Lake Gaston Real Estate Update - End of August:
Summer slowly fades away and
fall sneaks in bringing us cooler temperatures and the magnificent colors of
fall. Fall is a great time for boating on Lake Gaston. Early in the season, the
water temperature is still perfect for swimming, wake boarding and skiing. A leisurely
boat ride is irresistible when the leaves are reflecting vibrant colors on the
lake. Realtors® love showing property in the fall when we can show our lake in
all of its color and beauty.
Through July Lake Gaston,
real estate sales and listings remain steady.
In August, we had closings on 19 waterfront homes, 15 offshore and 1
waterfront lot totaling $9,678,468. In
August last year, we closed 18 waterfront homes, 7 offshore homes, 4 waterfront
lots and 4 offshore lots totaling $8,025,290.
In the first eight months of 2013 we have closed 219 transactions
equaling $56,550,423 total. In the first eight months of 2012 there were 193
transactions equaling $50,294,965 total. This year we have an increase of 12.4%
in sales dollars over the same time period last year.
Compared to previous years,
our dollar sales for the same eight months of 2011 were $49,405,867. In 2010,
sales were $39,154,888 and in 2009 sales were $32,033,049. In 2008, sales were $62,713,863 and in 2007
sales for the first eight months of the year totaled $91,928,326. The real
estate market recovery is slow, but steady and we hope it will continue to
improve.
The National Association of
REALTORS (NAR) reports existing home sales nationwide were up 6.5% in July. NAR
also reports pending home sales (contracts signed but not yet closed) were down
1.3% in July.
The Conference Board, a New
York based private research group, said last week that its consumer confidence
index rose to 81.5 in August. This is up
from 81 in July, just below 82.1 in June which was the highest since January
2008. After hitting the bottom at 25.3 at the depths of the “Great Recession”
in February 2009, the index has bounced back but has yet to get back to the 90
reading that signals a healthy economy.
The recent situation with
mortgage interest rates will be interesting.
The average 30 yr fixed rate has risen from 3.62% in March to 4.615$ in
August. The 10yr Treasury Note (leading
indicator of mortgage rates) is currently yielding 2.89%. The 52 week low was
1.56% & the 52 week high was 3.01%.
To put this increase into perspective,
the average waterfront home on Lake Gaston has sold for $400,000. If the buyer
makes a down payment of 20% and borrows $320,000 the principal and interest
payment will be at $1,645 for 30 years at 4.625%. In March borrowing the same
amount at 3.625% the payment would have been $1,459, roughly a $200 per month
increase.
Lake Gaston real estate is
still a great investment. Our market continues to grow and we are optimistic
about the future. Lake Gaston Realtors® work year round, they are ready to show
their clients the beauty of Lake Gaston in the fall.
You can reach Barney at 252-532-3274 or on the web at www.barneywatson.com or lakegastonrealestatencva.com
