Charlotte, NC|Sun City Carolina Lakes- A Deep Market Report of this Greater Charlotte Community Located in Ft Mill SC
February 12th, 2008 Categories: Charlotte New Home Developments-Builders, Over 55, active adult, Sun City Carolina Lakes
Sun City Carolina Lakes- What’s Up With the Re-Sale Home Market?
Some Re-Sale homes are asking higher prices, than the same model new construction… What? A Deep Market Report
Sun City Carolina Lakes in Ft Mill SC, an active adult resort style community is the fastest selling new home community in the greater Charlotte area. Del Webb’s popularity is well known, the lifestyle, the convenience, and the amenities are there for the leading edge of the boomer retirement curve. Charlotte’s popularity is no longer a secret either, and despite the nationwide downturn in real estate, Charlotte real estate prices are still increasing (13 of the last 14 months)and our market overall is quite healthy.
But homes for sale on the re-sale market in Carolina Lakes have frankly gone wild. Is it over eager agents pumping the prices to outlandish levels? Or, more likely, sellers demanding these prices, even as price appreciation has slowed in the region, and Agents not making their case effectively for realism in pricing? Prices in many cases appear to exceed similar new units. Folks, this won’t work!
People love Del Webb, but they’ll love it more in a New home than in a Re-sale home, the old story holds true here too. The most typical is that new homes carry a 5% premium over resale homes.
Lets have a closer look:
In the last 90 days there were 13 sales. Here is the median sale:
It was listed for for $350,345 dollars and had 2751 square feet, for a median cost per sf of $125.50.
Currently there are 11 Re-Sales and 22 new homes on the market. Lets Look at the re-sale homes first:
The 11 resales average in price is $166/sft, the average square foot price of the Solds was $125.00- the resale prices 
on the market now range from $118 /sf on a larger home, to $199/sft on smaller home- 1234 SFt. Of the Re-sales sold, 45% sold between $149 and 166 per sf. On the For- Sale Side, 81% of the homes ( 9 of 11) are priced between $149 and 199/sf. I guess it is the Lake Wo’ Be’ Gone of housing markets where every house is above average.
Well no it is not. Re-sale prices can not exceed the price of similar new units. Doesn’t happen, won’t happen and you are fooling yourself if that’s your position. This begs a question for both seller and buyer… Lets make it a Ask- The -Broker Question- When should you pay more, or sell for more? What makes a new home above average? Is it options? No, not really. There is no doubt some options hold all or part of their value- granite counters, screen porches, or additional HLA (heated living area) and hardwood floors come to mind.
Upgraded appliances? Upgraded lighting- the top package instead of a middle package? A top carpet upgrade? A jetted tub? Iron rails instead of wood rails? These are all great options that are popular expensive options thta add little to re-sale value. It is absolutely OK to buy these, as long as they are bought understanding that they are for the buyer’s enjoyment… but if something changes in their life and they want to move, they shouldn’t expect to get these options prices back. Won’t happen, each neighborhood has a price per square foot ceiling, beyond which there is very little return on investment.
The Answer to when you should pay more… or sell for more
When the property has what I call value- anchors, sometimes called intrinsic value. These are specific items that will… See the rest of the story or use the Red House to search for Sun City homes, look in Lancaster County SC– Search For Charlotte Real EstateThese are specific items that will always be appreciated, always valued and appreciate in value. I know what they are because I work with buyers every day and see appraisals. Here is a partial list of positive value-anchors for the home, there are also negative ones:
Extra Square footage- if there is an option to “finish a space” finish it. An extra bathroom option? Install it. You’ll never see prices so low again- remodelors charge More, think about it- they didn’t make a profit on the house.
Lot considerations: golf course view, water view, or other spectacular view, cul-de-sac in family neighborhoods
of course neighborhoods can have value-anchors as well, and the Del Webb name is a major positive value anchor for the whole community.
Here is a partial list of negative value anchors- things to avoid when purchasing- would include: an inclined driveway, a house stripped of options- the plain Jane, any other condition that makes it difficult to use- a seriously sloped back yard for instance, too many steps at the entrance, a busy street
So no I haven’t looked at every resale- but I intend to- and I am sure I’ll find the normal share of good things and bad, postive and negative value anchors, and, from the looks of it, prices that are generally high. Am I going to fault the real estate agents here for doing what their sellers ask? List at a high Price? Yes, because they are not educating their sellers–and because the sellers think they are on the market when maybe they really aren’t- but it is not just the agent’s fault, is it? We all know people who don’t want to be educated if they think it will “cost” them money. Stay tuned.
Thinking about moving to Charlotte? Like to see more pictures of Charlotte Homes? Charlotte neighborhoods? New Home Subdivisons? Read on…
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it is fact-filled and has been well received. Then if you like try some of these category posts…
A related post- South Charlotte Homes For Sale and Appreciation Report.Most folks like pictures, and I like taking them, so I’ve published more than 1500 pictures
divided into 45 galleries, divided by community, area
and fun things to do, see them at: Uptown Dilworth, SouthPark, Ballantyne Country Club, High Gate and more. Pictures oare of Sunny Lake Norman, The Levine Musemof the New South, and our in-town University, Queens of course.
Concerned about the market? Here are couple of recent articles about the strong Charlotte real estate market by Forbes.com and ABC News
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Hi terri- I’ve been MIA these past few weeks. Just stopping in to see you are as busy as ever.
Interested in resale in Sun City Carolina Lakes. Pls send info.
Thanks
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