This report for the March UPDATED ‘FACTS’ from the Washoe County Assessor Records since last posted on Feb 28, 2017, in ArrowCreek February 2017 Property Value Update from Washoe County Assessor Records shows that we are coming to the end of the ‘winter’ selling season (Duh!), with five properties changing owners during this reporting period, compared to eight for this same time period last year. Several initiatives are underway to enhance sales and values. The initiatives sponsored by the ArrowCreek Homeowners Association (ACHOA) include a newly formed Landscape Committee, a strategic planning initiative, and an update of the Governing Documents. All of these initiatives are intended to enhance and maintain ArrowCreek as a premier people oriented community.
Since March of 2017 and over the past twelve (12) months:
1. ArrowCreek properties have stayed in the premium class within Washoe and Douglas Counties. As you read this report you will see that prices have improved for properties on the golf course, with an average appreciation rate of 16.7% over this past year, while prices for homes not on the golf course have basically trended upward with an increase of 6.2% over the same period (both of which exceed the Kiplinger number and are more ‘in-line’ with West Coast home value growth).
a.) Five (5) properties were recorded sold in ArrowCreek between 15 February and 3 March 2017 (Per the Washoe County Assessor, who appear to be running late as the data was extracted on 22 March). This brings the total number of properties transferred over the past year to 80 or 7.4% 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 a positive perspective on our amenities and an emphasis on the secure environment offered within ArrowCreek.
b.) One (1) of the properties was on the golf course (where the property boundaries actually touch the golf course, not just have a ‘view’ of it) and sold for $225.88 per square foot. The rolling average selling price for homes on the golf course now stands at $267.23 per square foot. An increase of $5.57 per square foot from February’s value. The 12-month rolling average sales price decreased to $1,012,315. No additional lots, on the course, were sold. The rolling average selling price for undeveloped property on the golf course currently stands at $315,799.03 per acre, a slight increase over the month due to the rolling average calculation dropping sales older than a year.
c.) Four (4) properties were sold that are not connected to the golf course. The rolling average selling price for off course homes rose slightly to $242.78 per square foot, which is up $0.44 per square foot over last month. The 12-month rolling average sales price decreased to $766,135.42. No additional lots were sold during this period. The rolling 12-month average selling price for vacant land stands at $186,357.39 per acre. Which is a decrease from February due to the statistical rolling average dropping sales older than twelve months.
d.) A premium price exists if the lot has a common boundary with the golf course (69.5%). This difference in values between the two categories, in general, appears to be following market trends. However, there’s little explanation for the $129,441 per acre difference between the vacant lot purchase prices, as the difference does not show up in the closing home sales prices. However, it is worth noting that there are a very limited number of ‘golf course’ lots versus those not on the golf course.
e.) The figure below shows the value trends over the past twelve months. Our homes and properties have appreciated very nicely over this past year and hopefully that trend will continue throughout 2017.
2. The housing market in Northern Nevada for existing homes continues to follow economic trends. As the winter selling season is ending, we are definitely seeing a boost to our unique community.
Do keep in mind that everyone’s selling price is based upon their own set of circumstances and the above picture is hindsight, not necessarily foresight. 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 either a full golf or social member. In addition, the FOA LLC is certainly open to new investors.
Continuing with the Commentary from last month: During a previous month the author received a query about semi-custom and custom homes both on and off the golf course and their relative selling prices. The author’s concern was that there wouldn’t be a significant enough turn-over sample to give a meaningful value. However, with that caveat presented, the following statistics were developed:
Semi-Custom On-Course Homes: $222.48 per square foot average
Semi-Custom Off-Course Homes: $222.55 per square foot average
Custom On-Course Homes: $328.76 per square foot average
Custom Off-Course Homes: $303.47 per square foot average
By Ron Duncan March 2017
For previous postings of the ArrowCreek property value updates: click here.