By: BrianHomberg bhomberg@railey.com 301-501-0131 October 4th, 2011 Category: Deep Creek Lake Buyer Info, Deep Creek Lake Market Update, Deep Creek Lake Real Estate, Garrett County Real Estate, Interest Rates and Loans

There has been some recent good news in the Deep Creek Lake and Garrett County real estate market. In August 2011 there were 44 new pending sales which represented a 15% increase compared to the previous 5 year average. In fact, pending sales in August were at their second highest level since the height of the market in 2006. Other highlights of the local real estate market include;

In August 2011, 14 residential Deep Creek Lake water oriented (lake front, lake view, or lake access) properties sold with an average sales price of $426,711 and spent 277 days on the market. There are currently 36 Deep Creek Lake water oriented pending sales (35 residential sales and 1 lot/land).

36 lakefront homes have sold thus far in 2011, already equaling the total number of lakefront homes sold in all of 2010. There are currently 11 lakefront homes under contract. Those 36 lakefronts homes sold had an average sales price of approximately $819,000 and spent 228 days on the market. The average list price to sales price ratio of those homes sold was 81%.

Away from the lake in other areas of Garrett County, 16 residential homes sold in August 2011 with an average sale price of $170,341 and spent 142 days on the market.  There are currently 47 non-lake area pending sales (40 residential sales and 7 lot/land).

Buyers take note that summer followed by fall is typically the strongest selling season in Garrett County.  Sellers are generally more motivated this time of year with the prospect of having to carry their property through winter.  There are some very good values out there right now with a good selection of inventory to choose from. Also helping are low interest rates which incredibly ended last week under 4%.

Garrett County is a very unique market.  It is a beautiful, centrally located four season resort area.  Six of the wealthiest counties in the country are located within less than a gas tank away.

Railey Realty continues to the leader in the Deep Creek Lake and Garrett County real estate market with 57% of total dollar market share in Garrett County and 64% of the Deep Creek Lake market.

As a full time salesperson at Railey Realty I can send you new listings as they hit the market that will show status changes from active listings to pending and closed sales in real time via email market updates.  This is a state-of-the industry computer technology that I offer free of charge to you to follow and immediately see buying opportunities as they hit our resort market. I will be happy to let you know about “must see” properties and “great values.”  Please contact me for all of your real estate needs as I promise to guide you through a smooth real estate transaction.

By: Mike Kennedy mkennedy@railey.com 301-616-6106 February 18th, 2011 Category: Deep Creek Lake Buyer Info, Deep Creek Lake Market Update, Deep Creek Lake Real Estate, Garrett County Real Estate, Interest Rates and Loans

For the first time in several years the total number of real estate sales in the Deep Creek Lake and Garrett County market increased from the previous year. The current year is also getting off to a better start than the last few as the total number of residential sales thus far in 2011 is slightly higher.

Overall, there were 381 total real estate sales in 2010 with $118,847,832 in total dollar volume sold (according to our MLS). Total sales include all residential, building lots/land, commercial and multi-family properties. Total real estate sales in Garrett County improved about 10% in 2010 and total dollar volume sold increased 14% from the previous year.

In the Deep Creek Lake market, there were 154 residential sales in 2010 compared to 143 the previous year. Total dollar volume sold increased 19% as well in the lake area. A significant part of this increase in the lake market was due to additional higher end lakefront residential sales in 2010. Lower interest rates and price reductions also boosted the entire market.

Real Estate Market Snapshot - Deep Creek Lake

Dec 31, 2009                   Dec 31, 2010

#               $ Vol                     #         $ Vol

Res              143         $72.9M                 154         $86.0M

Lots              46          $9.3M                    25          $8.3M

Comml          3           $1.1M                      2          $0.4M

As a buyer, there are many options and properties to choose from in this market. Inventory continues to be higher than normal in most of our market segments. Plus, interest rates on second homes and investment properties are still low but have risen slightly in the past few months. A strategy of waiting for price corrections can sometimes result in more overall costs if rates continue to rise. A good portion of our sales normally occur later in the year so purchasing now before demand increases usually results in more favorable conditions for a buyer.

