6 Things to Know about Buying Oceanfront Property
Owning a home on the ocean is a dream for some buyers. But given the limited supply, and certainly the cost, an oceanfront home is not in the cards for many Carlsbad home buyers.
There are important things to consider when buying and owning an oceanfront home. This includes pros and cons to be aware of during the purchase process, as well as what to expect after you move in. These are in no particular order; some issues may matter more to you than others.
Read also:
10 essential things to know about buying a second home
COSTS:
Higher prices go with the territory along the ocean. It’s common for oceanfront homes to run well into the 7 figures, and in some cases even 8 digits, with price per square foot costs typically $1500/sf to over $3000/sf.
At the time of this article, there are several oceanfront homes for sale in Carlsbad, ranging from about $5.5 million to $29,950,000 (this is on par with oceanfront homes in Del Mar and La Jolla). Oceanfront homes from Oceanside south to La Jolla and Coronado can range from around $3,000,000 into the $20 million range.
Other costs to consider beside price include insurance, property taxes, and exterior maintenance of the property due to oceanfront living (weather, erosion), as well as improvements such as stairs to the beach, erosion control, or a sea wall. If you are buying a second home, or a larger home than your current property consider the cost of furnishing, utilities, and any remodeling you might want or need to do.
But if you have the budget, the costs are likely well worth the advantages you will enjoy with living by the ocean.
PERSONAL WANTS AND NEEDS:
Besides having wonderful views, there are no doubt features and amenities about an oceanfront home that are important to you and may either be “Nice to have’s” or requirements.
Given the limited supply of oceanfront homes the more flexible you can be the better, especially if you want to be in Carlsbad or another coastal community.
Obviously budget may be an important consideration in your search. If you are paying cash you may need to provide proof of funds or a letter from your banker to see certain homes. If you are getting a loan, a pre-approval will be important documentation of your financial capabilities. Many sellers in this price range will also ask for a Proof of Funds even if you are pre-approved.
There are town homes and condos, as well as single family detached homes, often with a big difference in pricing. You will want to consider which type of property best fits your lifestyle, and your budget.
Is having direct beach access important to you (e.g., private path or stairs)?
Is a property with a seawall important (keep in mind approvals for these may be difficult to obtain and costly)?
Do you want outdoor space for entertaining (e.g., decks, patios, outdoor kitchen, pool, spa, large yard)?
Is a gated/fenced property a must-have (including security beach access)?
You’ll also want to think about all the other features that may be important to you – size of the home, number of bedrooms and baths, main living areas, guest space, office space, kitchen and amenities, etc.
WEATHER:
Weather can be a bit different at times along the ocean. Here in Carlsbad we get plenty of marine layer and occasional ground fog, and it’s not unusual for it to be more significant, and frequent, at your oceanfront home at certain times of the year.
The sun will be intense late in the day because you are facing west (true, too, of course, for non-oceanfront homes).
That can impact not only the temperature inside the house, but strong sunlight over time can do some pretty hefty damage, inside and out. The sun over time can fade rugs and furniture if you don’t have or use shades or have special protective window glass.
You can also expect more wind from the ocean, and during storms the winds can be significant. There is also more moisture, being on the ocean, which can create issues both inside and out, especially to exterior wood.
INSURANCE:
Insurance costs may be higher for oceanfront property due to the higher risk potential for damage to the house, erosion, and replacement costs. You will want to check on this early in your due diligence so there are no surprises, and make sure you obtain the coverage needed to protect your investment, including any flood insurance.
If you are using a loan for your purchase the lender will need to be satisfied with the amount of insurance you purchase.
CALIFORNIA COASTAL COMMISSION:
In addition to any approvals and permits needed for the City of Carlsbad, or other communities, in the areas close to and on the ocean, the Coastal Commission may need to approve certain improvements.
It's important to be aware that the California Coastal Commission is a state regulatory body with oversight of land use and public access in the coastal zone (see Carlsbad coastal zone map). Whether in the due diligence phase as a buyer, or as a homeowner, you may want to verify what can and cannot be done to the property (inside and out), what the process is, and how long approvals take.
Do not assume you can simply add stairs to the beach, create a large deck, or protect against erosion by adding a sea wall if one does not exist. Indeed some desired improvements (e.g., sea wall or stairs) might not be approved at all by the local government or the Commission. And if they are the costs could be extensive.
EROSION:
Erosion is a fact of life by the ocean due to winds, storms, and the sensitive nature of the bluffs, and sometimes even from humans climbing on the bluffs.
It’s not unusual to see erosion change the face of the bluffs, the width of the beach, and the vegetation along the ocean; some homes may be more prone to erosion issues than others because of their location and environmental conditions.
Be aware significant storms can cause dramatic changes along the ocean very quickly.
A geological or engineering study may have been done and on record, but if not it’s a prudent thing to have done in a bluff-top location during your due diligence process.
LIFESTYLE:
Of course the pros include living by the ocean, having easy access to the beach (your own stairs or path, or perhaps nearby public access), enjoying beautiful views of the ocean and sunsets, listening to the surf, enjoying the sea and bird life, and having a general feeling of relaxation many claim they experience by beach-front living and gazing at the water.
Are there downsides or trade-offs of oceanfront living? That depends on your personal perspective. Depending on the location of the house you may experience:
- traffic noise from commuters
- beachgoers walking, biking and driving along public roads nearby (e.g., the Coast Road)
- people accessing and using the beach in view of your house, especially in the summer and on weekends, which means more noise
- surfers parking nearby and accessing the beaches
- cars parked on public streets in front of the house
Please call me at (760) 840-1360 so we can discuss your needs and budget for your beach front home and get started on finding you the right property that meets your requirements and desires.
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