A Tale of Two Communities – September 20 2016 Property Value Update from Washoe County Assessor Records

Here is the report for the September UPDATED ‘FACTS’ from the Washoe County Assessor Records since August 20, 2016 that were posted on August 25. It clearly shows that we need to better emphasize the amenities of our community in order to maintain and raise the values of all our homes.

Since the beginning of the year and over the past twelve (12) months:

1. ArrowCreek properties have moved to be in a competitive premium class within Washoe and Douglas Counties. However, as you read this report you will see that prices have definitely improved for properties on the golf course while prices for homes, especially non-custom, not on the golf course have continued to decline over the past month to values comparable to non-gated communities.

The facts:

a.) Six (6) properties were recorded sold in ArrowCreek between 8 August and 20 September 2016 (According to the Washoe County Assessor), holding steady in the low double digits for turn-over rates. This brings the total number of properties transferred this calendar year to 60 and over the past twelve months to 82 or 7.6% turn-over rate for our community. A relatively low rate, still in the single digits, that may be attributed to a general satisfaction with living in our gated community or an absence of a more aggressive marketing plan.

b.) Four (4) of the properties were on the golf course (the property boundaries actually touch the golf course, not just have a ‘view’ of it). Two (2) of the homes sold for 2.5% above last month’s average, while the other two (2) properties sold for an average of 18% below the rolling 12-month average for August of $935,094. However, the true selling price, again measured over the past twelve months, increased to $248.16 per square foot. An increase of $1.98 per square foot from August’s value. No additional lots, on the course, were sold. The rolling average selling price for undeveloped property on the golf course stands at $295,810.86 per acre.

c.) Two (2) properties were sold that are not connected to the golf course. The home sold for 17.6% below the rolling average for August. This drove the declining rolling average further below the golf course property values with the average price dropping to $225.16 per square foot. As a consequence, the average price dropped by $2.65 per square foot or a continuing 1.2% decrease from the August value. The sales price 12 month rolling average was $815,668. An undeveloped lot was transferred during this time period. The rolling 12-month average selling price stands at $188,423.16 per acre, an increase of 1.6% over the past month.

d.) There was the one lot sold this month but a premium remains if a lot has a common boundary with the golf course (57%). This value between the two categories, in general, appears to be following market trends. However, there’s little explanation for the $107,387 per acre difference between the vacant lot purchase prices, as the same difference does not show up in the closing home sales prices. It is also worth noting that there are a very limited number of ‘golf course’ lots versus those not on the golf course.

e.) As charted in the figure below, the trends for our property values indicate that over the past twelve months of tracking, the values of homes off the golf course have declined at a fairly consistent rate. It’s also clear from the chart below that ArrowCreek had a transition period between November and March that had weakened sales of homes on the golf course while the homes off the course bumped up. After an inflection point in March/April, the homes on the golf course rose while the homes off the course fell in value. Since April homes on the golf course have appreciated significantly.

ac-sep20-dolpersqft

2. The housing market in Northern Nevada for existing homes continues to follow economic trends.

Going forward let’s focus our energy on improving the amenities we currently have and build out those that were in the original ArrowCreek/Southwest Point development plan by using our already available acreage and funding. With that we should see a better environment for all home owners and buyers.

If you wish to support The Club at ArrowCreek, you are urged to become a either a full golf or social member. In addition, the FOA LLC is certainly open to new investors.

By Ron Duncan

Updated from the August 25, 2016 posting of the August Fact Update From the Washoe County Assessor Records

…which updates the July 27, 2016 posting of the July Fact Update From the Washoe County Assessor Records

…which updates the June 20, 2016 posting of the June Fact Update From the Washoe County Assessor Records

…which updates the May 27, 2016 posting May Fact Update From the Washoe County Assessor Records

…which updates the April 27, 2016 posting April Fact Update From the Washoe County Assessor Records

…which updates the March 25, 2016 posting March Fact Update From the Washoe County Assessor Records

…which updates the Feb 24, 2016 posting February Fact Update From the Washoe County Assessor Records

… which updates the Jan 21, 2016 posting January Fact Update From the Washoe County Assessor Records

… which updates the Dec 22, 2015 posting December Fact Update From the Washoe County Assessor Records

… which updates the Nov 22, 2015 posting November Fact Update From the Washoe County Assessor Records

… which updates the Oct 19, 2015 posting October Fact Update: Here Are Facts

… which updates the Sept 21, 2015 posting September Fact Update: Here Are Facts

… which updates the Aug 22, 2015 posting August Fact Update: Here Are Facts

…which updates the July 27, 2015 posting July Fact Update: Here Are Facts

…which updates the June 26, 2015 posting June Fact Update: Here Are Facts

…which updates the June 4, 2015 posting You Want Facts: Here Are Facts.

June 2015 Study on Golf Course Closure Impacts On Home Values in Northgate and D’Andrea.

This entry was posted in ArrowCreek, ArrowCreek 411, ArrowCreek411, Home Sales, Home Values, Land Re-Use, Land Use, Land Value Study, Property Value, Real Estate Value, Truth and tagged , , , , , , , , , , , , , , . Bookmark the permalink.

3 Responses to A Tale of Two Communities – September 20 2016 Property Value Update from Washoe County Assessor Records

  1. Pingback: A Community with Two Personalities – November 2016 Property Value Update from Washoe County Assessor Records | ArrowCreek411

  2. Pingback: A Community with Two Personalities – October 18 2016 Property Value Update from Washoe County Assessor Records | ArrowCreek411

  3. Jim says:

    I couldn’t agree more. The only way we can make this happen is if we replace our current HOA management company with another company that has the expertise is working with communities like ours. Is the contract up for bid?

    Like

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