Correctly pricing your property within the market continues to be critical if you are selling your lake house or lot. An over-priced listing will sit on the market and not get much activity, showings, or even get any web inquiries. As a seller it is imperative to base your price on recent comparable sales! Buyers are able to review recent sale prices and most will then determine how much they are willing to pay from that information. Property condition features, and amenities also play an important part of a successful real estate sale. If you are thinking about selling please contact us for a free competitive market analysis that will help determine the value of your property.

Whether you are buying are selling, working with an experienced Realtor is critical. We continue to be Garrett County and Deep Creek Lake’s leading real estate company in properties sold and have the biggest selection of homes for sale. Contact us if you would like to schedule a showing for any property listed for sale in the Garrett County or the Deep Creek Lake area. As a cooperating broker we can assist and show you properties listed for sale with other real estate companies as well.

By: Mike Kennedy mkennedy@railey.com 301-616-6106 January 14th, 2011 Category: Deep Creek Lake Buyer Info, Deep Creek Lake Market Update, Deep Creek Lake Real Estate, Garrett County Real Estate, News, Wisp Real Estate

The Wall Street Journal recently reported that vacation home markets are on the rise. While the article does not mention the Deep Creek Lake real estate market, it does mention other resort markets and reports some similar things that have recently happened in our market.

• Sales are up slightly
• A few record sales - Deep Creek experienced a record lakefront house sale at Holy Cross for $3.5 in 2010.
• Cash buyers who are getting good deals
• More accurate pricing by sellers

Now is still a great time to purchase a second or vacation home in the Deep Creek Lake area. Interest rates are still low, good deals can be had with plenty of properties to choose from, and unlike other resorts we do have year round activities with the lake and Wisp Ski area.  Contact us for a complete list of all available properties - or a list of the current “best buys” in our market.

By: Mike Kennedy mkennedy@railey.com 301-616-6106 October 21st, 2010 Category: Deep Creek Lake Buyer Info, Deep Creek Lake Market Update, Deep Creek Lake Real Estate, Garrett County Real Estate

Leading indicators and trends in the Deep Creek Lake and Garrett County real estate markets continue to strengthen. Thru the first nine months of 2010;

• Lakefront residential sales are up 31% - 47 total sales thus far in 2010 with an average sold price of $822,179 - versus 36 sales in 2009 with an average sold price of $711,315.
• Total number of sales in Garrett County is up 10%.
• Total dollar volume sold in Garrett County is up 22%.
• Total residential dollar volume sold in the Deep Creek Lake area is up 26%.
• The average residential sold price in Garrett County is up 9%.

(All data collected from Metropolitan Residential Information Systems (MRIS). All data is believed to be accurate but not guaranteed.)

A few key factors have contributed to the strengthening of our market. First, there have been a greater number of higher end lakefront residential sales in 2010 which has boosted the entire market. Second, historically low interest rates have created more buying opportunities. Lastly, some price reductions and corrections in certain segments of our market have enticed buyers to purchase their next home, vacation home, or rental property.

Higher inventory levels and inflated list prices continue to be a problem. Over priced listings are being ignored as buyers have a healthy selection of properly priced homes, condominiums, townhomes, and vacant land to choose from. If you are selling it is more critical now than ever before to competitively price your property in the market. If you are unsure of the value of your property please contact us for a free, no obligation, competitive market evaluation.

If you are actively buying, it’s still a great time to evaluate your purchasing options. The Deep Creek Lake area is a true four season resort that offers historical stability and more importantly activities and attractions the whole family can enjoy. Those factors plus low interest rates and a large selection of properties to choose from right now provides buyers an ideal environment to purchase a vacation or second home.

As Deep Creek’s leading brokerage we look forward to helping you with all your real estate needs.

