By: Mike Kennedy mkennedy@railey.com 301-616-6106 February 19th, 2010 Category: Deep Creek Lake Activities, Deep Creek Lake Area Things To Do, Garrett County News, News, Wisp Ski Resort

Garrett County Maryland and the Deep Creek Lake area has received about 225 inches of snowfall this winter season according to the State Highway Association. The all time record is right around 230 inches. The heavy amounts of snow started falling on Saturday, February 6th, 2010 - about 40 inches that day - and it hasn’t really stopped since then. Another large blizzard hit Wednesday, February 10th - about 30 inches of snow accompanied by strong winds. After these two storms impacted the area, the northwest winds kicked up again on President’s Day resulting in lake effect snow all week. It finally stopped snowing today. Here is a graphic WBAL ran on their nightly news. Keysers Ridge is about 12 miles north of Deep Creek Lake.

While the locals have been complaining about the snow it’s been an absolute boon to vacationers, tourists, and skiers. Ski conditions at the Wisp Ski Resort have been excellent the past few weeks - along with cross country skiing! The Wisp has been extremely busy the past few weeks and expects to have another busy weekend. The strangest thing is that it’s been too much snow for snowmobiles - many of the snowmobiles are getting stuck in the fields and on Deep Creek Lake needing to be dug out.

If you do travel to the area, the main roads, such as Interstate 68, Route 219, and most of the county roads are fine. However, most roads still have snow cover and aren’t fully widened yet. In fact some of the more remote country roads are still closed as of today. Most driveways have been plowed but you should be advised to bring a 4WD or AWD vehicle if you do travel to the area.

The snow record will probably be broken soon as another major storm is expected to hit early next week! Once again, the weather is proving why Deep Creek Lake is such a wonderful, true four season resort area. If you would like to explore purchasing real estate in the Deep Creek area - please contact us - we’ll be more than happy to show you all their is to do in this winter wonderland!

By: Mike Kennedy mkennedy@railey.com 301-616-6106 August 12th, 2009 Category: Garrett County News, News

Mark your calendars for Saturday, August 22. The Property Owners Association of Deep Creek Lake is having their usual end of summer general membership meeting at 8:30 a.m. at the Garrett 8 Cinemas in Thayerville. The public is invited - you do not need to own property or real estate at Deep Creek Lake to attend!

A very interesting topic will be discussed at this meeting. John Wilson, MD DNR associate director of stewardship, will present the first report of the Deep Creek Lake Water Quality Study. This is a presentation that any stakeholder in the lake will surely want to hear.

By: Mike Kennedy mkennedy@railey.com 301-616-6106 July 13th, 2009 Category: Deep Creek Lake Buyer Info, Deep Creek Lake Events, News

The staff of the Deep Creek Lake Natural Resource Management Area (NRMA) will hold a class this Saturday, July 18th, 2009 at 9:30 a.m.  at the Deep Creek Lake Discovery Center.

The class will cover what special permits are required when a lakefront property owner wants to improve or alter the state owned buffer strip or privately owned buy-down area that is encumbered with a conservation easement. The buffer strip is the small area of land between the lake and a lakefront owner’s rear property line.

This class is worthwhile to property owners who already own lakefront real estate at Deep Creek or those thinking about buying.

Topics will include buffer strip pavilions, decks, pathways, lighting (electrical improvements, fire pits, play areas, clearing, tree and shrub removal, sea walls, & shoreline erosion control.

More information can be found at the Deep Creek Lake Management Office website or by calling (301) 387-4111.

By: Mike Kennedy mkennedy@railey.com 301-616-6106 July 2nd, 2009 Category: Deep Creek Lake Buyer Info, Deep Creek Lake Market Update, Deep Creek Lake Real Estate, Garrett County Real Estate, Uncategorized, Wisp Real Estate

If you are thinking about buying or selling a house at Deep Creek Lake or in Garrett County Maryland - one real estate statistic you may want to pay attention to now is known as the Absorption Rate - a market indicator that hasn’t been used much locally but should get some consideration to get a better feel for current conditions.

Absorption Rates at Deep Creek Lake and Wisp

What is the Absorption Rate? Basically, it’s the amount of time it will take the current inventory of homes on the market to sell based on the most recent pace of sales. For example, if 5 lakefront homes sold on average per month for the past year - and the current inventory of lake front homes for sale is 100 - then the current absorption rate would be 100/5 - or 20 months. In other words it would take about 20 months to deplete the current inventory based on the recent sales pace. Since we have many specialized segments of real estate in the Deep Creek market - here are the current absorption rates for the most popular segments;

Lakefront homes with private Type A boat docks - 89 currently on the market divided 2.5 average sold per month (30 sold in the past 12 months) = 35.6 months of inventory…or in other words there is around 3 years of inventory on the market at this current pace.

