Yes, prices have fallen wherever you go in Southern California. But the Senior Community of Laguna Woods Village, formerly Leisure World, prices have fallen even more!
This is because the death of the “Greatest Generation” (those people 75 + in age) and the transition to the next major generation, the “Baby Boomers”! The Greatest Generation is dying off and the Baby Boomer generation has yet to keep up with supply and demand… We are predicting that with the “Graying of the Baby Boomers” and their retirement, over the next 14 years, prices in the village will double over the next 7 years. That would be the mid-point of this retirement boom. To do the math, we are talking about 2015 prices will DOUBLE in Laguna Woods Village, one the largest alive retirement communities in Southern California!
So if you are thinking of retiring, Laguna Woods Village is a great place to retire to: 7 clubhouses, 5 swimming pools, 27 hole championship golf (only $8 a round for residents!) – It is a gate guarded community with patrol, there is FREE bus service for all residents, and over 200 clubs to join! Laguna Woods Village is truly a retirement resort community… Check out my web site for more information about Laguna Woods Village, formerly known as Leisure World: www.leisureworldre.com
Leisure World, Laguna Hills, California (now referred to as Laguna Woods Village in the City of Laguna Woods) is the nation’s leading planned residential community for seniors. It was conceived and developed by Ross W. Cortese, who built the first Leisure World in Seal Beach, California in 1960. Cortese, a man of unlimited vision, believed that a void in housing existed for a person age 52 and over.
To find out what Seniors wanted he talked to civic leaders, doctors, clergy and groups of older people. He discovered that Seniors, those 52 and over, wanted a fresh new start in their lives after raising a family, fulfilling a career and, basically, just wanted to be free of household duties and the maintenance and up keep of a home. They wanted to enjoy their “Golden Years”!
Based on his research Cortese, working with a team of planners, architects, builders and designers, started Leisure World in Laguna Hills in 1963. His concept was to build a community that would cater to the needs of seniors.
The first manor (residence) was completed in November 1964 and the last manor in September 1980. Leisure World (the name was changed to Laguna Woods Village in October 2005) has approximately (2008 figure) 18,000 people who live in one of the 12,736 residential units (6,323 co-ops, 6102 condos and 311 units in two tower buildings), 7 clubhouse (originally 6 were constructed, but a 7th was added in 2005), 5 swimming pools, 10 tennis courts, 2 golf courses, an equestrian center, 10 craft shops, 2 garden centers, 2 RV storage areas, a library, 2 fully equipped fitness centers and over 200 clubs and organizations for residents to participate in. Add to this a “free” community bus service and a residence security service that patrols the 2,095 acres and mans the various entrance gates.
When completed Leisure World contained all the elements that Ross Cortese had envisioned in the early 1960’s, security, access to local health care facilities, nearby shopping, good transportation, cultural events and programs, excellent housing, recreational and educational opportunities and various other activities designed for Seniors to ensure their freedom and the opportunity to enjoy their “Golden Years”.
Right now it is a “buyer’s market” and we have many fine homes ranging in price from $122,000 on up to $350,000. Patrick McNamee of Century 21 Rainbow Realty is an expert in this area, please check out his web site to get more real estate information about this active senior community:
www.leisureworldre.com
Article contributed by Frank J. Hill, Broker/Owner Century 21 Rainbow Realty
Used with permission
Although Laguna Woods Village is one of the most affordable senior communities in Southern California, there are still financial requirements for purchasing here. For a Stock Cooperative, or Co-op, you need $125,000 in liquid, marketable, or income producing assets above the purchase price of a home and $36,000 per year in income… Now, family can “co-sign” with the resident (i.e. - your sister and you and help out your dad) in order to reach the financial requirements. “Assets” can include equity in a property (do you or your sister own a home?), 401 k, IRA, stocks and bonds, income producing property, etc.
It is very common for a daughter or son to “go on title” 1% so their finances can help their parents move into Laguna Woods Village… Also, another bit of information or “work around” that we have is any resident that gets a loan for more than 50% of the purchase price (i.e. - put down 20% cash and get a loan for 80% of the purchase price as an example) the financial requirements “may be waived” upon the judgment of the board. We have found that the financial requirements will be waived for one or the other of the requirements if the resident gets a loan for more than 50% of the purchase price. In other words, if you meet the income requirements but not the asset requirements - you are in - typically.
I don’t know if these financial requirements help in making the City of Laguna Woods one of the “Top 10 Safest Cities in the Nation”, which it is, but it sure can’t hurt!
Please see my web site if you have any further questions or would like more information about the active senior community of Laguna Woods Village, formerly Leisure World, at: www.leisureworldre.com
We have both types of homes in Laguna Woods Village, but very interestingly, they are many times the same floor plan! So you can buy a “Casa Linda” home as either a “Condo” or a “Co-op” but what are the differences in ownership?
Good Question! In Laguna Woods Village, a Co-op is not any easier or harder to sell than a Condo, it appriciates - or in this current market - depriciates - at the same rate as a Condo. You get the same benefits tax wise from ownership of either a Condo or a Co-op (i.e. - you can write off your mortgage interest and property taxes). The only difference is in Laguna Woods Village is the fact that you can only rent out a Co-op for 6 months out of the year, and you can rent a Condo year around. So if you are an investor, you would want to buy a Condo so you could rent it out. If this was going to be your primary residence, then purchasing a Condo or a Co-op would not be as big an issue.
What exactly is a Co-op? The full term is ”Stock Cooperative” and they are a lot more popular back east where they have the brown stone buildings, in New York as an example. See the Diagram Below:
The problem came up in the early to mid 19th century, how can we sell the units in a building? The question comes up, well who owns the land underneth the building? So what they did, was come up with an idea where the Corporation buys the building and then each apartment in the building gets stock in the Corporation based on his/ her ownership share. To make it simple, see the diagram above, if you have 4 apartments in the building, each apartment/ home would get 25% stock in the Corporation (4 x 25% = 100%)
What you actually get when you purchase a Co-op is a Stock Certificate instead of a Deed of Trust. Rest assured, it is just as valuable as a Deed of Trust and you can even get a loan on them! Just like a Deed of Trust - getting financing is no problem!
Laguna Woods Living is all about informing you of the retirement living opportunities at Laguna Woods Village (formerly Leisure World) in Orange County, California. Please read the current posts for information about purchasing in this world class Senior Community, financial requirements for purchasing here, housing styles, and other general information of interest. Have a quesion? Leave a Comment and I will answer it!
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