July Lake of the Ozarks Real Estate Update

 

    More Changes are on the Horizon!

     Over the past few weeks, we have finally started to have more properties come on the market than properties sell.  I am also seeing an increase in price reductions.  These are primarily due to sellers being overly optimistic about pricing in this hot seller’s market. 

     Bidding wars have cooled slightly as buyers have become weary of the fight and concerned about overpaying.  Many are making one offer but refusing to engage in a contest while others are sitting back and biding their time.

     Lumber prices dropped recently with reports that costs will be considerably less by the end of this year.  That will accelerate new construction more than the lack of inventory has been able to spur activity.  The building trades have also been getting their crews back in place after several years of lack of work.  Several reputable, capable contractors have relocated to the lake this year and are in place to take advantage of the upcoming construction boom.

     2020 was such an unexpected year due to the pandemic.  Based on the natural amenities of the lake area and the freedom mentality, we gained national exposure on a level not previously experienced. 

     I believe this attention and subsequent increase in visitors and property owners will continue to trend upward.  I think we are on the cusp of another development expansions here at the lake.  We are already seeing a few condominium projects and residential developments take place.  By next Spring, I expect to see numerous ground breakings.

     I am currently working with an investment group with a condominium project set to break ground this fall.  I am also working with developers on a few upcoming lakefront luxury spec homes. 

     I have been involved in several condominium and residential subdivisions over the years.  If you have questions or interest in investment and development property, please give me a call.

     I recently listed the “Lake Dale Estate” at $6,550,000 situated on 25 acres and 500 feet of lakefront.  We will be hosting an open house mid July by invitation.  If you would like the opportunity to visit this exceptional home, please send an email to Karen@YourLake.com, subject line Lake Dale Open and include your name and the email(s) or postal address(es) where you would like an invitation sent.

     Michael Elliott has been selling real estate at the Lake of the Ozarks since 1981.  He is one of the most respected brokers in the area.  If you would like to work with Michael in the sale or purchase of property, or have interest in a career in real estate, contact him at 573.365.SOLD or cme@yourlake.com  or stop by C. Michael Elliott & Associates, 3738 Osage Beach Parkway.   

June Lake of the Ozarks Real Estate Update

 

What a difference a year makes! 

     Last year came out of the gates strong.  Compared to January of 2019, January 2020 total closed transactions had increased 20.28 percent, total dollar volume 37.6 percent and average sales price 14.4 percent.  

     Lakefront home sales had increased immensely.  January 2020 Lakefront home closed transactions were up 28.6 percent, total dollar volume increased 62.3 percent and the average sales price increased 25.25 percent from January 2019.  New listings decreased 14.6 percent and days on the market averaged 5 percent less than in 2019. 

     In February and March the closed transactions continued to increase year over years but each month the gains were less, new listings began to increase as did days on the market.  In April, things really changed abruptly.  New listings dropped by 45 percent compared to 2019, closed transactions dropped 18 percent and sales volume dropped 14 percent.

     By the end of May 2020, the downward effects of the pandemic on the lake real estate market had eliminated most of the gains from the early months.  Total closed transactions were down 5.56 percent year over year, total closed sales volume was even with the previous year and the average sales price was up just 5.75 percent.

     One year later.  We’ve watched most properties spend limited  days on the market and enjoy multiple offers.  The number of properties sold in 2021 has increased 44 percent compared to 2020.  There is a 101 percent increased in total sold volume year to date.  The average sales price has increased 39.87 percent for 2021 sales compared to those closed in 2020.  There is also a 15.28 percent decrease in time on the market.  These numbers include all properties types. 

     It’s a little difficult to compare this year vs last due to the pandemic and the toll it took on the second quarter of the year.  It is important to keep in mind that while there has been huge increases this year, there were some pretty big decreases or adjustments to the market during the early months of the pandemic.  Even so, it’s no difficulty to see that the pandemic drove our market up in a way that we have never experienced.

     I have noticed over the last two to three weeks of May that there has been a slight slow down to the frenetic activity of the past year.  I am seeing properties sit a little longer on the market and I am seeing more price reductions.  I don’t feel we are headed for any major change, but I do think that we’ve hit a ceiling on prices.  There are a lot of buyers who are ready and able to purchase but who are not willing to overpay.  I think we are reaching the point where prices will begin to even out and not climb as rapidly.

      C. Michael Elliott & Associates is sponsoring Hot Summer Nights second Friday night of each month on the Bagnell Dam Strip.  Lots of great food, music, events, and my favorite, cool cars cruising the strip.  Karen and I will be there with my new (old) ride on June 11^th.  If you haven’t been to the Lake Ozark Strip lately, you’ll be impressed. 

     Michael Elliott has been selling real estate at the Lake of the Ozarks since 1981.  He is one of the most respected brokers in the area.  If you would like to work with Michael in the sale or purchase of property, or have interest in a career in real estate, contact him at 573.365.SOLD or cme@yourlake.com  or stop by C. Michael Elliott & Associates, 3738 Osage Beach Parkway.  Data obtained from the Lake of the Ozarks Multiple Listing System for 2019 and 2020.