By: Mike Kennedy mkennedy@railey.com 301-616-6106 June 16th, 2010 Category: Deep Creek Lake Buyer Info, Deep Creek Lake Market Update, Deep Creek Lake Real Estate, Garrett County Real Estate, News

It is no secret that the local real estate market experienced a challenging year in 2009, but as we move closer to the 2010 summer selling season there are signs of increasing momentum and improvement. If the current trends continue, we can hopefully look back and note that 2009 was the bottom. Some trends we are seeing include:

• Buyer interest and activity is well ahead of last year’s pace. Lakefront residential transactions are up 70% from the same period last year.
• There have been five (5) $1 million dollar plus sales this year compared to only three (3) last year at this time.
• A lakefront property in The Reserve at Holy Cross just sold for a record $3.5 million. Railey Realty was the listing broker for this sale. This is the first reported $3 million plus lakefront residential sale.
• The number of pending contracts is greater now than it was last year at this time.
• New residential construction and housing starts have stabilized. Through May, total building permits issued for new single family home starts in Garrett County is nearly at the same level experienced for all of 2009.
• Distress sales, short sales, foreclosures, and bank owned properties in Garrett County and the Deep Creek Lake area are still few and far between in this market.

The area continues to add amenities such as the under construction Community Athletic Recreation Center, just opened Lodestone and Thousand Acres golf courses, and a new Zip Line Canopy Tour Ride at Wisp Ski Resort. The Deep Creek area offers an abundance of activities and attractions families can enjoy year round.

If you are a prospective buyer, now may be the perfect time to purchase.  Interest rates remain low, and there is a great selection of properties to choose from.   Right now is a great time to take advantage of these benefits and capitalize on the historical strength found in this four season resort market.

If you are in the selling process it is very important to not over-price your property.  “Testing the market” in this environment is not the best path to take.  Today’s buyer is well informed and will not make offers on obviously overpriced properties.  As a result, the over-priced properties do not sell, and as other owners market their property, inventory increases.  This ultimately drives prices down.  Our advice is to offer your property for sale when the time is right for you and price your property competitively. One simple fact has remained true - properly priced homes in good condition are selling in this market.

If you are considering selling and would like to know the value of your property, Railey Realty will provide you with a free, no obligation, competitive market evaluation.  Please contact your agent or call us at 301-387-2000 for details.  As Deep Creek’s leading brokerage we look forward to helping you with all your real estate needs.

By: Mike Kennedy mkennedy@railey.com 301-616-6106 June 11th, 2010 Category: Deep Creek Lake Buyer Info, Deep Creek Lake Market Update, Deep Creek Lake Real Estate, News

Railey Realty is proud to announce its participation as the listing broker in the highest lakefront residential sale recorded at Deep Creek Lake. The upscale, nearly 14,000 square foot home when finished, was recently sold for $3.5 million. The home was built in 2007 and is located in the Reserve at Holy Cross which is a private lakefront/lake access community. The property features stunning, unobstructed views of Deep Creek Lake from most rooms, 4 bedrooms, 3 full baths, nearly every upgrade you could imagine in a high-end home, and a boat dock permitted for 3 power boats. The couple who purchased this home is from the Pittsburgh area and plan on using it as a vacation home.

This is the first sale over $3 million at Deep Creek Lake and is the highest sold price for a residential property since 2007, when another lakefront house in The Reserve at Holy Cross sold for $2.8 million.

If you are thinking about buying or selling lakefront property on Deep Creek Lake, give us a call or send us an e-mail. As Deep Creek’s leading real estate brokerage, we can assist you with all your real estate needs.

By: Jay Ferguson jferguson@railey.com 301-501-0420 March 23rd, 2010 Category: Deep Creek Lake Market Update, Deep Creek Lake Real Estate, Garrett County Real Estate

Residential Market Stats that Matter - Railey Realty Still #1

In a sales meeting this morning, our manager Nancy Trotta went over the latest residential market statistics for the Garrett County area. The numbers are amazing, and I wanted to share some of the highlights:

There are currently 33 properties currently under contract between $55,900-$1,989,000. Of those contracts, Railey Realty has 18 of those homes under contract - 55% of the market!

Our next 3 closest competitors have 8 contracts COMBINED. Their individual market share ranges from 6%-9%, respectively. I believe that this demonstrates why I chose to make the move to Railey Realty last month - more market share and the ability to still sell homes even in the current market conditions. Our results speak for themselves!

And it’s not just contracts - our listing inventory is nearly double that of the next closest competing broker. We have 239 homes currently listed and more on the way! For the best selection of real estate listings, again, we are #1 in Garrett County & Deep Creek Lake!

