Here are the April UPDATED ‘FACTS’ from the Washoe County Assessor Records since the March 21, 2016 posting. Since the beginning of the year:
1. ArrowCreek properties continue to sell in the premium class within Washoe and Douglas Counties as previously reported in the March update. However, as you read this report you will see that prices have definitely softened since last August. It took this report to truly see the trend line for ArrowCreek.
a.) Six (6) properties were recorded sold in ArrowCreek between 7 and 25 March 2016 (according to the Washoe County Assessor). This brings the total number of properties transferred this calendar year to 20 and over the past twelve months to 89 or 8.2%. This is a fairly low turn-over rate, still in the single digits.
b.) Four (4) of those properties were on the golf course (the property boundaries actually touch the golf course, not just have a ‘view’ of it). Two were homes that sold for less than the rolling 12 month average of $907,644. One home sold for an above average selling price. So, the true selling price, again measured over the past twelve months, equated to $229.00 per square foot. This is a decrease of $.91 per square foot from March’s value. One additional lot on the course sold for $250,000 per acre. The average selling price of $243,855 per acre was an increase of $2,048 per acre over the March rolling average.
c.) Two (2) properties were sold that are not connected to the golf course since the March report. One home sold above the rolling average, while the other sold below the average. Thus the average selling price of $228.66 per square foot reflected a downward trend of $.28 per square foot. The sales price rolling average was $816,462. No additional lots were transferred during this time period. The rolling average selling price was maintained at $173,151 per acre.
d.) Homes that do not have a boundary with the golf course have moved to a market rate roughly equivalent to those on the golf course. So it would appear that the values are equalizing with the market for ArrowCreek property. Both values appear to be following market trends where upper end home values are trending downward and stay on the market for an extended period of time (this is true in both the Washoe and Douglas county markets).
e.) There was one lot sold but a premium remains if the lot has a common boundary with the golf course. This value between the two categories, in general, appears to be following market trends. However, there’s little explanation for the $70,704 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.
f.) The trends for our property values indicate that over the past twelve months of tracking, the values of homes off the golf course were fairly stable, with the gap between homes on and off the course showing a decreased margin. It should be noted that with this latest data set, homes not on the golf course have declined below the value of a year ago. Homes on the golf course continue to be above the year ago values.
One home off the course this month sold roughly $40 below the going rate per square ft for our ArrowCreek homes, so it significantly slanted the ‘off the course’ and total $/sq ft calculations. In fact, it would certainly appear that values of homes ‘on the course’ have appreciated at a greater rate than those ‘off the course.’
2. From the chart it’s pretty clear that home values in ArrowCreek have been declining since last August. The housing market in Northern Nevada for existing homes continues to follow the economic trends. As the spring selling season is upon us, perhaps we’ll see a boost to our unique community.
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 March 21, 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.
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