Lake Norman Real Estate Market Reports, Lake Norman waterfront homes

How do Lake Norman’s 2013 Waterfront Home Sales Compare to Prior Years?

 

Lake Norman waterfront homes in Cornelius NC

Life in Lake Norman for many means breathtaking sunrises and sunsets on the water every day. It means walking from your backyard to your boat and taking off to go water skiing, sailing, tubing, fishing or just enjoying a glass of wine at sunset. It is truly impossible to describe just how beautiful Lake Norman is and the quality of life those of us lucky enough to live here enjoy.

Living in a waterfront home is the ultimate goal of many who move here. Our downturn in housing prices since the recession opened a window of opportunity for many who couldn’t afford a waterfront home at the peak of our market. However, our Lake Norman real estate market is well in to its recovery.  And, with distressed properties representing only 3% of our current inventory, clearly they no longer are a factor in our waterfront housing market as well as our overall home sales.  It is important for potential home-buyers and sellers to know as much as possible about our waterfront home prices in the context of where they have been and where they are trending. To assist with this, I have done a detailed analysis of our 2013 waterfront home sales including annual, area and price range numbers:

 Overall Lake Norman waterfront home sales by year since 2005

Lake Norman waterfront home sales by year since 2005

Lake Norman waterfront home sales since 2005

* All data is from the Charlotte Regional Multiple Listing Service

As you can see, the number of Lake Norman’s waterfront home sales has been steadily improving since their low in 2008 with 2013 being the best year since 2005.  However, our average sales price has only been on the rise since 2012.  At $793.742 in 2013 they increased 1.7% over 2012 and are well below our record high of $982,345 in 2008.  Finally, our average price per square foot for waterfront homes that sold in 2013 was up 4.7% from 2012 and are nearly back to our 2009 numbers but still significantly below our peak of $270 per square foot.

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Lake Norman Real Estate Market Reports, Lake Norman waterfront homes

Lake Norman real estate trends can be identified in the 2013 home sales in our Crescent Communities

The Point, Lake Norman waterfront  community

One of the best ways I have found to track Lake Norman’s real estate trends is to compare the largest of the Crescent Communities that are found on all sides and corners of Lake Norman.  Comparing home sales activity in The Point, The Harbour at The Point and The Farms in Mooresville, The Peninsula in Cornelius, Sailview in Denver, Northview Harbour in Sherrills Ford and Falls Cove in Troutman/Statesville provides valuable insight into these 5 Lake Norman towns and how each is recovering from the recession.

Lake Norman Real Estate's Crescent Communities Sales Analysis  November 2013

Lake Norman Real Estate’s Sales Analysis of the Crescent Communities

 * All home sales data is from the Charlotte Multiple Listing Service

I must admit I was surprised by many of the numbers above:

  • The Peninsula is actually out performing The Point both in number of total sales and, with a significantly lower number of active listings, it has a much more competitive number of months of supply at 5.7 compared to The Point’s 15 months.
  • That said, The Point and The Peninsula have almost identical numbers when it comes to the days a home is on the market, the percent of the listing price compared to the sales price and the average price per square foot.
  • It is no surprise that The Point and The Peninsula have the highest homes sales price per square foot of all 7 Crescent Communities given they have the most luxury, high-end estates and amenities and are located in the strongest real estate markets on Lake Norman
  • The months o f supply winner goes to The Farms which is not a surprise given the amount of new construction and the price ranges of $500.000-$600,000.  Note that the average home sold for 98% of the listing price as well!
  • I found it fascinating that Sailview, in Denver on the Northwest side of Lake Norman,  not only has a very low number of  of months of supply but the lowest days a home was on the market before it sold of all 7 Crescent Communities. The average price per square foot of real estate sales in Sailview was a modest $133 which supports my feelings that the west side of Lake Norman’s recovery has been later and slower than that of Mooresville and Cornelius on the east side.
  • The numbers above for Northview Harbour, in Sherrills Ford, and Falls Cove in Statesville/Troutman which are both north of Hwy 150 support the fact that these are the weakest real estate markets in all of Lake Norman.  However, it does look like Northview Harbour is gaining momentum. Continue reading
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Lake Norman Real Estate Market Reports, Lake Norman waterfront homes

Lake Norman Waterfront Home Sales and Price Trends 2013

Lake Norman Waterfront Home in Mooresville

 

Lake Norman’s 520 miles of shoreline offer an amazing variety of waterfront homes and lifestyles.  From flat lots with beaches like the one pictured above to steeper lots with walk-out basements, from heavily wooded to almost treeless lots, from grand estates to tiny cabins, and from main channel views to small coves that remind one of Huckleberry Finn, there truly is a dream home and lifestyle available for just about every waterfront home buyer!

The Lake Norman waterfront housing market was hit particularly hard during the recession; bottoming out in 2011.  With our distressed sales (foreclosures and short sales) now down to less than 3% of our entire Lake Norman housing inventory of active listings, waterfront homes sales prices have not just stabilized but are now increasing annually:

 

Lake Norman Waterfront Home 9 year Sales

As you can see above, the average prices of Lake Norman waterfront homes have increased since 2011.  The average price so far this year is 1.7% higher than in all of 2012 and 3% higher than 2011. And, the average price per square foot has increased 4.5% since 2012 and a healthy 8.7% since 2011.

