Name:	Crimson4Lif -	Reply
Subject:	Lake house value
Date:	4/18/2018 5:34:20 PM

Need an opinion....

Been at the lake since '87 as a weekender.  Grandparents did the lease thing from Al Power or Russell and eventually bought the little cabin....then later on the lot buy option was executed.  So somewhere in the early 90s they bought the place outright.  As the lake as grown, there are numerous locations around the lake with million dollar homes.  However on the south side of the lake near Anchor Bay (Red Hill area) there are not really any lots to build on without doing a tear down first.  Our lot is deeded at over 1.2 acres with atleast 250ft water front.  Completely wooded lot except for where the cabin is.  So all that to ask...how much do you sell the lot for?  The cabin is a for sure tear down but there is nothing on that side of the lake to compare too.  A few other houses have sold over the years for anywhere from $400 to $770.  Differences are the lots of these houses are no where near as nice as mine (no trees and smaller) and the houses though not a tear down are not "mansions". So my dilemma is how do you price it when all you have is land and location to market?  A couple of stipulations in buying these cabins was you can't divide the lot and you can't put more than one dwelling on the lot.  It is a absolutely beautiful spot with a big slu and a view to the kowliga bay.  Just wanted to get some opinions from some that may have better market value opinions.  

My honest opinion is the lot is worth atleast $600k but thinking in the $700k - $800k range is not out of the question.  Reason being...you cant get much closer to Tallassee (15 min to the walmart) should you need to get to town,  perfectly located in the middle of the lake (20 min to real island area, 20 min to Chucks).  NOT A SINGLE LOT FOR SALE ANYWHERE AROUND US....supply and demand has to come into play somewhere.  What cha think? 

Name:	MartiniMan -	Reply
Subject:	Lake house value
Date:	4/18/2018 6:27:17 PM

Probably the best way to find out is to put it on the market and see if there are any takers.  Lot size and waterfront sound appealing, especially if it is deep water with a view and you might find someone that wants to put in a larger home.  Bear in mind that the buyer will have to demo the existing cabin which is an additional cost over raw land.  But it sounds like that is the only option for someone in that area anyway.  I'm sure John C. can give you some better guidance than us rank amateurs that could only hope that you get that much for the lot.  Good luck!

Name:	Talullahhound -	Reply
Subject:	Lake house value
Date:	4/18/2018 7:41:12 PM

Why not consult a realtor?  The fact that there aren't any real comps, makes a professional's advice more important.  In fact, I would talk to a few, and see what each one says.  I have found that working with realtors is really easy and there is no obligation if you don't use their services.  

Name:	Weatherly -	Reply
Subject:	Lake house value
Date:	4/18/2018 7:56:33 PM

I have sent you an email about determining a value for you property.  I hope I can be of assistance to you.

Bill

Name:	Crimson4Lif -	Reply
Subject:	Lake house value
Date:	4/19/2018 11:41:58 AM

I am not wanting to put the house on the market.  Probably will in the next 5 - 8 but as I looked around the lake at for sale houses, there are some on this side of the lake but most of it is on the north end and behind the ridge/windmere area.  There are several million dollar pads all around us so I do think some of the big money folks having to buy over in the Ridge area would much rather have an 'old school' lot with tons more character and most importantly PRIVACY.  I didnt want to get realtors involved.  I just wanted to hit the folks who are normal people who know the area, what they thought about the pricing of these kinds of situations.  Its not normal.  

It's kinda like having that 'vette and a person is asking alot for it....nothing to really compare to on the market.  Its all about what the buyer thinks its worth.  That is what I was looking for.  What do the folks who know about places up there think?  Do you buy a $2 mill home in windmere/ridge or buy a $700k lot and build a $1.3 mill house on it?  I guess that is the better way to ask it.  

Name:	GoneFishin -	Reply
Subject:	Lake house value
Date:	4/19/2018 12:22:30 PM

Is that 5-8 months or years? Here is a site with 117 lots for sale on the lake. You may want to spend a few hundred dollars and hire an appraiser to get you a good idea of the value. The key is previous sales and the appraiser will have access to those numbers.

A few hundred is peanuts compared to the numbers you are posting. Using numbers posted on here from amateurs will be just that numbers from amateurs. 

