Tuesday, April 4, 2017

Richland Chambers Lake Waterfront Homes, By the Numbers

   Julie and I have been focused on The Richland Chambers Lake area now for a little over 9 years. We bought the franchise and started building the office in 2008.  Since then we have endeavored to know as much about this area and the Richland Chambers Real Estate market as possible.  We've studied historical data, documented trends and lived the market daily since.  This market has grown significantly these last few years and there have been a lot of changes.               Here's a few snippets about our Lake market to share some insight. Looking at numbers a person must take into account that the Richland Chambers real estate market is relatively small and the number of houses around the lake has grown and grows every year. So while I've done my best to present accurate research, real estate markets are dynamic and some factors are difficult to measure.
Waterfront is a great example. Some homes are on canals or coves and some are on open water.  Open water homes typically sell for more per foot than an average canal home, however even this is not cut and dried.  A house on a canal could have absolutely great amenities and finish out which will bring a higher per square foot price than some open water homes. So, saying all that to say, the numbers are what they are and perhaps best used to understand the trends of the market.
   If you have lived on a Texas lake for any length of time you have experienced water fluctuations. Pretty much all Texas lakes are dependent on rainfall and conditions can vary over the years. There have been a lot of full years and some drought years.  Richland Chambers has fared pretty well in it's life.
315' is Pool Level
We are one of the youngest lakes in Texas.  RC officially impounded in July of 1987 and filled by May of 1989. Julie and I are from here and we have loved and enjoyed the lake since it filled.  Over the years we have compiled a lot of RC Lake data. Since January 1st of 1990 through March 31 of last year the average daily water level was 312.46' MSL. The full level of the lake is 315' MSL so that means approximately a  +/- 2.54 ft fluctuation over the life of the lake.  We have had some low water levels in the last few years, however in the life of the lake it has been within a 3 feet of full way more than it has been low.
Click here for my detailed Lake Level Chart.
'All Categories' includes RV properties

How does Water Fluctuation affect lake front home sales? The two charts help to spot a trend. While is is not statistically set in stone a brief comparison shows that the lake level does have an effect the number of waterfront homes sold in a given year.
What about waterfront home values during fluctuations?
  Again, with a small market sample such as RC Lake Market the statistics have to be interpreted in the light of all the 'unaccounted for' variables.  The chart below shows Richland Chambers Waterfront Home prices in dollars per sqft. for the last 12 years. Take into consideration that this includes all categories from cheap "fishing cabins" to  magnificent waterfront beauties.  Also in any given year it stands to reason that more less expensive homes may have sold or vice versa. This will also affect the average.   The average is a totally un-adjusted number.  Any home's value depends on it's individual location and amenities.  The point for sharing this next chart is  to demonstrate a trend. Through the overall market ups and downs and water level ups and downs our waterfront home values have remained relatively stable.  The top (white line) is the high $ per sqft sales, the blue line is the average $ per sqft sales and the orange (bottom) line is the low $per sqft sales.

Many homes will sell above the average $ per sqft and are well worth it. Others will sell for less based on their location and amenities plus one one other factor that is perhaps more important than all, the seller's motivation.  The seller's motivation drives the whole pricing process and can determine whether a house sells quickly or sits on the market a long time.
The best thing to do if you are thinking about selling is to contact a real estate professional in the area your house is located.  They most often have direct knowledge of the sold comparable properties around you and understand why a certain property sold  for it's price.  A good real estate agent can assist in getting you the most value for your home in a reasonable amount of time.   The same is true if you are looking to buy.  A good local real estate professional can keep you from the pitfalls of overpaying.  They have seen what has sold and understand why.

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