With 64 waterfront homes under contract as of today added to the 352 sold so far in 2013 it looks like we will have at least 416 total waterfront home sales in 2013 which would be the strongest year of waterfront  sales since 2005!

Clearly, the last segment of our Lake Norman real estate market to fully recover is our high-end luxury housing market.  This has contributed to our lower average sales than our strong sales volume might indicate.  That said, in the past 6 months our waterfront homes sold for an average of $220 per square foot taking us back to our 2009 numbers.  Clearly, once our larger home sales pick up our average sales price will also increase bringing us ever closer to our peak in 2008.

With 357 waterfront  homes currently on the market in Lake Norman, now is a good time to consider a purchase because I have a feeling in the spring of 2014 not only will sales be even stronger but higher-end home buyers will return to the market in higher numbers as well.  Carpe Diem!

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Lake Norman photos, Lake Norman waterfront homes

Lake Norman waterfront real estate: Does it have to be love at first site?

Lake Norman waterfront home for sale

As I have written for years, Lake Norman’s waterfront lifestyles are almost schizophrenic.  On the one hand, we have the renowned luxury community The Point that is now affiliated with the Trump National Golf Club and offers stunning waterfront estates, impeccably landscaped homes and common grounds which offer a more uniform lifestyle dictated in part by the very strict home owner association rules and regulations which are in place to protect the quality and integrity of this very special community.

With 520 miles for shoreline however, most of Lake Norman’s waterfront homes are not in luxury communities but rather in as varied neighborhoods as you can imagine.  Keeping in mind that Lake Norman was created by Duke Power in the 1960’s and initially waterfront lots sold for as little as $500 you can understand that there still exist cabins, single and doublewide mobile homes dating back to it’s origins before I-77 was completed and before Lake Norman evolved into the global destination that it is today.

Honestly, most of my waterfront buyers want large, newer homes on Lake Norman’s Main Channel.  While I moved here in 2005 from Pasadena CA where I listed and sold primarily historic homes, I must admit I have grown so accustomed to showing  newer homes that when I went on a listing appointment a month ago knowing that the waterfront home was built in 1975 I had already decided it wouldn’t probably be one that I would get excited about listing.

My first mistake was wearing my The Point glasses when first touring the home and property. (Which I think many buyers do as well).  I made quick and bias assumptions focusing mainly on what the property wasn’t.  Each subsequent visit increased my interest and my memories of how to truly look at and appreciate a unique home starting with the realization that I have to stop using The Point yardstick when measuring the homes value, both monetarily and emotionally. Continue reading

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Lake Norman Real Estate Market Reports, Lake Norman waterfront homes

Lake Norman Real Estate’s Waterfront Home Sales Analysis 2012 vs 2011

 

Lake Norman waterfront home at The Point

 Life in Lake Norman for many means beautiful  sunrises and sunsets on the water every day.  It means walking from your backyard to your boat and taking off to go water skiing, sailing, tubing, fishing or just enjoying a glass of wine at sunset.  It is truly impossible to describe just how beautiful Lake Norman is and the quality of life those of us lucky enough to live here enjoy.

Living in a waterfront home is the ultimate goal of many who move here.  Our downturn in housing prices since the recession has opened a window of opportunity for many who couldn’t afford a waterfront home at the peak of our market.  It is important for potential homebuyers and sellers to know as much as possible about our waterfront home prices in the context of where they have been and where they are trending.

 

Waterfront Lake Norman home sales analysis 2012 vs 2011

* All data is from the Charlotte Regional Multiple Listing Service

As you can see, our waterfront home sales increased 23% in 2012 compared to 2011 and our average sales per square foot increased 4%.  But, there are significant variations within the different areas surrounding Lake Norman.

Area 13-1 is the northeast side of the lake including Mooresville north of Hwy 150, Troutman and Statesville. This area was particularly hard hit by the recession because this is the area where new construction was exploding. After the downturn started it had a greater number of foreclosures/distressed sales due to the inventory of “spec” homes in subdivisions that were just getting off the ground and then failed.  Now that this portion of their inventory is gone, sales have dropped 38% in one year, the average sales price increased 26% and the average sales price per square foot increased 3%. Of the 31 currently active listings in Area 13-1 (15.5 months of inventory) only ONE is distressed!  You will even see new construction and subdivisions showing signs of life.

Area 13-2 is all of Mooresville south of Hwy 150 to the Iredell/Mecklenburg county line including the Brawley School Rd peninsula and The Point.  This area is almost diametrically opposed to 13-1.  We had a 43% increase in sales in 2012 but because we were not up against a significant number of distressed sales, the average price increased only 1%.  There are currently 94 active listings in Area 13-2 (9-month supply based on 2012 sales) of which only 4 are distressed.  Now that the Brawley School Rd widening is complete and Donald Trump purchased The Point’s golf club this area is thriving!

