Welcome to my September edition of the Smith Mountain Lake Market Report. We are beginning to see early signs of fall in the air, but that doesn’t mean falling prices nor inventory levels. Here are the highlights for this month’s report:
- Sales have remained comparable to last year across the board. Note that last year was the best year since 2008.
- September and October were the highest closing months for 2013 and we expect to see 2014 keeping with that trend. So far September has been extremely busy. I predict that this year will surpass the total number of houses sold in 2013.
- We continue to see a high level of inventory. It’s still a great time for buyers to enter the market as they will have a large selection to choose from and prices are relatively flat.
Data pulled from Roanoke Valley Association of Realtors MLS by Debbie Shelton
We are currently on point with what the market did last year, as we have seen the relatively same number of sold waterfront homes, days on market and percent of list to sold price. The average sales price has increased by $4,591 year-over-year. For water access homes, the competition is tough as buyers do have a lot of options. Prices are somewhat flat in this market as well.
I do have some good news to report if you own a townhome or condo as we have seen faster selling timelines as well as more sales from what we saw last year. It is a competitive market though so that needs to be considered in both the pricing and presentation of the property as the competition can be stiff.
Waterfront lots currently have 57 months of inventory which equates to many choices, as well as pressure on pricing. The good news on this front is that older listings are beginning to sell which makes way for fresh inventory. This year has also seen a higher number of lots sold to date when compared to last year, 50 versus 36 respectively.
I have two words…selection and negotiation. Both of these items are great news for any potential buyer looking to enter the Smith Mountain Lake real estate market. With sales to date equaling last years numbers, we are on track to maintain last years numbers or exceed them. But that doesn’t change the fact that we are still showing high levels of inventory consistently across the board and competition for sellers. Therefore, negotiation is a key factor in many deals if the seller is vying to make a deal over the competition.
The Bottom Line
We are in for a busy month in the Smith Mountain Lake real estate market. If you are a seller, consider what can make your property stand out from the competition. A few ideas include: offering a home warranty, staging, cash allowance for improvements, etc. We have a good buyer pool but the inventory outpaces the lookers, so be patient when waiting for the sale of your property.
There is a lot of opportunity in the Smith Mountain Lake market for buyers. Not only is there a great selection to choose from but also good prices as well. Some properties can be competitive so just make sure to have all of your ducks in a row with being pre-qualified to purchase.
Lenders have tightened their lending standards, so loans are taking longer to close in some cases. A recent change to FICO will soon effect credit scores for the better. This new algorithm change, known as FICO 9, may make for a lower interest rate and a higher loan qualification amount for borrowers. Although the change took place this month for FICO 9, it may take a few months before you see it positively affect your credit score.
You may search through the full list of available properties on my website, to get you started I have posted some of my top listings below for your consideration. I would be more than happy to answer any questions that you have; I can be reached by phone at 540-797-2177 or you can email me. I look forward to the opportunity to serve you with your Smith Mountain Lake real estate needs.