Home News Buyers flocked to lake houses during the pandemic. Now that frenzy is over

Buyers flocked to lake houses during the pandemic. Now that frenzy is over

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The pandemic has forced many buyers to leave the city for real estate around lakes in North Texas. This year, the rush has subsided.

According to some data, the number of home and lot listings around lakes in Texas jumped from just over 8,500 in February to nearly 13,000 in August. A just released report from Lake Homes Realtyis an Alabama-based broker that sells lake properties in 34 states.

Texas is the largest lake real estate market in the United States, with 12,945 land and parcel listings as of August, followed by Florida (8,990) and Tennessee (5,849). With 1,289 listings, the Louisville Lake Market had the third-highest listings of any lake market in the country, behind only Lake Michigan and Puget Sound.

After the pandemic began in 2020, supply levels in the Lakehouse market reached their lowest point since at least 2018. Some neighborhoods didn’t have the right priced homes to sell, said Glenn Phillips, CEO of Lake Homes Realty.

“Like everyone in the real estate industry, we have had record-breaking growth during COVID,” Phillips said. “When COVID first broke out in Texas and nationally, people who owned lakes flew into lakes and friends who didn’t had lakes were like, ‘Well, that’s it.’ I need it.”

Phillips said sellers who put off because they were worried about the coronavirus or because they couldn’t find another home to buy are back on the market. You may have buyer remorse for homes you have purchased since then, and other sellers may be seniors who have grown out of the lake lifestyle.

“I think there was more interest from sellers who were very uncomfortable putting their homes on the market for a variety of reasons, and now they’re feeling more comfortable about COVID and feeling more secure about where to go. said Phillips. .

He said he expects the Lake market to resist economic change spurred by rising interest rates.More than half of Texas Lake property buyers are over the age of 45.

“More than half of our transactions are cash. [buyers] Interest rates aren’t really an issue in this demographic,” Phillips said. “If we were primarily dealing with first-time homebuyers, it would be a tough market. [homes]”

Phillips doesn’t see this as a bankruptcy, but said the timeframe for home prices to peak is looming over potential sellers.

Suzanne Warner, a Compass real estate agent who specializes in lake real estate, farms and ranches, and investment properties, said housing in the desirable area is still moving quickly.

“If you have a good product, it will sell,” says Warner. “It might not be as much of a feeding frenzy, and maybe your buyers are a little more discerning, but I still think it’s an incredibly healthy market.”

Warner said he recently listed two properties in a high-end Cedar Creek Lake development, both of which he said sold for about $4 million.

“We don’t have enough stock yet. It’s not just Cedar Creek,” she said. “I’ve run into it in multiple places.”

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