e k a L k e e r C p e e D e ThRESORT REPORT Volume 6 Issue 1, Spring 2013
In This Issue... Deep Creek Lake Real Estate Market Update
Meet the New Operators at Wisp Blue Moon Rising Eco-Tourism Community at Deep Creek Lake Introducing Deep CreekLake. com
Locals in the News...
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Deep Creek Lake Real Estate Market Update
2012 was an overall encouraging year for the Deep Creek Lake and Garrett County real estate markets. Activity noticeably improved generating positive results in many segments of the market. Closed transactions and dollar volume showed significant improvement over 2011. Mortgage interest rates reached record lows fueling sales production. However, weakness remains in the lot market as inventory outweighs demand, home starts remain soft, and higher end transactions were below expectations. O n Track: Both total sales and dollar volume sold in the lake area increased 10% last year with most of the growth concentrated in the $250,000-$500,000 range. Both indicators have increased for 3 consecutive years. The upward trend in sales can be attributed to higher consumer confidence, the improving economy, low interest rates, and lower prices. • Total Deep Creek Lake area residential sales were up 15% - 205 sales in 2012 versus 178 sales in 2011. • Sales between $250,000-$500,000 grew by 41% last year. • There were 6 fractional sales in 2012. Fractional sales are expected to grow in our market. • Current total sales for the first few months of 2013 are tracking nearly the same as 2012. Still a Work in Progress: Lot inventory continued to be an issue and will likely remain soft for some time. New construction is also struggling to regain traction. Higher end lake front property sales were weaker than expected. Actual sales of properties over 1 million were about half of what they were in 2011. Overall sale prices on lake front properties fell about 10% from 2011. This number is somewhat misleading, because of the high number of sales in the middle price ranges compared to the prior year. Other Factors Impacting the Market: Excessive inventory and uncertainty surrounding the future of Wisp Ski Area may have been addressed in 2012. Current
Your 1st Choice in Real Estate
inventory is about 30% lower than a year ago and Wisp was acquired in December by a publicly traded real estate investment trust (see page 2 for details). If You are a Prospective Buyer: Interest rates remain at near record low levels. Property values have stabilized and in many cases appreciated in other parts the county over the past year. Many believe that the Mid Atlantic and North East will begin to rebound in 2013. There are many attractive options remaining out there. Now may be your best opportunity to get the best of all worlds. I f You are a Prospective Seller: Price your property appropriately to the market. Often, sellers take the “I don’t need to sell” approach and initially overprice their property. This approach almost always backfires as many properties eventually sell for less, because the seller did not price it accurately from the beginning. In addition, appraisers are much more conservative than in the past and today’s buyer is well prepared and prudent in the buying process. If you are considering selling, please contact Railey Realty for a free, no obligation market evaluation of your property’s value. I n Summary: The professional assistance of a REALTOR continues to be extremely important in today’s market whether you are buying or selling. Railey Realty agents were involved in nearly 70% of all lake area transactions in 2012. We look forward to assisting you with all your real estate needs.
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