 

May Lake of the Ozarks Real Estate Update

 

Hot Seller's Market

      You don’t need me to tell you that it’s a HOT seller’s market or that property values have doubled and then some this year.  I think that information is glaring at you from every media source available. 

     As I write this as the end of April, there are currently about 1200 properties on the market in the Lake of the Ozarks and Bagnell Dam area multiple listing system.  This number includes all homes, on and off water, condos, lots, farms, and acreages.  There have been almost that number of properties sold and closed so far this year.  We also have just under 1,000 agents in our local MLS with hundreds of agents who primarily work other areas also working the lake market.    

     I see a lot of information talking about whether now is the time to sell or buy.  There are so many variables to this answer depending on everything from how you plan to use the property to what level of risk you are comfortable with.   

     Almost all properties, and especially homes and condos, are receiving multiple offers.  Some things to keep in mind as a buyer.  You need to be in a position to move quickly when a property becomes available.  If you aren’t located at the lake full time, develop a relationship with a broker that you can count on.  You need a broker who will be able to visit a new listing as soon as it hits the market, tell you if it will suit your needs and give you a video walk through.  Even better, is a broker who will let you know as soon as a suitable property becomes available AND one who will seek out property not on the market or for sale by owner for you.

     You will need to be pre-approved for financing or have the ability to pay cash in order to compete with today’s offers.  Depending on the property, you may need to make an offer considerably above the asking price.  While you need to be able to make a strong offer, I urge you to be cautious about giving up your rights to inspections and appraisals.  It’s easy to get carried away with winning the bidding war.  An experienced real estate broker can help you stay calm and make rational long-term decisions.

     If you are considering selling your lake property, you are definitely in the driver’s seat. Prior to accepting offers, setting the asking price and how you initially present your property to the market still matters and can make a big difference in your final sale price.  If you need to purchase another property, you should research your options before deciding to sell.

      Some properties are receiving as many as twenty offers.  This is a great position to be in but can bring a lot of confusion in deciding which offer to accept.  Highest price seems like the obvious choice but there are many other factors to consider.  Various contingencies, closing dates, items included in the sale and buyers financing are a few of the items that you will need to weigh out.  A buyer might make a cash offer, but your broker should verify that they have the funds to bring to the closing table or you could be starting over at square one.  With the amount of ready buyers, it’s a great idea to have a backup offer in place in case the first buyer is unable to complete the purchase.  

     Michael Elliott has been selling real estate at the Lake of the Ozarks since 1981.  He is one of the most respected brokers in the area.  If you would like to work with Michael in the sale or purchase of property, or have interest in a career in real estate, contact him at 573.365.SOLD or cme@yourlake.com  or stop by C. Michael Elliott & Associates, 3738 Osage Beach Parkway. 

 

 

 

April Lake of the Ozarks Real Estate Update

 Spring Market

As we reach the Spring market and look back at the first quarter of 2021, lake area real estate sales show no signs of slowing down. 

     I’ve been reviewing the inventory levels over the last few years beginning in 2016.  For comparison I am using the category of lakefront home listings. 

      In January of 2016, there were 700 lakefront homes on the market on average on any given day.   That number increased to 753 in February of 2016 and continued to increased each month until June.  In June of 2016, lakefront home inventory had peaked for the year at 1,001 and inventory returned to 671 lakefront homes in December.

     It is typical for the inventory to ebb and flow each year and it usually reaches its highest point in June or July.

     As the market improved each year, the overall average inventory dropped.  That’s a pretty obvious result of increased demand and no surprise.

     That brings us to this year, 2021.  In January of this year the average lakefront home inventory was 208.  That’s a decrease of 12.6 percent compared to the inventory in the previous month of December 2020.  It is still “normal” for inventory to decrease from December to January although in the past I think that is due to people taking their property off the market as much, if not more, than it is due to sales.  I’m speaking strictly anecdotally since I don’t have a way to definitely track this, but I feel this inventory decrease is due to the sales.

     In February 2021, when we would expect to see an increase in average active lakefront home inventory, the market experienced another decrease of 16.3 percent from January levels to February levels of 174 lakefront homes.

     As I wrap this up on March 30^th, the full average inventory data is not yet available for March.  I can tell you that today there are just 63 lakefront homes actively available.

      Something we don’t have a shortage of is available agents.  There are currently 911 members of our local Multiple Listing Systems and growing daily.  You’ll have plenty of selection when it comes to getting help finding a lake home.  I’d love to have the opportunity!

       All sales data obtained from the Bagnell Dam and Lake of the Ozarks Board of Realtors Multiple Listing System for the years 2016 through March 30, 2021.

     C. Michael Elliott and Associates is a boutique, privately owned office.  Please give us a call if you are considering buying or selling, we’ll explain our services in detail and you can decide if we are a good fit for you.

