Music mogul Dr. Dre is still searching for a buyer in Malibu, CA.

The hip-hop legend’s three-story, beachfront pad has been on the market for nearly a year. Dre, who whose given name is Andre Young, listed the mansion in November 2022 for $20 million.

At the time, the lofty price tag seemed justified for a number of reasons. For one, the property is massive. It’s nearly 8,850 square feet and comes with a home gym and recording studio. Plus, it’s situated on Malibu’s exclusive Carbon Beach, which bears the moniker “Billionaire’s Beach” because of its many wealthy homeowners.

But despite the cachet this one-of-a-kind crib carries, it’s somehow still on the market. So, why no “California Love” for this swanky beach retreat?

On the highway, in the heart of Malibu

Carbon Beach might be the stretch of sand on which to own a home in Malibu. However, there are a few possible factors to consider when pondering why Dre’s property hasn’t budged.

“One of the main issues appears to be its location in Malibu,” says Jamie Camp, a California-based Realtor®, with The Agency. “Most Malibu buyers with $20 million purchase power are looking for privacy and to be off the main highway. Dr. Dre’s home is located on Pacific Coast Highway, in a busy part of the highway. It may have spectacular views and be a step away from the sand, but it’s in the heart of Malibu.”

Cara Ameer, a bicoastal real estate agent with Coldwell Banker, also points out that there are several competing properties in Malibu that offer much more privacy and larger lots.

“Many of the homes that this property is competing with are newer and truly turnkey,” she says.

In need of a ‘Hollywood face lift’

We’ve seen plenty of properties languish on the market because of outdated interiors—and with good reason. Many buyers aren’t willing to take on a renovation project.

Dre’s home is by no means a fixer-upper, and it certainly possesses contemporary architectural touches such as sky-high ceilings and walls of windows. But the house was built in 1993, and experts agree that certain rooms could use an update.

“Looking at the photos posted on the MLS, it appears the house is slightly dated,” Camp observes. “It needs a Hollywood face lift. A few walls moved around, new appliances, and updated flooring.”

Ameer shares a similar sentiment.

“The home is not updated, and there are lots of other choices on the market that buyers can pick from that have been substantially updated, rebuilt, and are nearly new,” she says. “At this uberluxury price point, buyers are not keen on doing work—unless the property is something so unique, and the buyer wants to take on a remodeling project. Between inflation and the cost of materials and labor, along with the time involved, that may not be so appealing.”

For example, the kitchen offers plenty of potential if outfitted with new countertops, cabinetry, and hardware.

Camp also indicated a strong home stager and new listing photos could be a boon for this property.

Is it priced right?

We also have to consider the price of Dre’s pad and how it aligns with the current real estate market conditions.

“Market dynamics have definitely shifted over the last few years, and even the higher-end market—that has typically been insulated from interest rate fluctuations—is experiencing a slowdown,” Ameer says. “Hence, the changing market has caught up with a lot of properties regarding price and condition.”

She believe this might be the case with Dre’s home.

“While the property may be priced right, it may not be priced right for the current market,” she explains. “Dr. Dre may have been banking on the celebrity factor to command a higher price; but when the market changes, even that may not be enough.”

Camp agrees that the price of the home is slightly high, especially when you consider its outdated interiors.

At face value, it might seem like homebuyers just aren’t that into Dr. Dre’s house. Then again, maybe the Grammy winner just isn’t in a hurry to sell the place.

“Many of these sellers don’t really have to sell, and they will wait things out to get the price they want,” Ameer says. “Their celebrity is part of the house, and they don’t want to drive negative attention by dropping the price.”

History shows Dre is keen on holding out for the right price—and the right buyer. He previously listed the home in 2011 for $11 million and then again in 2012 for $12.5 million.

“It is possible the perfect buyer has not laid eyes on the listing yet,” Camp says. “In the end, it takes one buyer in the right place and time to get it sold.”

The post Still D.R.E.’s Place: Why Hasn’t Dr. Dre’s $20M Malibu Home Sold After a Year on the Market? appeared first on Real Estate News & Insights | realtor.com®.