortunaltey that ceiling is low and it seems as though they will not recoup that either. God bless.
@@RC-wt7fr Mobile homes in California DO appreciate. As the housing market here becomes more and more inflated, mobile home prices continue to increase. The average cost of a mobile home purchased in 1970 was, according to HUD, just over $6k. Admittedly, this is vague because there's no breakdown for square footage or region, so we don't really know how much the initial cost was for the home in the video, but with a recent purchase price of $212K, it definitely didn't loose value.
To calculate return on investment, it is necessary to calculate expenses associated with that investment. You cannot ignore finance charges, property taxes, insurance, maintenance and improvements. Again, on a more expensive property, these costs will be higher and you will not recoup your expenses until the home is valued much higher than the purchase price plus expenses. We all know that in the initial years of a mortgage, most of the payment is applied to pay interest, not principal. If the market drops, many stand to loose a lot, weather you're talking traditional or manufactured homes.
In an inflated housing market, buyers usually lack cash to purchase a home outright and often do not qualify for financing, so they make choices based on what they can afford, as this couple did. Based on the comments, many have indicated that average homes in Laguna Beach cost almost $3million and average rents are upwards of $8K per month. At least this couple is paying less than market rate for their home, they're building equity, they get to live in a beautiful location, and based on the trajectory of the housing market, one can assume that their asset that will continue to appreciate - especially given the interior and exterior improvements. You also cannot dismiss the fact that they would have housing costs wherever they live, so by paying less than market rate, they are actually saving money long term vs what they might have paid for equivalent housing in the same area.
5k a month for a trailer 😂 painful
Because they are in Laguna Beach, California
@@NicksDynasty that’s still too much, even if it were then most beautiful place on earth.
@@ctlspl I don't think you can find a house or condo with a lower monthly cost than that in their area
@ctlspl It’s a really nice trailer with a really nice location. People need to get the “trailer” part out of their head.
Painful but beautiful i wish i had that opportunity that location is privileged very fee humana are able to live there
Their home is beautiful and in a great location. Living that close to the beach is like a year round vacation.
Diminishing returns
I love, love, love their back yard...... it's GORGEOUS!!!!! ♥
Laguna Beach is such a lovely town. I want them to come decorate my house! Theirs is so gorgeous. The backyard is amazing. Adorable couple, adorable dog, adorable home.
all i heard was $200K for a trailer
😂
Did you also hear $150,000 k home equity loan and $3400 a month land lease?
5k a month is insane. In 5 years they would have paid more for the land then the trailer itself. smh
Not California land
They still did an upgrade from a boat😅
not beach land
Sounds expensive at face value. But considering how California is normally expensive (this is just a slight premium on top of regular renting), how beautiful their home is, and the fact that they located exactly where they want to be in Laguna beach, $5K seems like a great deal.
This is the worst financial decision someone could make. Trailers only depreciate, they don't own the land and yet you need to maintain it, pay utilities, and a loan for the depreciating trailer. This is exactly what not to do.
Styled really beautifully & gorgeous location
Their backyard is so nice!
CNBC Make It, This made me laugh so much! Thanks for sharing!
Trailers rock! Love how you styled your home as well as the landscape! California, despite all of its nuances, is absolutely beautiful by the beach. Congrats to you both❤
I can see their vision. First thing I did when I moved to So Cal was build out the backyard like these folks did. No need for a lavish house when you’ve got the Cali sunshine pulling you outside all year. I’m seven years into owning my little 1888 built fixer upper and I’m just now getting to the interior updates after working through my outdoor projects.
Their home is beautiful and I love they thought outside the box. I'm confused on the leasing the land part, especially because it goes up 3% every year. You own the home, but it's not really yours because it's on a plot of land that you can't take so you could actually have to move it somewhere else, and they started off the video by saying they couldn't afford anywhere else. To each their own, it's a beautiful space. They have invested so much in the actual land, because the outside space they really build up from installing a fence, jacuzzi, landscaping etc.
carmellabrown3335 It’s really not that beautiful. It is HORRIBLY decorated on the inside with all that ugly wicker furniture & it looks like a house in the 90s. The outside is ok.
They are invested into this POS place. In 5, 10 yrs they will regret their decision as far as their housing choice. 100%
Wait....no closets??? Omg I'm dead
Laguna Beach is my favorite spot. I drive over an hour down from LA. For those whinging about the cost of housing, it's a steal for Southern California. My brother just rented out his 2 bedroom house in LA, 20 minutes drive to the beach, for 6K. And that is BELOW market rate. Most houses in his neighborhood are renting for 8K!
