Buyers looking for Lake Norman waterfront homes or lots have over 520 miles of shoreline inventory from which to choose. This is part of what draws so many people from all over the country to Lake Norman to find their dream home, cottage, or even lot for future retirement.
Because there is a finite supply of shoreline there is also a finite number of waterfront Lake Norman homes and lots. It is truly necessary to study the supply and demand for these waterfront properties separately from the rest of Lake Norman real estate.
According to the Charlotte Regional Multiple Listing Services (MLS) there are currently 366 waterfront homes and 259 waterfront lots listed for sale on Lake Norman. The average listing price for a waterfront home is $1,248,759 and for lots is $586,965. Prices range from the $200,000’s to $6,250,000 for an 11,395 square foot waterfront estate!
Lake Norman real estate sales, overall, have slowed due to the national housing downturn and sub-prime mortgage problems. But, what about our waterfront homes and lots?
LAKE NORMAN WATERFRONT SALES 2007 VS 2006
(Period analyzed: September 1 – December 28)
Average days on the market:
- 2007: 113
- 2006: 94
- % change: +19% longer this year vs. 2006
Average sales price:
- 2007: $944,909
- 2006: $909,286
- % change: + 4% increase in average sales price
Average size of the waterfront home:
- 2007: 3722 square feet
- 2006: 3601 square feet
- % change: +3%
Average price per square feet:
- 2007: $254 per square foot
- 2006: $252 per square foot
- % change: 0
Number of waterfront homes sold:
- 2007: 69
- 2006: 107
- % change: -35%
If you look at these statistics you will see that while it took longer to sell a waterfront home this past fall and the number of waterfront homes that sold dropped 35% the average sales price actually had a modest increase during this period as compared to the same period in 2006. The weakness, while not quite as signifcant as the entire Lake Norman real estate market, is the amount of inventory of active waterfront listings which is more than double that of a balanced real estate market .
What is interesting for a seller or prospective seller of waterfront property to note is that the average days unsold listings have been on the market is 140 which is significantly higher than those that sold. In this market, it is critical to price your home at market value!
A Quick Look at Lake Norman Waterfront Lots
My MLS sales analysis of Lake Norman Waterfront lots resulted is much the same findings as above for homes. This fall fewer lots sold and they took a bit longer to sell but their average sales price was up from $400,752 to $539,643.
Before our downturn in early spring 2006, waterfront properties were hot and I expect them to be again once buyers gain confidence in the economy. Our local economy is very strong and with our limited supply of waterfront homes and lots, I would expect them to be “hot” again. If only I could say when! If you have read my previous articles you will know that I am predicting a flat real estate market in the Lake Norman area for 2008. As we get in to the new year, I will keep updating my sales analysis and the future trends.