Living on the lake provides an incomparable experience. You wake up every morning to the serenity of the water lapping against the shoreline while enjoying your cup of coffee. The afternoon consists of an abundance of entertaining recreation options such as wakeboarding, tubing, water skiing, fishing, kayaking, boating, and surfing. At night you can kick back and relax and enjoy dinner with friends and family overlooking the scenic view. You think “how could life get any better than this?”
Owning a lakefront home is a dream come true. With limited lakefront space there is a high demand for properties that often makes them regarded as expensive, but they are worth every penny.
Waterfront homes have a high appreciation rate because of the high demand but limited supply. Even if the rest of the real estate market is down, your home rarely depreciates in value. This means that whenever you choose to sell your home, you are likely to enjoy a great return on investment.
It is important to keep in mind that when it comes time to sell your lakefront property, buyers will be comparing yours to others on the water. Just like with homes not on the water, they respond best to a home that is in good condition and has a reasonable price for the perceived value.
If you choose to rent out your home to a site like Airbnb, you will often find the availability filling up with renters because of the sought-after location for vacationers. Not only can you rent out your home, but you can save money on accommodations by staying in your home for vacation. This is a great investment for those who are seeking to have extra pocket cash without a ton of work.
The View:
When you purchase a waterfront property you are paying for the incredible views the home offers.
Kimberly Nemeth’s is an expert real estate agent specializing in waterfront properties. Through her research she has found that a home with a partially obstructed water view could net 10% to 30% more than a home in a similar price range and location. The financial benefits of one without an obstructed view are even higher. It can increase the value of a home worth $500,000 to $1 million or higher. Nemeth also takes into consideration when pricing a home whether it takes advantage of the view or if it is only partial.
Proximity to the Water:
Believe it or not you can receive monetary benefits from owning a lake home with proximity to the lake. Some homes will draw their water from a filtered source from a nearby water well or source of water- which may bypass local water supplies entirely. While this is a big money saver, you should also consider the fact that well water requires upkeep and careful attention to detail. Nonetheless this not only adds to the property value but can help owners save hundreds of dollars in water bills each month.
Water Accessibility and Amenities:
Waterfront property values are also based on if you can access the water. If you can walk out the slider door across your private yard and access the water within seconds, your home is worth a lot. When a home requires a long walk through an un-landscaped path to reach the water, your home becomes less valuable.
Waterfront homes will also increase in value if you have access to a dock that makes it easy for owners to get access to their boat, fish, or swim.
When it comes time to sell, lakefront properties practically sell themselves when they are priced right and well maintained. “I don’t see lakefront homes depreciating in value anytime soon,” Nemeth said. “They hold their value really well.”
Posted by Scott Freerksen “The Lake Guy”