     Michael Elliott has been selling real estate at the Lake of the Ozarks since 1981.  He is one of the most respected brokers in the area.  If you would like to work with Michael in the sale or purchase of property, or have interest in a career in real estate, contact him at 573.365.SOLD or cme@yourlake.com  or stop by C. Michael Elliott & Associates, 3738 Osage Beach Parkway. 

March Lake of the Ozarks Real Estate Update

 

February Lake of the Ozarks Real Estate Update

 

2021 Lake Market Remains Strong

     The real estate market in 2021 shows no sign of slowing based on the activity I am seeing so far in January.  I have broken down the numbers to give you an idea of how quickly residential properties are moving during what is traditionally a slower time for sales at the Lake.

     During the first four weeks of 2021, from January 1 to January 26, a total of sixty-two new condominiums or single-family homes were placed on the market.    It is possible that some of these were previously on the market and have been relisted but considering how strong sales are, I feel this would be an extremely small amount.  At this same time, one hundred sixty-seven listings were sold (closed) and two hundred twelve listings’ status was changed to indicate either a pending or contingent contract.

     Further analysis of these numbers shows that there were only five new listings of condominium units.  A total of forty-six condo units closed and sixty-two condo units had status changes to pending or contingent.  There are currently just thirty-two condos actively available.

     Single family home sales also remain vigorous.  Twenty-five offwater homes were new to the market in January, fifty-three offwater homes were pending or contingent and fifty-six offwater homes sold.  One hundred twenty-one offwater single family homes are now on the market.

     Homes with lake views and/or lake access amounted to twelve new to the market, twenty-nine pended or shown as contingent and fourteen closed.  Forty homes in the property type are currently available.

     Lakefront homes new to the market equaled twenty.  Seventy lakefront homes were marked as pending or contingent and fifty-one sold.  One hundred six lakefront homes remain on the market.

    All sales data obtained from the Lake of the Ozarks Board of Realtors Multiple Listing System for the time frame January 1 – January 26, 2021.

     C. Michael Elliott and Associates is a boutique, privately owned office with a great group of knowledgeable, topnotch agents and staff that will work in your best interest and are enjoyable to work with.   Please give us a call if you are considering buying or selling, we’ll explain our services in detail and you can decide if we are a good fit for you.

     Michael Elliott has been selling real estate at the Lake of the Ozarks since 1981.  He is one of the most respected brokers in the area.  If you would like to work with Michael in the sale or purchase of property, or have interest in a career in real estate, contact him at 573.365.SOLD or cme@yourlake.com  or stop by C. Michael Elliott & Associates, 3738 Osage Beach Parkway. 

 

 

 

January Lake of the Ozarks Real Estate Update

 

New Year’s Market Uncertainty

 

     Market activity over the previous seven days ending December 29^th had thirty-five new listings to the market plus nine properties had sales contracts cancelled and are now back on the market. A total of fifty-six properties were placed under contract.   While nine may not seem a large amount, it is considerable when you realize that it equals one-fourth the number of new listings.   The most common reasons for failure are due to items discovered during inspections, property not appraising, buyer unable to obtain financing and, lately, buyer getting cold feet.  I have been involved in more transactions this year where the buyer backs up and chooses not to complete a sale than I have any other year over the last thirty-nine years.  I have spoken to numerous fellow agents experiencing the same circumstances.

     I expect this situation to continue into 2021 for the first six months at a minimum.  As we are all aware, there is a great deal of uncertainty in almost every aspect of life right now. Buyers are also facing much higher prices than just one year ago and are having to make cuts to their criteria list.   Competition is fierce and when a new listing hits the market, buyers must move rapidly and be prepared to make quick decisions to have a shot at an accepted contract.  These factors can make for nervous buyers and sometimes result in cold feet.  There is an abundance of demand for lake property coupled with historically low inventory.  The upside of this is that it allows sellers to move quickly to the next buyer. 

     Year to date sales comparisons as of December 29^th , 2020 show the number of  lakefront home sales up forty percent compared to 2019 and the average sales price up twenty-two percent.  Off-water home sales increased seventeen percent both by amount and price.  Condo units sold increased thirty-three percent and the average sales price of resale units rose seventeen percent.  The number of Lakefront lot sales increased by one hundred and forty-seven percent and the average sales price was up by twenty-four percent.  Total Off-water lot sales increased thirty-three percent with an increase of nineteen percent in the average sales price.  

       All sales data obtained from the Lake of the Ozarks Board of Realtors’ Multiple Listing System for the years 2019 and 2020.

     C. Michael Elliott and Associates is a boutique, privately owned office with a great group of knowledgeable, topnotch agents and staff that will work in your best interest and are enjoyable to work with.   We are happy to explain our services in detail and you can decide if we are a good fit for you.

     C. Michael Elliott has been selling real estate at the Lake of the Ozarks since 1981.  He is one of the most respected brokers in the area.  If you would like to work with Michael in the sale or purchase of property, or have interest in a career in real estate, contact him at 573.365.SOLD or cme@yourlake.com  or stop by C. Michael Elliott & Associates, 3738 Osage Beach Parkway.