This is extremely expensive for most people. If it sounds too good to be true, it is.... this exemplifies this quote. 3400 x 12 = 40,800 and is going up 3% not including the mortgage.
Oooh cool, can’t wait to read your book!
The land lease is nuts!
There’s not enough beach for me to be convinced that this was a good idea😊
I’ve had the opportunity to live in Laguna from 2018-2023 and my quality of life was incredible during those years. Definitely a special town glad this couple is enjoying their experience down there as well!
I stayed in Huntington Beach for spring break and took a drive to Laguna Beach!! Such a nice area
Good job guys… this is very appealing.
Many folks commenting here most likely don’t know or have never been to Laguna Beach. It is a gorgeous small beach town and very expensive. Te couple featured in the video is very creative and found a way to live in their dream location. I may consider the same as I love Laguna Beach.
What a beautiful home! You guys did a great job of renovating indoor and outdoor. Great creative way to live your dream❤it!!
Such a cool space and being able to walk to the beach is huge. I love how they got creative with their storage. They could even airbnb it later because of the prime location.
Most mobile home communities do not allow subleasing or short term rentals, so Air BnB won't be an option - THANKFULLY!!! The short term rental market has contributed to the housing shortage in CA and that in turn has driven up rental prices for everyone.
@@jekalambert9412 👍
I've been to Laguna, great place!
But seriously how do you find a property like this? I've lived in Laguna Beach, and even that house, but easily be over for half -1 million. My friend had a TINY apartment that was over $1000 a month. Yeah she basically slept in her kitchen.
You have to wonder how much of those stories are actually just completely made up or exaggerated.
Lots of mobile homes beachside in Southern Cali. Just search any real estate site for mobile homes and use the map feature. The monthly land rent is very expensive though.
I love the backyard!
Those prices 🤯 I moved abroad five years ago. I live near the sea in a one bedroom furnished (plus small spare room) apt. I pay 480.00 and watch sailboats, dolphin, porpoise, swans, seals, otters, cranes etc
Yea,but California has some big money floating in the AIR. VERY SHOCKING TO SEE COMPARED TO THE LEVEL OF HOME LESS IS PAUNFUL.
Sounds good. Which location?
Mostly likely oversees like Thailand or Phillipines.
Malibu beach ⛱️ is where i wanted to live a few years ago! I imagined my home to be... Nothing but huge glass windows surrounding the entire beachfront home, with amazing views of the ocean, just watching my children play. Sounds like peace & heaven rolled into one! 💙
Hoa/land lease just negates home ownership. I was forced because being single i cant afford the standard house and 290 an mos is manageable for a condo. But even for me when im old and retired i might be paying 1000 a most for an hoa.
But land lease is basically them paying rent (high rent) for life….and the mobile will not go up so essentially down.
Crazy! Wow 😯
Looks great
Ps: Temu Matt Damon ???
Nooooo 😭😭🤣 🤣
That Sarah Silverman "I'm f**king Matt Damon" song just popped into my head. 😂😂😂😂😂
😹😹😹
Rainbow Shop Matt Damon 😅
Jealous. They can't stop smiling! That's so irritating! It is fabulous. It still costs a good amount per month, but it's fabulous, it's worth it and more. I wonder if the owner of the land can decide not to renew their lease or raise the lease an exorbitant amount.
Maybe they could work out purchasing the land from the lease owner sometime in the future?
Love it! We are doing similar!
They must really love the beach. Sheesh.
Lovely!
Just checked, they coudlve rented a 1br apt for about half the price they paying. 4.7k is insane!
The land rent is outrageous.
I'd like to know more about their boat life in Marine County, anyone else? That was a big "lounge/work area" that looked very comfortable too.
Absolutely STUNNING! I could k*ll for exactly THAT as it is. LOVE IT! LUCKY COUPLE!
Durban🌞🌍🦈South Africa
I was always told to avoid land leases at all costs. Interview some people who had a home in crystal cove (5 mins north) about 10 years ago. They learned the hard way.
$600,000 over 10 years for a trailer that cost them $212k. EEEEEEK
Kudos to you guys for finding a way to live near the beach! My mortgage in Estes Park is 6K a month. This is what life is as a home owner in 2024.
Omg this is really an awful deal guys. You could find a very nice locations elsewhere and paying for your HOUSE there much less!!
Do you know how much a house would be in California? Do you guys know prices!!
@@kristinrodriguezrealtordmv3434 I know, that’s why I’m telling you could find a really gorgeous location elsewhere in other states for half the price
Wow they can buy so much somewhere else for 5k a month but they are also where they want to be and found a way to stay there so sometimes you cant put a price on that
Spending 3400 a month on a rental is/should be illegal.
