Renovating an Alta Laguna home paid off with a sale for Chris Guziak, co-founder of Provenance Realty Group in Laguna Beach. He helped make the deal happen through connections that transformed the listing into a hot property.
Q: Tell me about the Alta Laguna project.
A: I had sold the property to a client a couple of years ago. It was an old beat-up house that needed to be remodeled. I plugged in the designers for him and helped him work out what to do with the house. The sale served as a new benchmark for a newly remodeled home in Top of the World. It was the most paid per square foot – $2,825,000 at 2,850 sq. ft. And it sold in one day with three offers on it.
Q: What are the key design elements homebuyers are looking for?
A: In the coastal areas, people want their home to capitalize on views and to maximize indoor/outdoor living. Buyers want a big open great room, high ceilings, a smooth transition from the interior to the exterior, and huge sliding doors that open completely onto the back yard or deck. And at the price points in our coastal markets, buyers expect excellent curb appeal and fine finishes. New homes with these elements tend to sell quickly. Alta Laguna was able to implement them all.
Q: Who are the end buyers of these remodeled homes?
A: They are families wanting to move into a brand new house in this coastal region and a newly remodeled home gives it that feel. All the lots in Laguna are built out with no new homes going up. The Alta Laguna home was gutted and renovated and was the perfect property for a family. The outside is very traditional with a Newport Heights-Cape Cod look, crisp whiting and black trim; the inside very contemporary, clean and simple.
Q: Why did you shift allegiance from ReMax to Provenance?
A: I always wanted to open up my own real estate company so I started Provenance in January with a couple of partners. We saw an opportunity to be independent with a boutique brokerage and wanted to work in a fun environment, something vibrant that didn’t feel like an office at all. Honestly it feels like a club or a lounge. We have open work spaces and 10 agents. We specialize in newer construction, contemporary, more houses and attract many people who are rebuilding houses.
Q: What changes have you seen in the real estate market in the last year?
A: It has held steady. Prices are up this summer at 13% per square feet for the typical home. Inventory is down by about 18% so there are fewer homes. The sales volume is the same as last summer. Last year, a three-month period from May 15 to August 15, 74 houses traded; the same period this year, 75 houses were traded. I think the prices have continued upwards for years now. But sooner or later you will see a flattening or a dip. But as of now, it is holding steady.
Q: How do you personally manage for the downturns in the market?
A: When things are turning down, it is all about being ahead of the curve. Pricing the home correctly and being realistic in the market. Actually I have had my best years in a downturn. People do sell during these times, but have to be realistic with pricing. Or at least show the home as a good deal. The key is to price it to sell right away. I ended up doing a lot of business this way. But sooner or later there has to be a pull back and right now we have been going up for a long time, at least four years of solid price increases.
Q: Where do you obtain your listings?
A: Mainly from referrals. I do all the standard advertising and I’ve been in business for awhile. And we have a great location. We also have a strong online presence, as strong as any brokerage out there. We really have our hands around it, the digital marketing scene; social media, search portals like Zillo and Trullia and all other kinds of avenues. We make sure we are where all the people are looking at these days, and it is mostly digital.
Q: Have you had another career previous to this one?
A: I was in technology sales before. At Microsoft I ran a sales group in Washington, D.C. where I sold to other government agencies. I did that for about 15 years. I took that knowledge with me into real estate and it was the perfect setup for diving into digital marketing from day one.
Q: Why is digital marketing so important for real estate?
A: Everyone still lags in this area. The bigger firms are not as agile with social media. Doing it correctly is like an art and big firms just don’t have the process for doing it. With our company, we have it ingrained in our culture. When we hire agents, we make sure they clean up their online profile. They have to be on Facebook, LinkedIn, business page on Facebook and the list goes on. We make sure they are connected to our company site with each of them. They must have an online presence with the search portals that shows the online shoppers our agents are a player in this field.
By Gina Dostler
CONTACT INFORMATION
Chris Guziak
Provenance Realty Group Inc.
540 S. Coast Highway, Suite 202
Laguna Beach, CA 92651
949-899-8300 mobile
949-285-0509
info@ProvenanceEstates.com
