This summary is being archived but it has great detail on the lakefront market in 2015 and 2016. It’s a great foundation for those who are interested in entering the lakefront arena and want some perspective.
Lakefront Market 2016 vs. 2015
In 2016: There were 5 fewer sales and 16% less volume than 2015 (please note that I take into account sales which are not reported in MLS – there were 3 last year). Half of the sales in 2016 were at homes which had piers. 2016 saw 3 sales over $10m. In 2015 there was only one – a Chase International sale for $28m. On the opposite end of the spectrum, 2016 had 2 sales under $2m; 2015 had none. I sold a 50% shared interest in a 7th-generation family cabin in Homewood. There was one bankruptcy sale in each of the last two years. In addition, there were some very interesting transactional incidents that occurred in 2016 – I had direct contact with a number of them.
In sales volume, 2016 was behind 2015 until the fall when 2 large estates sold. These sales caught the lakefront market up to 2015. However, the end of 2016 was very quiet on the lakefront: 2 sales in 2016 vs. 7 in 2015. So overall volume was down due to those nice sales in the early winter of 2015 including one for $9.75m which had 5 offers.
The quantity of lakefront properties offered for sale in 2016 was typically in the 20’s which is quite low. We typically see 40+ lakefronts offered for sale. But don’t let this fool you. There is always a lot of interesting action in the lakefront marketplace. I share detailed updates with lakefront buyers and owners who, over the years, have requested to receive this privileged information – reach out to be included. I anticipated the low lakefront inventory to continue through 2017 and this has been the case. This can be a benefit for sellers in a market with a buyer pool as strong as Northern California.
2015 was a difficult one for homes without piers but that turned around. At one point almost half of the sales in 2016 were at homes without piers. Two of these were over $6m and two more were in the $4m’s. To see photos of the piers that belong to the lakefront homes listed for sale at some point in 2016, click here.
2015 saw a healthy jump in lakefront volume over 2014. Multiple offers were seen on a handful of the 26 total sales. All sales had piers except for one. Three high-end sales occurred off-market. The lower end had some stagnant offerings a few of which eventually sold; the others were rejected by buyers. There was some sideways lakefront moving among existing owners but not nearly as much as 2014. There was one bankruptcy sale. The new owner put it back on the market at $12m and and closed it for $11m.
As mentioned above, the highest 2015 sale was a Chase International listing in “Historic Old Brockway” called Crayfish Cove. It was listed for $34,000,000. Alex’s sale at $8.199m was the third highest recorded in MLS in 2015.
Year | Total Volume | # Homes Sold | Ave. Days on Market | Ave. Price | Median Price |
2016* | $121m | 21 | 182 | $5.9m | $4.8m |
2015* | $145m | 26 | 170 | $5.6m | $4.2m |
2014 | $121m | 30 | 163 | $4m | $3.1m |
2013* | $95.5m | 23 | 203 | $4m | $3.5m |
2012 | $150m | 32 | 338 | $4.6m | $3.2m |
*2016 includes 3 off-market sales. 2013 and 2015 each include one off-MLS sale. 2015’s was Chase International’s listing which sold for the highest number in years. 2013’s was for $8.9m.
_________________________________________________________________
Get in Touch with Alex
[idxgcContactForm]