Why would someone have to explain living in a trailor, regardless of area.... it's your choice! Some folks are real snobs.
fun now, but in 10 years you realize you have no equity and your land lease and doubled in price LOL
So true. All they’ll own is a cheap old trailer.
These people are nuts.
I'd like to know what their net worth is. I'd be shocked if it was $250k. Absolutely shocked.
Imagine paying off the trailer and still paying 3k a month for land lease
Nice set up and pad / thought Matt Damon got a vacation home in Oc 😂
Beautiful home! Love the styling, the backyard and the location. The land lease is what deters me from buying something similar 😢. Where are the communities where you can own your land outright?!
There are many mobile home communities where you own the land, but the cost of those homes is more than double the cost of homes in land lease communities.
These are statistically the worst investments you can make.
Beautiful home and location…I can see why they made the decision to move there. The cost is steep but well worth it for the lifestyle…. as long as they can afford it. And when they no longer can I guess they can just roll it somewhere else!
Land Lease wow, a No for me
Financial issues aside, they look happy with the home and each other. That's more than a lot of people can say.
Calling this a "trailer" breaks the stereotype of what a trailer home is in America
How many of you have actually visited a "trailer park"? There's a persistent stigma regarding "trailers", but if you visited many mobile home communities, you'd find great housing at much more affordable prices than traditional homes. As housing prices increase beyond the reach of most average people, manufactured homes are becoming the only "affordable" housing option for many of us.
Because it's so expensive?
The land lease amount not being locked in is crazy cause you don’t have fixed about but it is nice for Cali
How do you take out home equity loan against your trailer. I owed my mobile home out right but need some work? Thanks
Lol yeah the video title is deceptive by saying it’s a “$212k home by the beach” 🤔
They lived on a boat to save money. To spend it all on $5,300 a month to rent a space that will never be theirs and finance a trailer that will depreciate like a car. They need to fire their financial adviser.
That land lease is some proper bullsh!t, wow.
Laguna beach is so nice
Nice home! My 5 storey beach hotel cost similar in the Philippines! Ohana Beach Suites! We open next year! 👀 ⬆️
Beautiful home and backyard, i definitely get the appeal! But that land lease kills it for me.
I consider up to 1000 for land for a trailer to be like reasonable and I could see it if it was like up to 2K in a more desirable area even like 2500 but 4K for some dirt are you serious?
Imagine how much the land owner is making off of others like them.
But look where they are. As someone who also lives in a trailer it's not common to find a back yard that size! It's a trade off for sure.
Living on the beach sounds like a plan! 💯
In 2022 I moved inland in southern California to a 1040sf mobile home, and it's the BEST place I've lived. My Wisconsin relatives were pretty snooty about me moving into a "trailer park" until they found out that my next door neighbor is a lawyer and another neighbor has a PhD in education and is the former superintendent of a Milwaukee suburb school district. All inclusive, land lease, insurance, taxes, utilities etc., my monthly housing cost is just under $800 a month. I have 2 bedrooms, 2 full baths, LR, DR, eat in kitchen, formal entry, more closets and cabinets than I have things to put in them, a 8'x40' covered deck and other nice uncovered outdoor spaces plus a storage shed and covered parking. My rent includes access to a clubhouse with a heated pool, fitness center, 2 hot tubs, a library, game room, laundry facilities, BBQs, and a dog park. I own my home free and clear.
Compare that to my previous home, a $1500/month 600sf detached rental house in Sacramento CA with numerous code violations like a leaking roof, rusty water from all faucets, raw toilet sewage overflowing into the back yard, mold, windows that didn't lock, a crumbling foundation and an open parking space under a tree where turkeys roosted and pooped all over my car to the point that I had to wash my car every time I went anywhere. I was forced to move while that house was renovated. After renovations, that house rents for $3k+/month.
I feel like I currently have the best housing deal in my life. I paid just over $50K for my mobile home and have put approximately $60k into renovations. It's beautiful and comfortable. I have more stability than I've ever had anywhere else in CA. You couldn't buy a comparable stick built home anywhere in CA for what I pay. Stick built homes, being more expensive, have a larger mortgage with higher interest expenses, higher property taxes and higher insurance costs. When you factor in the higher costs associated with stick built homes, my land lease cost is way less per month than the out of pocket expenses owners of a comparable traditional home would pay.