Deep Creek Lake & Garrett County Real Estate Sales

By: Mike Kennedy mkennedy@railey.com 301-616-6106 March 6th, 2010 Category: Deep Creek Lake Market Update, Deep Creek Lake Real Estate, Garrett County News, News

Yesterday the historic Alpine Village Inn, on the shores of Deep Creek Lake, went to auction. The bidding started at $550,000 and quickly escalated up to $900,000. The winning bid ended up being $900,000 and it appears a non-local developer was the winning bidder. The previous owners had paid $750,000 for the motel back in 2003. It is not immediately known what plans the new owner has for the once thriving 29 room hotel/motel.  The State of Maryland Highway Administration does have plans at some point in the future to widen the intersection of Rt. 219 (Garrett Highway) and Glendale Road which could potentially increase the value of all commercial real estate at Deep Creek Lake in that area. The interesting point here is that the Alpine Village sold for more than what it did just 7 years earlier - once again demonstrating the underlying strength and stability of real estate values here at Deep Creek Lake - values that are holding fairly steady even during one of the worst real estate slowdowns and economic downturns in our country’s history.

By: DebraSavage dsavage@railey.com 301-616-4085 September 3rd, 2009 Category: Deep Creek Lake Buyer Info, Deep Creek Lake Market Update, Deep Creek Lake Real Estate

Well to give an answer this question it takes further explanation of two trends we have seen - 1.  the number of units sold has dramatically fallen - but  2. Deep Creek lakefront properties have still continued to hold their value. Let’s walk-thru this in greater detail;

Deep Creek Lakefront Residential Homes Sold

Year # of Homes Sold # of Homes over $1,000,000

2000          97                                     4

2001          79                                     6

2002         115                                     5

2003          70                                      7

2004          82                                     13

2005          94                                     21

2006          79                                     26

2007          61                                     21

2008          54                                     20

2009 YTD    19                                      5

These numbers are based upon information obtained from MRIS, our local MLS System, showing homes listed as fee simple lakefront residential homes at Deep Creek Lake.

As you can see the number of transactions has fallen starting in 2006 - but please note that until this year (2009) the number of lakefront homes sold with a list price over $1 Million has been a strong and upcoming market.

Deep Creek Lakefront Values have Remained Steady

I took a completely random sampling of properties, both single family and condominium lakefront properties, which are currently listed for sale to establish value.  I reviewed the sales history of these properties from the time we started to track sold prices in our public records and here are the results:

Area of the Lake - Southern

Sold Price                   Transfer Date

$350,000                      April 04

$435,000                       Dec 04

$630,000                       June 05

Current List Price         $ 1,199,000

Thayerville Area of Lake (near Uno’s)

Sold Price                   Transfer Date

$217,000                         Dec 81

$421,250                         Sept 02

Current List Price         $699,000

McHenry Condominium

$125,100                         May 88

$145,500                         April 97

Current List Price      $409,999

Southern Lake  Condominium

$164,750                          Jan 90

Current List Price      $ 375,000

McHenry Condominium

$117,000                          May 92

$160,000                          May 04

$210,000                          Sept 05

Current List Price      $ 217,000

So what does all this say?

The number of homes sold has decreased this year, but we are holding value.  Now I know we are all talking about and hearing about all these price adjustments and decreases.  Yes, we are seeing sellers drop prices, BUT, we are holding value. Home owners are not making as much on the re-sale of their property but they still have not dipped below the value they paid originally.

Remember buyers turn into owners and potentially one day they turn into a seller. That is when everyone wants to know that they made a purchase that has held value.   Deep Creek Lake has historically proven over and over again that it’s a great value purchase.  Considering the conditions the real estate market has seen nationally isn’t it great to know that there is somewhere in this great country that when you buy property, even in huge downturn markets, that you can and will hold value!

So, whether you buy now or buy later (as many happy home owners at Deep Creek Lake have done over the years) our history is strong on value oriented lakefront property.

Now there is a reason to purchase lakefront at Deep Creek Lake.  I think we all wish our 401K and IRA stock accounts had held value like Deep Creek Lake!!! Give us a call or drop us an e-mail - we’ll show you how to buy a vacation property in a market that has proven itself over time!