Lakefront homes with single slips -  38 currently on the market divided by .4 average sold per month (5 sold in the past 12 months) = 95 months of inventory.

Lake Access homes with single boat slips - 72 currently on the market divided by 1.33 average sold per month (16 sold in the past 12 months) = 54 months of inventory.

Lake Access homes without boat slips - 39 currently on the market divided by .58 average sold per month (7 sold in the past 12 months) = about 78 month of inventory.

Wisp Real Estate (residential atop Wisp Mountain) - 37 currently on the market divided by 1.25 average sold per month (15 sold in the past 12 months) = 30 months of inventory. Includes Villages of Wisp town homes.

Lake Area homes (meaning not “water oriented” - just homes in the general Deep Creek Lake area) - 71 homes currently on the market divided by 1.66 average sold per month (20 sold in the past 12 months) = 42 months of inventory.

Please keep in mind the absorption rate statistic is somewhat flawed by it’s own nature - it only takes into consideration recent past performance - it only looks backwards. It tends to underestimate the market going forward and the quickness of how fast things can turn around. Use this statistic carefully when evaluating your real estate opportunities.

However, this number does have some significant meaning for both potential buyers and sellers.

For buyers - a higher number means inventory is up and serious sellers will be competing for your business - thus your chances of getting a “better deal” increases.

For sellers - a higher number usually means more competition and you better make sure both the price and condition of your house compare favorably to your competition! - especially if you want to sell your house to sell in a normal marketing time frame.

Selling a house is both science and art. It’s part science because numbers and statistics are used to come up with a value based on recent selling prices of comparable homes, days on market, absorption rates, number of homes currently on the market, etc. It’s partly an art  because in a specialized resort market like Deep Creek each vacation property is unique in it’s own way - whether it’s the topography (steep vs. flat), orientation (northwest for late afternoon sun or east for morning sun), views (filtered lake views or wide open expansive lake views), boat dock (private Type A vs. single slip), condition of the house (newer vs older), etc…the list can go on and on. It’s extremely hard in this market to find two properties that are nearly identical so rarely can your compare apples to apples - except for town homes and condos.

Whether you are buying or selling Garrett County or Deep Creek Lake real estate - give us a call or drop us an e-mail - we are the experts on the local resort and vacation home market - we can guide you thru the entire process. Nobody has helped more buyers and sellers than us over the past 30 years!

By: DebraSavage dsavage@railey.com 301-616-4085 June 11th, 2009 Category: Deep Creek Lake Buyer Info, Deep Creek Lake Real Estate, Fractional Ownership, Garrett County Real Estate, Wisp Real Estate

People seem to be tightening their belts and looking for the best, most reasonable and smart way to enjoy second home ownership - especially here at Deep Creek Lake. This new economy does not require complete sacrifice, but it may require smarter spending and use of our resources.

This is where Fractional Home Ownership comes into play. Typical Deep Creek Lake vacation homes are often vacant for weeks or months on end while racking up the expenses such as: electric, heat, mortgage, home insurance; all the while gathering dust and needing maintenance. And even if you rent them out you probably are experiencing the frustrations that sometimes exist with maintenance issues of accelerated wear and tear on the home and furnishings.

With Fractional Home Ownership your expenses are shared with other home owners who care about the property just the way you care for your own home. The home is fully occupied by owners and maintained each week upon the exit of the current owner.

You receive an undivided deeded interest in the property. These Fractional Homes are top of the line. So instead of paying 1.2 million to 1.5 million for a gorgeous lakefront home, that you will probably only use a very few times a year, you still get your use at a Fraction of the cost while sharing the home with other owners who care and respect their ownership. Second Homes at Deep Creek Lake currently offer a 5 Bedroom Lakefront Fractional Ownership for just $349,000.

Second Homes at Deep Creek Lake also offers that top of the mountain feel with their Fractional Overlook Villas home for 269,900. This property sits atop Wisp Ski Resort mountain with stunning water views of Deep Creek Lake Maryland.

