Dreaming of Lakefront Living? You’re Not Alone.
Cities all around the country have seen home prices soar in the last year. Lake Keowee and nearby areas are in the same predicament. The area saw its biggest real estate year ever in 2020 in terms of home and land sales. Increasing property values are great if you have a home to sell, but it is a challenge for those who want to purchase here. Homes listed in the morning will be under contract later that night after receiving multiple offers. It is unlike anything the area has ever seen.
What is Causing This Demand?
Before the pandemic, Lake Keowee and the nearby areas grew in popularity. It has been a longtime weekend getaway spot for people who live in larger cities like Atlanta or Charlotte. Since more people are working remotely due to COVID restrictions, it has become a place where people are putting up permanent residence. They are attracted to the quiet, laidback lifestyle that comes with lakefront living. Most homes are also on larger lots than you would get in the city, which is a huge plus. Those who have been considering purchasing a lakefront vacation home are deciding to take advantage of record low interest rates, which is also driving up demand.
What is This Doing to Prices?
Lake Keowee still has a wide price range in the homes available for sale. You can get something as low as $200,000 or something in the multi-million dollar range. However, the median sales price of a lakefront home is $610,000, which is up 39.4% over last year’s median price of $437,500. Inventory has decreased significantly as well. February 2020 recorded 192 home sales while February 2021 recorded only 82, which is a 57% decrease. The reduced inventory combined with heightened demand in the area will continue to increase home values over the next year.
The Keowee Key community is investing 14 million dollars in the area on projects for renovations and growth. The area will see more hiking trails, an expanded fitness center, expanded golf facilities, and other amenities. These projects will most likely further increase home values and demand in the coming years.
Should I Buy Now or Wait?
If you have been considering purchasing on Lake Keowee and you are able to do so, go for it! Interest rates are incredible right now, which will ultimately save you money. Even though there is a ton of competition looking for homes at the moment, buyers are still able to have some room for negotiation. In many parts of the country, buyers have to waive contingencies and offer well above list price to have their offer accepted. So far that is not always the case in Lake Keowee. Homes are selling just under list price, usually at 99% of the list price. Some sellers are still willing to work with buyers by helping out with closing costs or appraisal fees. However, suppose the demand continues and more homes are not put on the market. In that case, we can expect the buyer’s negotiation power to dwindle.
If you have questions about real estate in Lake Keowee or surrounding areas, contact us. We are here to help buyers and sellers in the area by combining traditional personal service with modern technology in order to offer the best Residential Sales and Purchase experience imaginable!