Friday, June 13, 2008

$40,000 a month beach rentals in Encinitas?



Check out this Wall Street Journal story about summer rentals,
The 'Five-Star' Beach Rental

excerpt:

Ray and Cathleen Shera are among the beach house owners who are trying to lure tenants. The couple bought a four-bedroom oceanfront home in Encinitas, Calif., for $3.55 million in March 2007. Initially, they thought they might hold it a while, then sell it. But the Southern California real estate market quickly turned sour, so they decided to rent it out instead.

To stand out from other beach places on the rental market, the couple says they spent more than $500,000 on upgrades and new furnishings, including Italian leather sofas, a new kitchen with a 50-bottle wine chiller and a Jacuzzi with iPod hookups. They also stocked the linen closet with Frette sheets and towels and the baths with scented salts and shampoo. "We wanted the same quality as a five-star hotel," says Mrs. Shera, an interior designer.

Seven months ago, they started advertising the home for $40,000 a month in the high season. Their strategy worked -- at least to the extent that they've been booked most of the time. But because of the tough economy more competitors are adding their vacation homes to the rental pool every day, making it harder to attract customers, even with all the amenities. The Sheras recently cut their rates by more than 20%, and say they're just breaking even financially.


People are wacky!

High end Neptune rental example and here.

27 comments:

  1. Reality Check

    My rental (2 spare bedrooms) is an 8-minute walk from the beach, rents for $700/week, & most of August is still available.

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  2. Ain't gonna get $40,000 passing by boarded up buildings on 101

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  3. Wow.

    That is $3,200 in TOT taxes!

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  4. I am soooo glad the scum short term landlords have to pay TOT. Everyone needs to pay their way. Quite selling out our town for your profit. Its not our fault you bought to high.

    I hope the City puts the extra 2 % on the November ballot. I will vote yes!

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  5. Ray and Cathleen Shera are scum! Short term rental land lord scum!!! I hope they lose their ass!!! And get taxed up the ass!!!!

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  6. At first blush $40k a month does seem like a lot of money, however the web site shows them booked for the summer... good for them. That's just over $1300 a night for a whole house. Wonder what the Four Seasons or La Costa charge a night to lodge a family? Probably more than that.

    It is an extremely nice home, with a world class view of the ocean in one of the nicest cities in the US (or world). So while I can't afford $40k a month, it seems like a decent deal to me when people pay $100k for a week for a home in Aspen or Malibu or $5k a night for a suite at a fancy hotel.

    On top of the TOT of $3,200 a month, they pay around $40k a year in property tax, having another nice home in the area adds value to the community, etc. The community should decide if the short-term tax goes up... if it does, then they will have to pay. Simple as that.

    I just wonder what makes them scum? is it the nice home, the summer rental, the monthly rate, or something else? Haters maybe? Seems to be lots of negativity going around...

    I believe that it is good that they can rent this, it supports our real estate values, our ability to attract capital, investments, business and appropriate development.

    Maybe with the right city council, increasing tax revenues and a robust economy we can get the tracks buried!?

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  7. so nice to see that all of the anonymouses have grown up..... Scum... let those in glass houses not cast stones.... they probably have no idea where Lolo's Vegetarian Pizza used to be in Leucadia back in the day..... Thank god someone in this town is fixing up properties and contributing to the well being of all of us through the higher contributions to the tax base..... signed, Native Neptunian

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  8. Brian-

    Short and simple-

    Scum because they promote short term rentals which should be in commercial zoning in a resident zoning. Residents raising families do not prefer to live next to short term rentals. Reasons - No ownership. Loud, disrespectful, and rude are all reasons. I hope you can understand that.

    Plus they act the same way on the beach. No ownership. Loud, disrespectful,and rude.

    If you want short term rentals move to Mission beach. I personally don't wont Encinitas to become a Mission Beach or Redondo Beach. I see Encinitas as more of a coastal family oriented town.

    Hence I find all Short Term Rental Landlords scum sucking bastards. The only thing short term rental landlord scum care about in Encinitas is if they are making a profit. I hope they lose their ASS!

