Look Inside Billionaire Warren Buffett's Emerald Bay Annex

EMERALD BAY, CA — It's a significant return on his original investment, but one would expect no less from billionaire Warren Buffett. The financial giant placed his Emerald Bay home on the market one year ago, and has just dropped the asking price by $3 million, to $7.9 million for the corner property. Even with dropping the asking price, earning $7,750,000 is a pretty solid return on his original investment.

According to Architectural Digest, the modern 3,500 square-foot home was originally sold for $150,000 in 1971 when he purchased the property. The gorgeous Emerald Bay home was a gift to his beloved first wife Susan, who loved the beach side getaway, AD says. The Buffett family often "hid out" here, using the home as a beach getaway, as well as a place to stay when they would frequent Disneyland. He hasn't spent much time there since her death in 2004, prompting the ultimate sale of the residence, AD reported.

He also purchased the home next door, and linked it to the main home with a staircase,thus the name "The Annex."

More on the 27 Emerald Bay Price Reduced On Famed Laguna Property:

27 Emerald Bay, Laguna Beach, California
• Price: $7,900,000
• Square Feet: 3588
• Bedrooms: 6
• Bathrooms: 6 Full and 1 Half Baths
• Built: 1936

Images courtesy Realtor.com