Waterfront Sales Update - December '08

A tough year for Lake Wylie waterfront real estate is drawing to a close. With economic uncertainty, wild stock market swings, and challenges within the mortgage and banking industry, we've certainly had a year like no other in recent memory!

Number of waterfront homes sold on Lake Wylie is down 45% vs 2007; vacant lot sales are down 64%. Currently there are listed 160 waterfront lots for sale on the Charlotte MLS, and only 17 listed lots have sold this entire year to date! Of those that have sold this year, most have been "premium" lots (priced over $400,000). In fact, the average price paid for a waterfront lot in 2008 was $417k- - quite a jump from recent years. This can partly be explained by a reduction in lots bought by builders for spec homes - - usually lots priced under $400k. Builders have had a tough time getting loans for spec property with the tightening of the mortgage market.

Waterfront sales for homes have actually seen an increase in average price paid as well - - up 10% from 2007. About 20% of the homes reported sold on MLS were priced over $1mm, the most ever in a year.

On the other end of the spectrum, many buyers have been "bargain hunters" in 2008. Excluding new construction, final price paid for waterfront homes in 2008 was just 83% of the original asking price. Foreclosures and short sales have definitely had an impact on lake sales

this year.

Buyers have been cautious, taking their time and looking at more properties. Internet activity on my website (buyers searching) has been strong, but there's no rush to commit. It pays to be ready on both the buying and the selling side, however. Great waterfront properties are always in demand, and when priced properly, they WILL sell. Several homes that have sold this year were on the market less than a month! Check out my website to see Recent Lake Wylie Real Estate Sales.

If you're in the market to buy or sell, let me know if I can be of service to you. Especially in these market conditions, having a waterfront specialist will make all the difference!

Thanks for reading my blog. Visit my website for advice on What to Look For in Lake Wylie Waterfront Property, Lake Wylie real estate search, and virtual tours for Lake Wylie property.

Lake Wylie Waterfront Sales Update thru 7/31/08

As summer begins to wind down, it’s a good time to take a look at what’s happening with Lake Wylie real estate sales. With all of the media headlines, it should come as no surprise that the waterfront real estate market is challenging this year! Despite the decline in sales overall, there are a few positive news items to report:

• Average price for homes on the lake are actually UP year to date: $834k vs $721k in 2007! (That doesn’t mean that the price on the average house has jumped 15%, by the way - - the increase comes from more sales at higher price points.)
• To date in 2008, eight homes have sold for over $1 million. That compares to six homes during the same period in 2007.
• 27% of waterfront homes sales were in the $1mm+ category in 2008 so far. In 2007, only 11% of homes sold had sales prices over $1 million. Likely explanation – the mortgage crunch is hitting the mid-market ($500-999) the hardest.
• Waterfront lot sales in new developments (Hands Mill, Somerset at Autumn Cove) are hitting the radar. Four lots have closed in Hands Mill, with a couple more pending. Several lots are pending sale in Lake Wylie’s new Somerset at Autumn Cove development.

Now that I’ve dazzled you with the good news, I’ll present the data that is not quite so rosy. In fact, year to date sales for waterfront homes are down 55% year-to-date, and waterfront lots are down 60%.

What we’re seeing on the lake this year, mainly, are “bargain hunters”. Aggressive price cuts are being seen both on and off the lake. I was driving through a new development (homes in the $400-$500’s) a couple of weeks ago, and signs were everywhere advertising “$50,000 price reduction!”. On the lake, homes this summer have sold for 84% of their original asking price. In some cases, homes were simply priced too high at first. In other cases, sellers needed to move the property.

During June and July 2008, 16 waterfront homes sold on Lake Wylie. Those homes had been on the market for an average of 217 days, and sold for 84% of original price. Contrast that with 2007, when 25 homes sold, 90% of original price, and days on market just 104.

For undeveloped waterfront lots, the story is much the same. Year-to-date, lots are selling at just 81% of original price, and have been on the market an average of 420 days, significant declines in performance vs previous year. Only two lots sold in June/July of 2008, for 75% of original price. The waterfront lot market has been affected by a cutback in sales to builders (as their current inventory is too high), tightening of the mortgage market, and general economic factors.

Conclusion? If you need to sell, price your property as aggressively as you can. It helps if you price it right coming out of the chute. Properties that sold for less than 90% of original price were on the market an average of 254 days. Properties that sold for more than 90% of original price were on the market just 104 days (less than half!).

If you want to buy, there are some excellent values on Lake Wylie right now. Call me or visit my website for a complete selection.

To read more blogs about Lake Wylie real estate, please visit my website, http://www.thelakewylieman.com/! Call David Coone at 803-493-2924

Source: Source for chart data: Charlotte MLS, sales as reported 1/1/08 thru 7/31/08.

Waterfront Sales Update - Early Summer '08

June 5, 2008 - Lake Wylie Waterfront Sales Update

The heat of the summer certainly hit us this week, and traditionally waterfront sales are hot this time of year as well. Last year at this time, 40 waterfront homes and 18 waterfront lots had already sold. This year? Ten homes, 8 lots. Everything from gas prices to election news to mortgage issues have affected our Lake Wylie real estate marketplace. In addition, real estate slumps in other markets have slowed down our sales to out-of-towners, as they are unable to sell their homes and move.

I realize that the market conditions are disconcerting. When we look at properties that HAVE sold, it’s natural to ask, “Why not me?” (I think that was the name of a country song a few years back.)