So in these challenging economic times, having a premier Deep Creek lakefront home with Fractional Home Ownership, offers you the right to “Have Your Dream Home at a Fraction of the Cost”. Isn’t it great when you can have your cake and eat it too!!!!!!

Give us a call or drop us an e-mail if you are interested in learning about the only fractional ownership opportunities in western Maryland’s four season resort - Deep Creek Lake and Garrett County.

By: Mike Kennedy mkennedy@railey.com 301-616-6106 June 9th, 2009 Category: Deep Creek Lake Buyer Info, Deep Creek Lake Market Update, Garrett County Real Estate

Click on the link below for new real estate listings and homes for sale in the Deep Creek Lake and Garrett County Maryland area offered by Railey Realty - Deep Creek’s leading real estate brokerage.

New Deep Creek Lake, Garrett County, and nearby West Virginia real estate listings - the week of May 25-June 7, 2009

The residential properties are denoted with a push pin and the building lots and acreage are denoted with the balloon graphic. Clicking on the property marker will give you a brief description and a link to additional information and pictures.

Please contact us if you are interested in any of these new properties - or any others listed for sale in the area. As a member of MRIS, our local MLS, we can assist with any property listed for sale - even those listed with other area real estate brokerages in Garrett County Maryland.

By: Mike Kennedy mkennedy@railey.com 301-616-6106 February 10th, 2009 Category: Deep Creek Lake Buyer Info, Deep Creek Lake Real Estate, Interest Rates and Loans, Obtaining a Mortgage, Uncategorized

This afternoon I had a conversation with local mortgage lender Jerry Merrick of BB&T Bank.  He had mentioned that refinance interest rates in the Deep Creek Lake and Garrett County areas are actually higher than purchase rates and no one seems to be noticing this. Conforming mortgage rates on a home  purchase are still below 5%! I questioned why the discrepancy in rates and below is his response.

While interest rates remain historically low some lenders are raising their rates to control the flow of refinance applications. The typical 30 year fixed rate refinance loan is priced at 5.125% today on any loan amount under $417,000. The matter is simply supply and demand, meaning that lenders are offering very low rates but they are typically understaffed and lack the support necessary to get these deals to closing prior to the rate lock expiration dates.

Consumers should be leary of using lenders that they are unfamiliar with who may be offering lower than market rates. The first item to address is how long is my rate guaranteed to be locked in for, and what are my options if the rate does expire prior to settlement? Ask yourself the question what good is a below market rate if you never go to settlement. At BB&T our clients are locked in for 60 days in order to ensure the integrity of their lock. Those terms are disclosed upfront in the form of a signed rate lock disclosure.

The flipside represents the purchase market which finds lenders still very aggressively priced. Purchase loans are priced today at 4.875% on 30 year fixed rate products. That’s a solid .250% below what the refinance transaction costs. The difference is purchase money transactions are moving faster and have priority in underwriting, because unlike the refinance these loans are new loans for the lender and the refinance transactions are already homeowners.

 With so many variables affecting the market, it’s more important than ever to have an advise -based strategy when structuring your loan, I appreciate you trusting me with this role. 

Jerry Merrick

Deep Creek Lake’s #1 Lender

Vice President

BB&T Mortgage

Mortgage Loan Consultant

301-387-3219 Phone

301-387-5393 Fax

301-616-0037 Mobile

21287 Garrett Hwy suite 500

Oakland, MD  21550

www.bbt.com/mlo/jmerrick

By: Mike Kennedy mkennedy@railey.com 301-616-6106 January 27th, 2009 Category: Deep Creek Lake Market Update, Deep Creek Lake Real Estate

Garrett County’s Planning and Land Development staff recently released their annual report that shows a continued declining trend in the amount of new subdivisions and approved building lots. However, the report does not break out the subdivisions and lots in the Deep Creek Lake zoning watershed - but instead lumps all Garrett County land statistics together. However, it’s a safe assumption that a majority of these statistics are in the general Deep Creek Lake area.

Subdivisions and Lots Down

The total number of approved new building lots in 2008 was 85 - this is down from a peak of 382 approved building lots in 2005. The Deep Creek Lake & Garrett County real estate market has experienced a sharp increase in the total number of available lake area building lots for sale over the past few years - mostly owned by developers, speculators, and flippers who purchased and developed a few years ago.  Hopefully this decrease in applications and new subdivisions will take pressure off of rising inventory.  

