Market Report

Improvements noted on overall lake market

We have one month in the books for Lake Martin waterfront sales, and so far, the market is headed higher into positive territory. The overall sales volume increase is impressive, and the number of units sold has increased along with available inventory.

The summary below is compiled from the sales data for the 12-month period ending on January 31, 2025, and comparing that to the same period last year. In virtually every metric, the market shows either improvement or that the market fundamentals are in a position to support increased improvement in property sales, especially if some improvements in mortgage rates materialize.

Average and median prices have continued a nearly six-year run in increased prices. Some improvements have been noted so that additional “for sale” inventory has come on the market, providing more opportunity but still well below the historic inventory levels of 2015 through 2019.

Current inventory of available properties sits at 98 waterfront residential units compared with 75 last year. That is still only one-half of the available inventory in January of 2019. We believe more properties listed would have resulted in additional sales.

As a fast snapshot, look at the key data points listed below:

Key Data for the most-recent 12-month period ending January 31, 2025:

• WF Residential sales volume up 13.3% to $331,570,579 from $292,520,563 last year.
• WF Residential property unit sales up 8.6% to 264 units from 243 last year
• WF Residential average sales price up 4.3% to $1,255,949 from $1,203,788 last year
• WF Residential median price up 6.9% to $972,500 from $910,000 last year
• WF Lot volume up 5.5% to $65,038,251 from $61,631,659 last year
• WF Lot average price up 16.1% to $812,978 from $700,360 last year

Other market metrics indicated stability

As noted above, while there is more inventory available for sale, it could evaporate quickly.  There is just a 4.45-month supply of residential property for sale. Without a significant influx of newly listed or built homes, that could limit the number of available properties this summer.

The sales-price-to-list-price ratio is healthy at 95.9%. This ratio predicts that, on average, a listed property will net 95.9% of its asking price. The peak for this ratio was in 2021 when sellers were netting 98.1% of their list price. As long as this metric stays at or near 96%, we would characterize the market as a “seller’s market.”

What to look for

Normally, November through January are the slowest months of the year. Market data and reports from our two sales teams are showing steady improvement, in spite of rates staying above 7% for a fixed-rate 30-year mortgage. Rates have stayed above 7% even though the FED has reduced rates by .75%. We believe that at some point the mortgage rates will catch up to that improved rate environment, which would bring more people into the market. More inventory with potentially more buyers would likely drive additional increases to the overall sales volume.

If you want to hear the latest news on the lake market and new property releases, please reach out to one of our Sales Executives at 256.215.7011 or send them an email. They will be happy to keep you informed about opportunities on the lake.

Note:The metrics above are based on an analysis of sales information derived from data pulled from the Lake Martin Area Association of Realtors® MLS for the period of February 1, 2024, through January 31, 2025, and compared to the same period in 2024.