I’ve taken a good, hard look at what has been selling in recent months, and have made some observations that I want to share with you.

- Most of the homes that have sold so far in ‘08 have either been “bargains” or new construction. Half sold for less than 90% of original price. Four of those were under 80%!
- Days on the market is 31% higher this year.
- However, for homes priced “right” (sold for 90%+ of asking price), DOM has improved!
- Sales for waterfront lots are also down significantly vs. year ago. The lots that have sold in ’08 have sold for reduced prices, and were on the market for over a year.

Conclusion? Price it right, and hang tight. The market will turn around; it always does. Price is definitely an issue this year, and needs to be aggressive if you want to sell quickly. Please call me if you have questions or would like to discuss strategies for your property!

To read more blogs about Lake Wylie real estate, please visit my website, http://www.thelakewylieman.com/!

Source: Source for chart data: Charlotte MLS, sales as reported 1/1/08 thru 5/31/08.

Rock on, Rock Hill!

Census estimates released in early July show that Rock Hill is now the fourth-largest municipality in South Carolina. Population is approaching 65,000, and has grown 56% since 1990.

Other Rock Hill stats:
Median age 32
Median HH income $56,432
Median home price $135,287
College educated - 55%
# Restuarants - 998
Growth rate from 2006 to 2007 - 5.4%

Other towns in York County:
Fort Mill's growth rate from 2006 to 2007 was 7.2%, second in the state only to Bluffton (near Hilton Head).
Clover's growth rate - 6.1%. Of course, that was before the mighty Clover Eagles captured first place in the SC state football championships.

It's a great place to live!

For Lake Wylie, Rock Hill, Fort Mill, and Tega Cay Events and Activities please visit my website, TheLakeWylieMan.com. Your source for Lake Wylie waterfront real estate and more!

Lake Wylie Real Estate - 2007 in Review

2007 - The Year in Review

In mid-summer 2007, we thought we had a record year shaping up for Lake Wylie waterfront home sales. Dollar sales were up almost 20% over the year before, and average home prices were up as well.

Then, after August (see chart to the left), the market changed dramatically. Waterfront home sales suffered a "double whammy" resulting from the overall real estate (mortgage) downturn, as well as the impact from the drought. At the end of the year, total 2007 waterfront home sales in the Lake Wylie area were down 8% vs 2006.

Charlotte fared better than other markets across the region, being one of the few markets to post an increase in home prices and strong sales despite the gloomy news across the rest of the country. In particular, sales for homes above $500,000 climbed 71% in 2007 vs 2006. After August, the increase vs previous year was +10%. Not astronomical, but still a healthy increase!

On the lake, however, sales for September - December 2007 fell 68% vs 2006 sales. Ouch! In fact, during the last three months of the year, only five waterfront homes listed on Charlotte's MLS sold. Five of the 120 homes on the market!

As Milli Vanilli sang in their 1989 hit, "Blame it on the Rain". (Ok, so they weren't really singing, but that's another story.) Anyway, the drought did a number on the market. As public boat ramps closed, fewer people were on the lake. Boat lifts were on the ground. Waterfront properties were puddlefront. You get the idea. Buyers were hesitant.

The good news is that the drought is a temporary situation. Spring is just around the corner, and we'll all be singing "Raindrops Keep Falling on My Head." Already we've had enough glorious little raindrops that the Buster Boyd access ramp has reopened. We've had good news of new jobs and new people moving to the area. SC taxes have been lowered. Lake Wylie and Fort Mill are reporting explosive growth. The demand for lakefront property will continue to climb. Life is good!

For a complete list of waterfront property available for sale right now, visit my website, Lake Wylie Waterfront Real Estate. You'll also find many resources for waterfront property owners, Lake Wylie area activities and events, and virtual tours of the area.

Fort Mill Schools - The Freeze is on!

Fort Mill, one of the fastest growing school districts in the state, plans to open two new elementary schools in 2009. In the meantime, some of the elementary schools are resorting to enrollment freezing and attendance reassignments in ordert to control crowding and ensure the high level of quality education we've come to expect from the district.

The capacity in the Fort Mill elementary schools is about 900 students per school. Orchard Park and Gold Hill's attendance has already reached maximum levels and enrollment is frozen. New students in the Orchard Park and Gold Hill districts are being sent to Riverview Elementary. As of early December 2007, Riverview had over 850 students.

Springfield Elementary is the latest Fort Mill school to announce a freeze on new enrollment, beginning June 6, 2008. Springfield's enrollment is expected to reach 1000 students before the end of the school year, and mobile units have been installed to provide 6 new needed classrooms. After the freeze in June, new students in that district will be sent to Fort Mill Elementary, which at this time has fewer than 800 students in attendance.

With the enrollment freezes, the district has to be creative with bus transportation. Children ride buses to schools for which their home is zoned, and then a shuttle bus takes the children to either Fort Mill Elementary or Riverview.

As spots open up in the frozen enrollment schools, students will be able to transfer in based on thier date of residency and grade level. The district will consider siblings as one unit, to avoid the inconvenience to families having to manage children in different schools.

Real estate sales have been extremely strong in the Fort Mill area. New construction homes are charged an impact fee, which has helped fund school expansion plans.

In March, an $87 million bond for a new middle school and two new elementary schools will be presented to voters. If approved, those schools will be ready to open in 2011.

For more Lake Wylie real estate news, property search tools, and Lake Wylie waterfront resources, please visit my website: Lake Wylie Waterfront Real Estate.