Seeley Lake Home Sales Down Due to Lack of Inventory

REAL ESTATE TODAY

What a difference a few years and even a few months make in real estate. In January, we talked about the fact that land sales would increase in 2017 due to lack of home inventory. That is certainly occurring, and land sales in Seeley Lake are brisk, especially on Double Arrow Ranch parcels priced under $50,000 as well as creekfront parcels.

As land sales have increased, available home inventory has risen from 40 homes in January to 62 today. There is strong buyer demand for homes under $300,000 as well as lakefront homes and land. Interestingly, sales of State Lease homes and cabins have been doing very well for a few primary reasons – affordability of a home for full time residents as well as weekend cabins for many from Helena, Missoula and Great Falls. State leased lake and river front properties have been selling quickly as well, as they offer a relatively affordable option to the cost of purchasing deeded properties. Buyer demand for lakefront remains very strong with very limited available property on the market.

As for the Double Arrow Ranch, you notice a lot of new building activity as you drive through. Over the past 12 months, nine lots have been approved for lot development to install amenities such as well, septic and driveway. Additionally, seven lots were approved for new home construction.

We continue to see 63 percent of our buyers coming from Montana, primarily Missoula, Helena, Bozeman and Great Falls, as well as many farming and oil industry families from east of the divide. Out of state buyers are primarily coming from Washington, Colorado, California, Arizona, Texas and the southeast.

SEELEY LAKE HOME SALES

Currently in Seeley Lake, there are 62 homes for sale, plus 10 homes that are currently under contract to be sold. The median listing price of homes currently active is $382,000. There were 68 homes for sale at this same time period one year ago. Inventory of homes currently for sale, especially with homes priced under $300,000 is short and is sustaining a strong sellers' market. The average home value in Seeley Lake has increased 4.8 percent over the past 12 months.

SEELEY LAKE LAND SALES

The number of vacant land sales have more than doubled over the last year. There are currently 116 land parcels for sale. The listed parcels have a median listing price of $239,000 and an average of 400 days on the market. This means there is currently 30 months of land inventory for sale at the current sales pace.

CONDON - Swan Valley HOME SALES

This area has been slow getting to the party but now sales in the valley are dramatically taking off. Currently in the Swan Valley, there are 30 homes for sale, plus five homes that are currently under contract to be sold. Home sales have doubled over the past year with 15 sold. The median listing price of homes currently active is $444,000. There is two years of home inventory for sale.

CONDON - Swan Valley LAND SALES

There are currently 34 land parcels for sale. The listed parcels have a median listing price of $376,000 and an average of 270 days on the market. The very important trend here is that there are presently four parcels under contract to be sold with an average list price of $1,165,000.

HOME LOAN INTEREST RATES

Interest rates are currently around 4.0 percent for a 30 year fixed rate mortgage and 3.25 percent for a 15 year fixed rate mortgage.

STATE OF MONTANA DNRC SALES OF LAND LEASES

The State DNRC has begun a process allowing current state leaseholders to opt their underlying lease land for sale. In simple terms, a current leaseholder may continue paying the annual state lease rate through the lease term, or the leaseholder may opt their property to be appraised by the State and offered for sale.

The underlying property is offered for public auction beginning at the appraised value. If a member of the public bids on the property, in addition to the value of the land from the state, they must also pay the leaseholder the appraised value of their improvements on the property. It is ultimately the choice of the leaseholder to purchase their underlying land from the DNRC by paying the higher of the appraised value or a bid from the public.

Properties on the navigable river outlet of Seeley Lake have been appraised in the $175,000 range and on Placid Lake in the $400,000 to $500,000 range.

If you have any questions regarding the local real estate market or the purchase or listing of property, please contact your local real estate professional.

 

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