By: Mike Kennedy mkennedy@railey.com 301-616-6106 July 24th, 2009 Category: Deep Creek Lake Buyer Info, Deep Creek Lake Market Update, Deep Creek Lake Real Estate, Garrett County Real Estate, Wisp Real Estate

As we pass the mid point of 2009, the Deep Creek Lake and Garrett County real estate market continues to feel the impact of the national economy and global recession. Not because we have an abundance of short sales and foreclosures - because we really don’t - the biggest impact right now is the national media and the negative perception of real estate in general.

This perception continues to widen the gap between what buyers are willing to pay and what sellers are willing to accept for their properties in our market. This fact along with tightening credit standards has resulted in less sales - a trend that started about mid-way thru 2006 in our market.

Almost every buyer today wants a “good deal” or is waiting for the bottom - and who can blame them after listening to the national media? However, most of the current real estate listings in Garrett County could be characterized as being “non-distressed” - i.e. the owners would like to sell but they aren’t willing to dramatically take less than what they are asking for in price.  There are some desperate sellers out there right now that need to sell - and they very well may have a property match for what you’re looking for. However, in general,  this is not a market like Las Vegas, or in other parts of the country like Florida, where 50-75% of all current sales are distress sales.

Real Estate Market Snapshot - Deep Creek Lake

June 30 ,2008                   June 30,2009

#               $ Vol                     #         $ Vol

Res              72         $44.4M                   54         $27.4M

Lots             33          $6.3M                    25          $5.7M

Comml          1           $0.5M                      2          $0.7M

Clearly, the number of sales and transactions continues to decline. The only bright spot continues to be the average sold price. According our MLS, the average sold price for a residential property thru the first 6 months of 2009 in the Deep Creek area was $507,942. The average sold price at the end of 2008 was  $583,230 - or a correction of about 13% - not bad considering most other areas of the country - primary home and resort areas - have seen corrections between 25-50% and have seen property values revert back to pre-boom days! In fact this is the first time the average residential sold price in the Deep Creek Lake area has recently declined - even in our softer real estate markets of 2007 and 2008.

However, please take these numbers with a grain of salt - this number includes a wide variety of different types of residential homes sold - from million dollar lakefront homes with a private boat docks - to less expensive lake access condos and town homes - to a modest cabin in the woods with no lake access. If more less expensive property types sell the average sold price will decline. This does not mean the value of a newer lakefront home with Type A dock went down 13%. It just means on average, the different properties that did sell, sold for 13% less than at the end of 2008.

What’s a Seller To Do?

Right now the best thing you can do is realistically price your property to sell based on the last comparable sold and make sure the condition of the property is in tip-top shape. Realistically priced properties in good condition are currently selling - unrealistically priced properties are not! By pricing your property correctly up front you can avoid all the small price reductions later which help keep the buyers on the sidelines waiting for the next price drop.

As a seller the value of your home is NOT based on what you paid for the house, NOT based on how much you have it insured for, NOT based on how much your neighbor’s house is currently sitting on the market for, and NOT based on how much you mortgage balance is - pure and simple your current value is based on what a ready, willing, and able buyer is willing to pay for it - and most buyers right now aren’t going to pay more than what the last comparable sold for.

What’s a Buyer to Do?

Quite simply now is a great time to buy!! A few communities and subdivisions in the lake area have seen values come down making some properties now within reach. Plus interest rates on second homes and investment properties are still low and their is an abundance of properties on the market right now. Now is a great time to negotiate an excellent deal. This situation along with low interest rates won’t last forever.

Overall the Deep Creek Lake real estate market has generally been a safe harbor to weather economic pressures like these throughout the years. Why? Owning property here is more than just a financial investment - it’s an investment in lifestyle as well. We have four seasons of recreation and activities - including Deep Creek Lake and the Wisp Ski Resort - we  have a comfortable year round climate suitable for numerous outdoor activities - including boating, hiking, snow skiing, biking, fishing, golf, and the Garrett Lakes Arts Festival - just to name a few. Along with our close proximity to Pittsburgh, Baltimore, and Washinton D.C. - Garrett County is a great area to reconnect with friends, family, and loved ones.  All markets go up and down - this opportunity may not last very long - give us a call or shoot us an e-mail - we’ll help you seize the opportunity and buy a property today!