What outsiders don't realize is the context for housing costs in CA. Think about NYC with outrageous rents for tiny awkward spaces and you start to understand the CA housing market. When you understand the market, you appreciate the housing choice the couple in this video made for their beautiful space right next to the beach!!!
I'm renting in San diego. Where is this exactly? I'm very interested.
Please make more videos about living in Europe. Thanks CNBC Make it!!
They have plenty of them.
@@saulgoodman2018 I want more. Thanks
@@Aidan_Au They are also hundreds of other videos from other's that show about living in Europe.
@@saulgoodman2018 CNBC is an American company (NBC) - I can't imagine asking a European or middle Eastern channel to show more shows about the US and/or Canada - I'd just look for domestic channels
This trailer is pre-hud! Which means it is never (no matter how updated it is) going to be "safe" or "post-hud"
Yeah indeed. I’ve from HB & grew up there until 1988 and that price is actually low for Laguna, as she stared. Beautifully & thoughtfully decorated I love it 🤍. Laguna is definitely my favorite
Trailers in Montauk, NY sell for almost $2M 🥴
Lovely backyard. Lease land though?
That doesn't look like a trailer. Nice!
Heating and cooling must be a pain
I looked at a really nice neighborhood in MD and houses were much higher than the other neighboring locations. So, we laughed at ourselves and said, we mind as well live on a tent on the beach than live in this old shack just because it’s on the beach or buy a nice 3100sq feet home for the same price in a slightly different location away from the beach. So, we ended up buying the 3100 sq feet home and living like a royalty. The best decision ever!
Their trailer does look beautiful though ❤
Not a good deal! 5k a month can get you a real home in LA , if you want affordable beach side properties why not Florida?
Not beachfront.
rip off, I lived 10 minutes up the road in Costa Mesa and was paying $1400/month for a 1 bedroom apartment. It was walking distance from the Back Bay too. OK, so this is by the beach, perhaps $3K would be the max it is worth, this is an extremely inflated price even for Laguna Beach.
Now that's something you can duplicate around the country and have multiple homes
This is worse than renting a house/apartment. Sure you "own" the home, but you still pay rent for the land. Plus the home isn't really "mobile" so you can't really go anywhere if rent increases astronomically. Add on top of that, the value of mobile homes hardly appreciate (if ever). And good luck getting affordable home insurance and finding a bank to give you a mortgage.
@@PrecisionAcc Find a nice plot of land that you can buy out right would be perfect. Price just depends on the location. The land they are on is $$$
@@NicksDynasty even if you own the land, the fact that it's a mobile home means banks are very unwilling to give you a mortgage (unfair as that may be). Oh and one more thing, you still pay property taxes for some stupid reason (at least in California)
Should’ve just bought next to water. Plenty of places states that have beaches.
These people are financially irresponsible and are not building any equity whatsoever. The price of the land will continue to increase and there will come a time when that land is repurposed.
What a wildly unsustainable way to live.
That sir is an opinion, not a fact. I suggest you analyze the market where their home is located to understand the dynamics in their area before making comments such as the one above.
@@jekalambert9412 I am not sure where you learned math bud, but I am going to go out on a limb and assume in the USA. These people are living on leased land. That is the beginning and the end of the conversation.
Overall it's a lot cheaper than renting in Laguna and at least they have an asset (albeit an depreciating one). They aren't enjoying any appreciation but at least they are exactly where they want to be.
Mobile homes are no longer depreciating because of the extremely expensive housing market in CA. They are steadily increasing in value but remain "affordable" compared to traditional housing.
@@jekalambert9412 They depreciate over time and they put $150k additional into that thing to renovate it. These people are still winning though vs renting in Laguna Beach.
Beautiful home❤ now put the pots in the kitchen or switch it out with the liquor. Then invest in an ikea wardrobe for your cloths. If you just got off the boat there shouldn’t be much stuff. Also ask them to lower your rent and no you don’t live in a trailer. 😅
😮 $5k
Not cheap. And one day it will slide into the ocean.
its a mobile home. this where you start if you're broke or old...
Dave Ramsey says no to trailers
Dave Ramsy hasn't done the math. "Trailers" are often the only "affordable" housing available, AND, they aren't bad to live in either - especially newer manufactured homes that mimic traditional housing.
5k a month you could buy an actual house.
I hate everything about this. Not these people at all, but what real estate has become. What a sh*t show we’ve created.
I don't like the new doors and draws in the kitchen.
5k a month to live in a trailer by the beach.
Good luck selling it when you are ready because you can’t move it….
They will have zero problems selling and for more than they bought.
Don’t make a kid because it costs like $100,000 dollars from 0 to 18 years