High Inventory of Lake Area Lots

If you are a prospective lot or land buyer - you currently have a tremendous amount of choice in the general Deep Creek Lake area - these are home sites that are NOT lakefront, have NO lake access, and NO lake views. As of today, our MLS is showing 111 of these types of lots for sale - with a majority of them priced in the $89,000-$139,000 range. For the past two years, the total number of similar lots on the market was in the 150 range - so the inventory has come down some over the past year.  This number does include about 17 home sites atop Wisp Ski Resort - some with slope access.

Low Inventory of Lakefront and Lake Access Lots

However, the number of choices and inventory levels decrease greatly as you get closer to Deep Creek Lake.  Only 12 true lakefront lots are currently on the market - ranging in price from $400,000 to $1,495,000 in Holy Cross. And only 14 lake access lots with deeded boat slips are currently for sale - ranging in price from $165,000 to $525,000. These lower inventory levels on the lake should continue well into the future as 63 of the 65 miles of shoreline around Deep Creek have already been developed.  The only larger parcels yet undeveloped are Thousand Acres, Pergin Farm, and a small area between Holy Cross and the end of Boy Scout Road. Contact us if you are in the market for a lot or thinking about buying some land - the lot and land buying process can be a very tricky in this area - there are many factors that need to be considered and evaluated.

By: Mike Kennedy mkennedy@railey.com 301-616-6106 January 7th, 2009 Category: Deep Creek Lake Buyer Info, Deep Creek Lake Real Estate, News

DNR Policy Change To Impact Deep Creek Lakefront Property Owners

There has been a change in DNR’s policy with regard to how older “grandfathered” improvements on the Deep Creek Lake buffer strip will be recognized. Up until now, any improvement - such as a walkway, stone path, pavilion, or shed - that existed with Penelec’s or DNR’s approval prior to DNR’s original management of the lake in 1980, or before DNR’s first set of regulations in 1986, did not require a permit. The permits were intended for new improvements only and DNR would simply document the older grandfathered improvement in their site inspection reports.

DNR has not required permits for these improvements for 28 years. DNR Lake Manager Carolyn Mathews has informed the Garrett County Board of Realtors that they are reinterpreting the regulation and are requiring property owners to apply for a Special Permit when DNR identifies a grandfathered improvement during a site inspection. DNR also reserves the right to require the removal or significant alterations to the grandfathered improvement and the permitting process provides the method and leverage to do so.

What does this mean to lakefront homeowners or those looking to buy lakefront real estate? Quite simply, if you have an existing improvement on the buffer strip and don’t have a permit - at some point DNR will approach you to apply for a permit without any guarantees they will approve it - even if it is “grandfathered.” And for those looking at buying lakefront property - pay very close attention to what you see down by the lakefront. If there is an improvement, such as a deck or shed, make sure the current owner can provide documentation that the improvement has been approved along with a special permit. If the owner can’t provide a current permit, make them go thru the permitting process with DNR. There are examples where DNR has conducted a buffer strip inspection, either at the request of the property owner, the buyer, or a Realtor® prior to closing and then required significant modifications to or the removal of the formerly grandfathered improvement. Depending on the terms of the contract of sale, and the timing of DNR’s inspection, this might impact your closing by introducing unexpected DNR permit issues and the costs of complying with DNR’s orders.

(Post written in conjunction with Paul Durham)

By: Mike Kennedy mkennedy@railey.com 301-616-6106 October 7th, 2008 Category: Deep Creek Lake Real Estate, News

DNR Deep Creek Lake Manager Carolyn Mathews reports that her office is pursuing several civil cases in circuit court involving activities on certain buydowns that are in violation of the provisions of the Conservation Easement. The most difficult situations appear to be grading and filling of the buffer strip, especially after new home construction.

DNR is also adopting a new policy that any maintenance to existing and approved improvements on the buffer strip requires the prior notification and possibly the approval of the Deep Creek Lake management office. The DNR may require a new Special Permit to be applied for and be issued before maintenance may occur.

This is a departure from historic practice and many property owners routinely provide for ongoing maintenance of structures and improvements that have been permitted. Garrett County Board of Realtors Government Affairs Director Paul Durham recommended to DNR staff that they consider modifications to their permit language to better inform property owners of this new policy. This may also require changes to the lake regulations to better and more specifically articulate DNR’s maintenance permitting requirements.

DNR is enforcing this policy through the issuance of criminal citations. Violations of the lake regulations are a misdemeanor punishable by a fine up to $1000 and the potential for imprisonment of up to one year.