Area 13-3 is all of Mecklenburg County including Davidson, Cornelius and Huntersville which are on the southeast side of Lake Norman. This is a fascinating and unique area since it had a nice increase in sales of 21% and a 4% increase in the sales price per square foot but a 14% decrease in the average sales price.   At $232 per square foot they were the most expensive waterfront homes on average and had  by far the highest average sales price as well.  This can be explained by the fact that these communities are relatively small, a bit more established with very few new construction homes and thanks to The Peninsula and surrounding neighborhoods has a greater percentage of luxury homes. There are currently 76 active listings (11.4 months of supply) of which 6 are distressed.

Area 13-4 is the southwest portion of Lake Norman, the unincorporated town of Denver in Lincoln County.  This area had a 49% increase in sales in 2012 with an average price increase of 5%.  However, the average $ per square foot actually decreased by 1%.  As inventory of good waterfront homes declined on the east side of Lake Norman more buyers turned to Denver.  At $175 per square foot Denver offers slightly less expensive prices for the same size homes. This is due in part to the fact that Denver has a greater percentage of modest, older communities on the lake and also it does not have nearly as many luxury homes.  There are currently 39 active listings (8 months of supply) in Area 13-4 of which 3 are distressed.

Area 13-5 is the northeast Catawba County area which includes the towns of Sherrills Ford and Terrell.  This area had a 17% increase in sales, a 22% increase in the average sales price and a 14% increase in the average sales price per square foot.  It is important to note that they had the lowest average price and price per square foot of only $172.  The affordability clearly attracted waterfront homebuyers who didn’t mind being a bit farther from shopping and restaurants.  This area also has far fewer luxury homes and more older, more modest neighborhoods.  There are currently 53 active listings in area 13-5 (12-month supply) of which 3 are distressed.

Overall, Lake Norman currently has 293 waterfront homes on the market which is a 10.3 month of supply of inventory based upon our 2012 sales.  In terms of months of supply then, Area’s 13-2 and 13-4 are the strongest and 13-1 and 13-5 are the weakest which concurs with an article I wrote earlier this year about what is available by price range  on Lake Norman’s shoreline.

Here is a fascinating breakdown of all of Lake Norman Area 13 waterfront home sales by price range in 2012:

Lake Norman Waterfront home sales by price range 2012

As you can see, I have provided the number of sales, the percentage of the total sales, the number of active listings today, the percentage of the total active listings and the months of supply for each price range.

Our very strongest price range for waterfront homes is remarkably $1,000,000 – $1,249,999!  Actually, if you  are an active reader of this blog you will know that I have been talking about how hot this price range has been for several months. This price range represented 9.4% of our sales in 2012 but only 3.4% of our current inventory of active listings when means at the current rate of sales we only have 3.8 months of supply!

As expected, Lake Norman’s waterfront homes up to $599,999 represented more sales as a percentage than they do in our currently inventory and all have months of supply under 6 months.  Our lowest price ranges historically maintain very strong numbers since they are our most affordable homes.

Surprisingly, some of our weakest price points are the $700,000’s and $800,000’s and to a lesser degree the $900,000’s.  These price ranges are simply lacking in “good” waterfront properties and have been all year.  They also tend to be listings that start out overpriced so sit on the market until they reduce the price to where they should be. Our current inventory is very picked over so buyers are waiting for good new listings or better properties to be reduced to our current market value.

Obviously, waterfront home priced over $1.5 million are still lagging in sales.  That said, we currently have 8 properties over $1.5 under contract so it does appear that our luxury waterfront housing market is improving.

Hopefully you will be able to use these charts to better understand Lake Norman’s waterfront real estate market both by area and price range.  If you have any questions don’t hesitate to call or email me!

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Lake Norman’s The Point:  The Trump Factor

Lake Norman Waterfront Real Estate: What is Currently on the Market in YOUR Price Range?

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Lake Norman Real Estate Market Reports, Lake Norman waterfront homes

Lake Norman’s The Point: The Trump Factor

Lake Norman's Trump National Golf Club Sign

Since Donald Trump purchased The Point Golf Club  situated in the renowned luxury community The Point on Lake Norman last spring, there has been avid speculation about how he will impact the entire community’s ambiance and the values of the more than 800 luxury and waterfront homes.  Today, as you drive through The Point and you will see workers just about everywhere; from the golf course itself where all 18 holes are being lengthened and upgraded to landscaping crews to painters to workers remodeling “The Tavern” and dining room.  It turns out Mr. Trump doesn’t like grey so the quaint gray shingled Nantucket-style builds at “The Village” including the building pictured above at the traffic circle, are now a very bright white! Continue reading

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Lake Norman waterfront homes

Lake Norman Waterfront Real Estate: What is Currently on the Market in YOUR Price Range?

Lake Norman waterfront home on it's own point

 

Without a doubt the most common contacts I get from this blog/website are buyers searching for waterfront homes on Lake Norman.  Most of these buyers want to buy at what appears to be our “bottom”.  The good news is that prices are very low compared to our peak of 2007.  However, our inventory has also dropped to half the number at our peak so there is less available today.  In order to educate you about our waterfront homes I am going to describe what is currently for sale by price range.  This should also help some folks who may arrive in Lake Norman with unrealistic expectations of what they can afford.

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