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
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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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Meet The New Operators At Wisp As many of you know, the winter and summer operations of Wisp Resort emerged from bankruptcy under new ownership this past winter. The new operator of the resort is Everbright Pacific, an affiliate of Salt Lake City based Pacific Group, but day to day operations will remain in local hands. In March, Jerry Geisler was named General Manager of Wisp Resort. Jerry has been at Wisp since 1975 when he started as a ski instructor and soon thereafter became a bartender during the summer months. Jerry has worked in nearly every department of the resort over the past 37 years, and his steady hand at the helm is the right one at the right time. Everbright Pacific will be helping by providing administrative and financial support to the resort in addition to making some much anticipated improvements to the guest experience. It will take some
time for all the upgrades to come to fruition, but this summer look for items such as new outlets for food service and additional ski terrain. Pacific Group and its affiliates have been responsible for approximately $1 billion in construction over the past 25 years, and much of that has been at top mountain resort properties such as villages at Mammoth and Squaw Valley in California, Solitude in Utah, Copper Mountain in Colorado, and Whistler in British Columbia. Pacific has also been involved in top golf resorts near Las Vegas. In addition to their real estate expertise (they have successfully completed over 1,000 projects in 27 states and Canada), Pacific Group’s management team has extensive mountain resort operating experience from places such as Breckenridge, Park City Mountain Resort, Steamboat Springs, Mt. Bachelor, Alpine Meadows,
Boreal, and, on the East Coast, Ragged Mountain near Danbury, New Hampshire. An affiliate of Pacific Group also owns Ragged Mountain. At Railey Realty, we began working with Pacific Group even before the bankruptcy auction. While they are not ready to make their entire improvements plan available to the public just yet, we can let you know that we are excited by the possibilities.
Blue Moon Rising Eco-Tourism Community at Deep Creek Lake Opening later this year, the Blue Moon Rising Center for Sustainable Education, is a nonprofit vacation rental development being created in McHenry along Rt. 219 just above The Boardwalk overlooking Deep Creek Lake. Blue Moon’s founder Lisa Jan had the unique vision to integrate vacation rental properties with sustainable education services. Originally from Northern Virginia, Lisa moved to Deep Creek full time in 2006. Lisa is interested in exploring a new way of thinking about development that fosters an understanding for the natural environment. The intent is to create
an environment for people to come and relax, but also learn about themselves and the environment throughout their experience. As a non-profit organization, Blue Moon Rising’s mission is to provide resources and facilities that cultivate economic, environmental, and social sustainability. The 15acre site includes over a mile of hiking trails, lake access, a community center, education facility, open-air pavilion, and
14 vacation rental cabins all built out of environmentally responsible products and locally reclaimed materials. Visitors will be able to participate in activities throughout their stay including: yoga, guided hikes, sustainable construction seminars, sustainable art workshops, live music, and documentary film screenings. To learn more about Blue Moon Rising, visit www.bluemoonrising.org.
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The Deep Creek Lake Resort Report Introducing DeepCreekLake.com Railey Realty is proud to be the main sponsor and present the newly redesigned, user friendly area website - www.DeepCreekLake.com. The site is the leading source and an official guide for all information pertaining to Deep Creek Lake and Garrett County. The site’s many features include: • Business Directory • History • Things to Do • Real Estate Listings • Where to Eat • Vacation Rentals • Weather • Area News To advertise your local business for free in the Business Directory, click the “Add Your Free Business Listing” link at the top of the home page. Visit www.DeepCreekLake.com for more information.
Locals In The News… Current Miss Maryland Joanna Guy recently competed in the Miss America Pageant and was a Top 10 Finalist. Joanna graduated from Southern Garrett High School and attends Cornell University pursuing multiple degrees. Ms. Guy served as an intern for U.S. Senator Ben Cardin and plans to pursue a career in law or public service. She is also an advocate for Heart Health Awareness and the Children’s Miracle Network Hospitals. The 4th annual SavageMan Triathlon was held last September at the Deep Creek Lake State Park. The SavageMan was recently voted as the “World’s Hardest Triathlon” and “Best Triathlon of 2012” by Triathlete Magazine because of Garrett County’s extreme elevation changes and rough terrain. Local competitors included Railey Realty agents and owners Jimmy Railey, Mike Kennedy, Russell Bounds, Bill Weissgerber, and C. Kellyann Green. The 2013 SavageMan is scheduled for September 14-15, 2013. Railey Realty is proud to be one of the main sponsors with proceeds from the growing event benefiting the Joanna Nicolay Melanoma Foundation. Visit www.savagemantri.org to sign up and for more information. The 1st Annual Garrett County Gran Fondo Bike Ride
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was held last summer. Riders had the option of completing a 25, 44, 62, 102, or 125 mile ride through various parts of Garrett County and around Deep Creek Lake. The event attracted more than 1,200 cyclists from across the country. The 2013 Garrett County Gran Fondo is scheduled for June 22-23, 2013. Railey Realty is also a main sponsor of this event, as well with proceeds benefiting the Joanna Nicolay Melanoma Foundation. To sign up for this year’s ride visit www.winthefight.org/granfondo/ for more information. The 1st annual WGW Benefit Golf Tournament organized by Railey Realty owner Bill Weissgerber was held last summer at the Lodestone Golf Course and The Golf Club at Oakland. The event featured over 100 golfers and raised more than $25,000 for local charity Landon’s Library. The 2013 tournament is scheduled for June 28-29. Contact Bill at billw@ railey.com for more information. The Deep Creek Lake area continues to prepare for the 2014 National Canoe World Slalom Championships that will be held at ASCI. Nancy Railey of Railey Mountain Lake Vacations is one of the event’s main organizers. Visit www.deepcreek2014.com for more information.
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Local orthopedic surgeon Dr. David Tuel continues doing volunteer field work for Doctors Without Borders. He recently spent a month in the country of Bhutan, located in south Asia, donating his services and providing emergency medical care to people in crisis.
From Top to Bottom: Joanna Guy, C. Kellyann Green and Jimmy Railey
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Spring 2013
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Percentage of Lake Front
69% Residential Properties Sold Percentage of Total Lake Front Residential Properties Sold in 2012 - Top MLS Brokers
Long & Area Area All Other Foster® Broker 2 Broker 3 Brokers
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The goal of this newsletter is to keep you informed on the local real estate market along with keeping you in touch with the issues impacting this market. We will also attempt to bring you interesting stories about the people and heritage that make Deep Creek Lake and Garrett County, Maryland such a special place. It is not our intention to solicit clients from other Brokers with this newsletter. If your property is currently listed for sale with another Broker, please consult that brokerage for your real estate needs.
67%
Percentage of Residential Dollar Volume Sold for the Deep Creek Lake Area Residential Dollar Volume Market Share in 2012 Top MLS Brokers
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Area Area All Other Long & Foster® Broker 2 Broker 3 Brokers * All data obtained from MRIS for the period 1/1/2012-12/31/2012. All data is believed to be accurate, but not guaranteed.
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