Buying a Home in Malibu Colony

Damon Skelton

Malibu is the perfect choice for coastal lovers who want luxury real estate with stunning views. The Colony is an enclave of luxurious oceanside homes, often referred to as “the original Malibu,” that dates back to the Golden Age of Hollywood. This gated community stretches along the pristine coastline that has enticed people to the area for many decades. Its real estate is among the most coveted in the area, thanks to its proximity to the beach and entertainment in central Malibu. What once was a modest gateway for Hollywood’s finest has become an area brimming with actors, artists, filmmakers, and high-powered movers and shakers.

The area has a mixture of new luxury dwellings and longstanding homes that expertly blend the glamour of early Hollywood with modern architecture. Located south of Malibu Road off Pacific Coast Highway, you’ll be within walking distance of world-class shopping, dining, and entertainment. Homes range from classic bungalows to expansive mansions with uncompromised views of the Pacific Ocean. In addition, you’ll find 24-hour gated security that ensures privacy for all residents. If you’re considering buying your own piece of this paradise, you’ll want to know as much as possible. To help, here is everything you need to know about buying a home in Malibu Colony from an expert local realtor.

Why should you buy a house in Malibu Colony?

The gorgeous year-round weather

It’s no surprise that sunshine abounds in this charming community, especially in sunny Southern California. Malibu Colony is sunny nearly all year, and the combination of warm weather and cooling ocean breezes gives it a Mediterranean climate that feels like a permanent vacation. Add the stunning views and sweeping ocean vistas, and you’ll love spending your days here.

Endless activities

As part of Malibu, there is an endless supply of things to do and explore. Whether you’re spending a sunny Sunday at the Malibu Farmers Market picking up farm-fresh fruits and vegetables or visiting the historic Getty Villa with its Greek and Roman antiquities, you’ll never tire of things to do. Various events are held year-round, like the Malibu Film Festival and Malibu Arts Festival, that offer a unique look into the local community and boast plenty of fun for everyone.

Delicious dining options

Malibu Colony is within walking distance of some of the area's most delicious restaurants. You'll find it here whether you’re in the mood for beachside fine dining or a delicious farm-to-table meal.

Outdoor adventures galore

Between the year-round warm weather and the unspoiled natural areas, Malibu Colony is the perfect spot for outdoor enthusiasts and nature lovers. There are miles of hiking trails that weave through the Santa Monica Mountains and coastal hikes that provide stunning panoramic views. Water lovers will love chartering a fishing boat or renting a kayak on the weekends. Even if you’re not interested in being in the water, whale watching between early December and May has become a coveted event for many.

Malibu wine country

Malibu is relatively new to the wine scene and has only been recognized as an American Viticulture Area since 2013. Wine lovers will still find the burgeoning wine scene flavorful and bursting with the same stunning views you know and love.

Types of home loans for all homebuyers

Conventional loans

A conventional home loan is the most common type of fixed-rate mortgage and is accessible to most buyers. Buyers can choose between a 15-year or 30-year fixed-rate loan, which guarantees the interest rate does not change during that time. A 30-year loan will allow for lower monthly payments due to the extended length, while a 15-year loan means you’ll pay less interest.

FHA loans

FHA loans are popular among first-time buyers because they require a 3.5% down payment, which is less than the standard minimum down payment of 20%. This is ideal for a low to moderate-income borrower as it offers the chance to secure a mortgage without waiting for a down payment. However, this type of loan also requires you to hold private mortgage insurance, which will increase your monthly payment.

VA loans

A VA loan specifically benefits service members and their families. Like conventional mortgages, these can be backed by various lenders, but you must meet a minimum service requirement to obtain one. A plus to this loan is that you aren’t required to make a down payment or hold private mortgage insurance. While this sounds ideal, there are a few drawbacks to VA loans. First, you’ll be required to pay a funding fee to cover the cost of foreclosure in case of default. Additionally, a VA-endorsed appraiser must evaluate the property and deem it worthy of the loan.

Money-saving tips for buying a home

Get pre-qualified

Getting pre-qualified is a simple way to gather an estimate of what size mortgage you may obtain. A lender will perform a soft credit check and examine your proof of income to determine your ability to pay the monthly mortgage. A pre-qualification is a great place to start, but if you take it a step further and get pre-approved, you’ll have solid numbers to work with and be able to search within your budget.

Consider a bigger down payment to keep monthly payments down

The size of your downpayment varies depending on the home, but in most cases, it is between 3% and 20% of the home’s purchase price. One important thing to note is that the greater the down payment, the smaller the loan, which saves money over time. If you don’t have a larger down payment but can wait to purchase until you secure one, that may be in your best interest.

Increase your credit score

Another thing that will help keep your rates and payment down is a higher credit score. Buyers with higher credit scores are considered worthy to lenders and will likely get better rates. You can ensure your credit score is within acceptable range in several ways. Start by ensuring any credit cards are paid off or minimally used. A good rule of thumb is to keep the utilization rate below 20%. A few months is all it takes to bring your credit up and within good standing.

Work with a real estate agent

A trusted real estate agent is the best way to ensure you find your dream home and go through the process smoothly. Finding an agent is as simple as researching and asking detailed questions. You’ll want to know their history in the local market and their track record with clients. Your agent is your biggest ally and will have your best interests at heart.

Are you ready to secure your piece of paradise?

If laid-back luxury and dreamy scenery is calling your name, then Malibu Colony is the perfect place to call home. Contact Damon Skelton if you’re interested in looking at Malibu Colony homes for sale. With more than 20 years of experience in southern California real estate, you’ll be in trusted hands.

*Header photo courtesy of Damon Skelton

Damon Skelton

Meet the Author


Damon's Business experience and interest in Architecture led him into a career in Real Estate nearly 20 years ago. Whether working with successful investors to find, develop and sell some of Malibu's most luxurious properties or helping a family find their dream home, his passion to see clients achieve their goals is the same.

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