    If you see Encinitas future as more like Redondo Beach that’s your prerogative. I will fight you all the way and that is my prerogative.

    If you don't understand my position, you have no hope.

    I will always oppose short term rental landlords, because they are Scum in Encinitas!

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  9. 10:47

    Where Karina's is now. What do I win?

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  10. Fred: that's beautiful, now your bonus question is where was the original Sub Palace location opened by Spider and Steve.

    and to Senior anonymous that continues to use vulgar bitter language, Leaucadia stopped being a family town west of 101 when the Woodly Avenue sign was removed from the freeway.

    Neptunian Native

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  11. The real scum in Leucadia are those low rent, trash mouth people like anonymous. If they are doing monthly rentals they won't need to register or pay any of the tot tax.

    So who benefits that we upgrade properties in Encinitas? We all do. It raises every one's property value, brings in nicer restaurants, more upscale shopping, etc. I guess it moves potty mouth people like anonymous out of the area. That's good for us.

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  12. the real SCUM!!June 14, 2008 11:29 AM

    The real scum in Encinitas/Leucadia are those that have a room or garage to rent and don't report that income on their taxes let alone the pay the TOT. That is scum!! My neighbor rents his garage and his rooms out to low lives and losers and doesn't report a nickel in taxes, he is the SCUM of Leucadia.

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  13. Got me on the Sub question Neptune Native. But I'm pretty sure it was Woodley Road not Avenue so we're even. Now it's my turn:

    Where was the Rock Garden and who ran it?

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  14. The Rock Garden was just south of Roy's Market and it was owned by Mr. Harvey.

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  15. Fred

    Road or Avenue you got me, we just called it Woodly. I liked the Rock Garden question albeit answered already. Two doors east of 7/11 Spider and Steve took over the Sweet Tooth Ice Cream Parlor. They were there until Wally forced them to move into the Hwy101 location. Steve Casanova bought Spider out then moved on. He now has Casanova's Pizza in OB.

    Neptunian Native.

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  16. 2:24

    Yes and no. The Rock Garden occupied the same building as the first Roys Market which today is the Longboard Grotto. A guy named Rocky and Doug sold records and hippie stuff there. I bought my first Quadrophonic reciever there. Wooooo. That was passed up by the Milliphonic which was one speaker less than infinity (according to Steve Martin).

    But back to topic: WHO can sleep anywhere knowing it's costing $900 bucks a night?

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  17. Did the Longboard Grotto building sell?

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  18. this fred guy is a dork from the oc that should get a life... people shouldn't pay the prices he charge for old crap either.... don't be greedy freddy.

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  19. You’re a jackass. Or uninformed.

    You have no idea who Fred is. If you did, you would love him like most of Encinitas does.

    For those that don't, I'd say get to know him he at Caldwell’s antiques.

    I love him and I am sure once you get to know him you will love him too.

    He is truly a good soul.

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  20. We love you Fred!

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  21. Well Fred, ya finally got "flamed"...Welcome to the club!

    Everyone loves Fred!!!

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  22. Fred, you're the real thing, always will be. Glad to know you.

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  23. My renters are young families from Northern California, Arizona, and Colorado. Parents and children who come to the beach for a week, have a memorable summer vacation, and go home. I live on the property with my renters, and they are not disrespectful, loud, or rude. They are nice people, and I enjoy providing them with a place to stay.

    The 'have nots' will always hate the 'haves'.

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  24. Woodly did not exist west of I-5' that section was called Fulvia. Woodly used to end at Orpheus.

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  25. Barry GoldwaterJune 16, 2008 4:06 PM

    Anon10:18- How true the "have nots" will always hate the "haves". Many have nots are just lazy scum and aren't willing to do the work(save the $$) needed to be a have.

    Sadly they can vote to take away your Have and give it to some have not scum!!

    "Any Govt that is big enough to give you everything you want, is big enough to take every thing you have."
    Barry Goldwater

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  26. You're right: "People shouldn't pay the prices he charge for the stuff he sells". They should pay more.

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  27. Fred's a dork. $40,000 K a month is ridiculous no matter where in the world a house is located. A scam is a scam.

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