When you open the site, look on th left and move th arow to lots.

https://www.lakehomes.com/alabama/lake-martin?gclid=EAIaIQobChMI8aCpwt3G2gIVDrnACh127AHLEAAYASAAEgKoBfD_BwE

Name:	Crimson4Lif -	Reply
Subject:	Lake house value
Date:	4/19/2018 2:38:33 PM

Gone,

Thanks for the reply.  It does make sense. I just didnt want to get to deep into it (realtor) or waste anyones time.  The 5 -7 was years not months.  Just looking into the future and retirement.  I have beach sand in my eyes.  

I checked out the link and it does not work correctly.  I chose Land/Lots for the type and it brought back 119 listings.  I can only view the first page.  It has 6 pages listed at the bottom but the website is messed up and will only show the first page.  I will say this...from the listings I could see, my point is being made.  There is no lot around our area for sale to build on.  I saw a few that were comparable to the land size but they were west of Kowliga bridge over in Trillium area and 2 few back towards The Landing area.  Those were north of $500k.  Everything else was Ridge/Windemere or farther north and more expensive.

It was just a thought....I figured there were some newbies to the lake that went through the building process not too long ago that had some thoughts on what they really wanted when they were looking and what they encountered as far as values when doing that deciding.  No biggy, thanks for the responses.

Name:	George -	Reply
Subject:	Lake house value
Date:	4/19/2018 4:49:48 PM

What is the Elmore County appraisal?

Name:	Beekeeper Tony -	Reply
Subject:	Lake house value
Date:	4/26/2018 7:25:02 AM

I would be happy to pull any SOLD Comps available and provide you with them. Feel free to email me at tgoss@realtysouth.com 

Name:	MotorMan -	Reply
Subject:	Lake house value
Date:	4/29/2018 10:58:46 AM

With now being now, I would not hold a vacant lake lot as an investment for any period of years if it was my primary "big investment".  Many vacant lots are now not worth more than their 2005 price.  My neighbor's vacant lots on a little nearby lake cannot be sold at half of the Tallapoosa assessment.  Counties do not make appraisals, they make assessments trying to be fair.

The recent tax law changes may be a game changer.  I would consult an Investment counselor that will look at everything you own.  In the roaring 1970s, housing prices went up as the baby boomers needed housing.  I was living in Florida and saw condos rise to $59,900 as incomes, raw materials and labor all rose.  By then the Thirtysomethings were buying ten condos, depreciating them and "zeroing out" their taxable income.  They typically fed each rental $50/month.  Don't worry! Inflation will bail us out they said.

Then a new thing happened: prices leveled out and starting falling.  Some got out while others saw buying opportunities.  Then the 1986 tax law changed and everything dropped in price until 1999 then rose to 2005 and fell again.  Here is one much poorer man's question of 2013:

I have 2 off-water lots side by side on Longville Ave in Port Charlotte that I paid  $116,000 in 2005. I'd like to know what I should list them for to sell quickly.  His answer was $15,000 for the pair.  Yes! It is true.  People sometimes overpay by a great deal. 

If I was younger, I would sell the land for the quick sale price even if it is $400,000.  I might put the cash into a balanced account of say...1/4 large-cap stocks, 1/4 small-cap stocks, 1/4 bonds and 1/4 Foreign stocks.   BTW; After the Houston floods, lumber has been pushed to never before prices of $550.  In the last 50 years, if it hit $425, lumbermen hit the woods, harvested trees, and pushed the price down. Existing housing stocks will rise in price.

I sold this lot in 1999 for $33,000.  I doubt if the seller gets more.

https://www.shorewest.com/homes/164979_GNMLS-Lot_3_Blue_Heron_Ridge_Rd-Mercer-WI-54547#.WuXdHYiUtPY

Name:	John C -	Reply
Subject:	Lake house value
Date:	4/30/2018 3:23:08 PM

hey Crimson, I am sure by now you have been hammered by other agents and I am sure you have comps. But you are correct, it is tough to compare lake lots, especially when you don't have many raw lot sales around you. I subscribe to the theory that any home on lake martin, regardless of where it is, is valued by 1) view 2) privacy 3) location 4) the house and improvements, in that order. So on lots like yours I try to pull any lot sales (which are seldom) and then go to home sales and try and pull out the value of the improvements. You estimate that by experience and other comps. I hope this helps.