Will the housing slump affect Lake Front Property??

[dessert]

Listening to all of the bad news about housing these days, do you all think that Lake Front Property will lose value in the near future?
Do you think this slump will place a lot of lake properties on the market this year resulting in lower prices? If so, might be a good time to be looking.

[tightasadrum]

Quote:

Originally Posted by dessert Listening to all of the bad news about housing these days, do you all think that Lake Front Property will lose value in the near future? Do you think this slump will place a lot of lake properties on the market this year resulting in lower prices? If so, might be a good time to be looking.

Since I have some for sale, I hope not.

[Notmuchlonger]

We own property in a California mountain vacation area. Ive noticed on Zillow it has taken a hit in assessed value. Its not exactly lake front but close enough. I think its lost about 15 percent or so in the last year. But it did have a mega run up.

[Milton]

In the near future, yes: lakeside is not invulnerable to the broader real estate market.

However, in the long term it is virtually impossible to lose on waterfront property.

[TargaDave]

Generally agree with Milton, short of some drastic environmental or political change. You certainly don't need to be in a rush to purchase.

Maybe even more important than timing the market: if real estate is local, then waterfront is microscopic. One lot to the next can be night and day, let alone one lake to the next. Lakes can change over time as well. Just talk to Lake Lanier homeowners about the recent drought. I'd get to know the area and lake dynamics-history very well to make sure you are getting what you'll be happy with. Oh yeah, spend some real time on the water itself. We're on the Albemarle Sound so different type of water but still related. Older brother is on Candlewood in CT.

[Dawg52]

Home prices have pulled back slightly in my area(MS) but waterfront property has remained stable. But I think it is more a supply and demand issue here. Just not a lot of it available.

[Moemg]

I live on the bay in Sarasota ,fl. and I can see that the home prices have come down a lot from the crazy highs .There were also several houses bought with the idea of flipping that in my mind are real bargains .

[FinallyRetired]

I own lakefront, and it overshot the rest of the market on the way up, and has been coming down with the market on the way down. But there's only so much of it, so I don't see how it can ever get below non-lakefront. I'm not in the market to buy or sell, so don't care, I love to be able to go out my back yard and get into my sailboat or kayak -- as they say, priceless.

[FinanceDude]

It's a limited resource, and even around Wisconsin, where there's land aplenty of lakes, the values keep going up, the prices just aren't as "stupid" as they were 3-4 years ago.........

I have a client that owns a smaller home (1400 sq ft) on a limited access lake. Tempting, but the house is 40 years old, and needs about $50,000 worth of work, so I'll probably pass...........

[Rustic23]

I see two major purchasers for lake front property. Retirees and second homes. I believe the second home buyer will pull back. Retirees, on the other hand, should increase. Baby boomers hit 62. You see this headline in all the news. Do you think those boomers will be looking for 75 feet of down town asphalt? I expect enough of the boomers will want lake front properties to keep the prices from falling long term.

[W2R]

Quote:

Originally Posted by Rustic23 I see two major purchasers for lake front property. Retirees and second homes. I believe the second home buyer will pull back. Retirees, on the other hand, should increase. Baby boomers hit 62. You see this headline in all the news. Do you think those boomers will be looking for 75 feet of down town asphalt? I expect enough of the boomers will want lake front properties to keep the prices from falling long term.

I used to think that boomer retirees would be moving to Florida, and would probably want to downsize. But real estate hasn't been doing very well in Florida, and it seems like everyone wants a McMansion (except for me).

[Rustic23]

As baby boomers are just now turning 62, so it may take some time before they move to Florida, but, I think they will. Now will they want a McMansion? That is another question. Our home on the lake is bigger than the one we had in the city.

[Notmuchlonger]

Well I know in the area we own. The last data I seen said 75% of the owners were absentee owners. There is only so much area to grow since the environmental league has a iron fist on any growth in the area. Good for me. Bad for the people who want to buy a house

[dessert]

Quote:

Originally Posted by SoonToRetire But there's only so much of it, so I don't see how it can ever get below non-lakefront. I'm not in the market to buy or sell, so don't care, I love to be able to go out my back yard and get into my sailboat or kayak -- as they say, priceless.

Now that's what I'm talkin about......

Quote:

Originally Posted by Rustic23 I see two major purchasers for lake front property. Retirees and second homes. I believe the second home buyer will pull back. Retirees, on the other hand, should increase. Baby boomers hit 62. You see this headline in all the news. Do you think those boomers will be looking for 75 feet of down town asphalt? I expect enough of the boomers will want lake front properties to keep the prices from falling long term.

I tend to agree. This is a different market from the regular homes that people need to live in while doing the 9 to 5 thing (w*rk).
Just might be that now is the time when there might not be a lot of buyers and there might be small price breaks or deals that would otherwise not be seen in a faster market.
Last year I was watching a particular lake and the homes stayed for sale longer and some were reduced several times before sale. I think there were some "slight deals to be had" last year. Probably this year too.

[barbarus]

I live on a creek part of the year. The creek, not me.
I wonder if that counts?

[Ed_The_Gypsy]

Which lake? There are some in Tennessee [God bless my spell-checker!] that disappear once in a while. Try getting down to your boat on a ladder.

[tryan]

I put a unit on the market in Nov with lake view. It's down 15-20% from the peak ... like the rest of the market. The mother's day flooding 3 years ago did nothing to help market prices ... water front were underwater. Can't give them away.

[Lakedog]

I don't see any indications of prices dropping on the lake I'm on (central Alabama). I also just paid my property taxes and the assessment was up significantly. As mentioned previously, most owners are not full-time residents but more retirees seem to be moving to the lake. Most of my neighbors are "weekenders", mainly just in the summer months, and I enjoy it that way!

[dumpster56]

We have a lake about 75 yards from our backyard with a winter view, creek right behind the house beavers were removed so now it flows, but without much rain these days kinda slow. Anyway prices in this part of wake county north carolina near raleigh which is still a growing area are down a good 5 to 10 %. Tax man says my place is worth near 350K We have homes listed at 310K and just sitting now for 6 months with little traffic. Homes were bought in the 340 range in early 06.

Prices are down and it looks as though people are still waiting to see even a larger discount on price.

We have no mortgage and we like it here so we do not really care at this point, however the fact remains many who bought even here who need to sell are upside down already with their mortgages. Sorry but I believe this is the tip of the iceberg. 20% drops in prices maybe needed to get the housing market into the range of what people can afford.

[dessert]

Quote:

Originally Posted by Ed_The_Gypsy Which lake? There are some in Tennessee [God bless my spell-checker!] that disappear once in a while. Try getting down to your boat on a ladder.

The Lake I am watching is not in Tennessee or Alabama, thus is not involved with the drought in that area. I understand what you are talking about though.

Hey, a new milestone......post # 100!