By Roby Robertson
Lake Norman NC is one of the greatest places to live in all of North Carolina and the Southeast. Living at Lake Norman has been described as being on vacation 365 days a year.
For the discerning buyer, Lake Norman offers many choices and areas to buy a luxury home. For the sake of argument, we define luxury homes as those listed for $1,000,000 and above.
Here are 6 tips for buying your Lake Norman Luxury Home.
1. Learn the search process.
Many luxury homes go unlisted to protect a seller's privacy. These properties are often found through the Realtor's personal blogs and luxury websites as opposed to the MLS and/or signage. Lake Norman is surrounded by 4 counties, Iredell and Mecklenburg to the south and east and Lincoln, Catawba to the North and West. Each has it own benefits and personalities. While the south and east sides are more established, the north and west are more rural.
2. Look beyond the photos.
Make sure you don't dismiss properties based on their front elevation photos. Many large homes aren't depicted adequately in these photos. Many times you need have to see them in person to appreciate the size and true value. This is especially the case with waterfront property. I recommend my clients do a search of the property and vicinity on Google Earth so you can see what's around the home. Some homeowners and realtors and will provide aerial photos of these listings which offer great assistance to the luxury home buyer. If a home states it is waterfront and there are no pictures of the water, be leary of this property. We have very expensive homes in our area that say they are waterfront but the actual frontage and/or view can be lacking especially with homes on the back side of coves.
3. Find a local expert.
It's critical to have a good buyer agent who is familiar with the area you want to buy in. There's a bit more control on access to high-end properties in terms of fewer open houses and often times confirmed appointments have to be made to see them. Also, the area in which you buy around Lake Norman may have challenges from traffic to future development that you will want to be aware of. Lastly, places that are a part of a Country Club have additional fees that play into the entire cost of your purchase. In the winter time, Duke Energy lowers the level of the lake from full pond. Make sure you find someone that is aware of the pitfalls of this annual occurrence.
4. Document everything.
There is more scrutiny in today's lending environment, especially in the high-end market. Financial documentation is critical. Anyone who is making a lot of money has a manager or an accountant and tries hard to shelter their money so it can be difficult to show the bank you have the income to purchase. In today's market, often showings are not even allowed without some sort of pre-qualification that you can afford the purchase.
5. Look into the future.
Make sure you know what going on around you. How will future construction or foreclosures affect the value of your purchase. Also, the days of 20%-30% increases in valued over 3-5 years in the Lake Norman area are gone. What are your expectations for return on value? Most luxury home buyers buy because of the lifestyle, not because they expect to buy for a million and sell for two million in a couple of years. In our area some of the biggest and most prestigeous communities have had an influx of foreclosures. Make sure you research how these foreclosures might affect future values. This has been especially over the years in Iredell and Mecklenburg counties in towns like Mooresville and Cornelius.
6. Points to Negotiate
It's the sum of numerous individual points that create value; the lake view or construction choices often makes these properties one of a kind and makes them able to command a particular price. Have your agent research the comparable properties that have recently sold, getting closing prices, before you make an offer. Many original homeowners or those that have done substantial remodeling put substantial value to the choices they have made. Be sure to gain an understanding of these choices that may or may not be obvious to the naked or inexperienced eye. This understanding may help you in your offer choices and understand the negotiation tactics of the seller. Also, in our area we have some builders with very strong reputations. Knowledge of the builders can not only help with negotiations but also with confidence of future value.
Finally,
Make sure you have not only figured the cost of home and mortgage, but also the utilities and maintenance. This is important in calculating the home's affordability. Individuals who want to purchase purely for investment need to be careful. You must take into consideration that most luxury homes do not have a high turnover rate and as mentioned above, return on value on the Lake Norman area has changed.
All things considered, owning a luxury home certainly has its perks. But keep in mind that the home price is just the beginning of what you should expect to pay. Luxury living is not just about buying an expensive property. It's a lifestyle that requires maintenance and responsibility.
Also, be aware that counties like Iredell, Lincoln and Catawba are known for especially low taxes while Mecklenburg taxes are considerably more.
For other information visit--> http://arsandy.wordpress.com
Lake Norman NC is one of the greatest places to live in all of North Carolina and the Southeast. Living at Lake Norman has been described as being on vacation 365 days a year.
For the discerning buyer, Lake Norman offers many choices and areas to buy a luxury home. For the sake of argument, we define luxury homes as those listed for $1,000,000 and above.
Here are 6 tips for buying your Lake Norman Luxury Home.
1. Learn the search process.
Many luxury homes go unlisted to protect a seller's privacy. These properties are often found through the Realtor's personal blogs and luxury websites as opposed to the MLS and/or signage. Lake Norman is surrounded by 4 counties, Iredell and Mecklenburg to the south and east and Lincoln, Catawba to the North and West. Each has it own benefits and personalities. While the south and east sides are more established, the north and west are more rural.
2. Look beyond the photos.
Make sure you don't dismiss properties based on their front elevation photos. Many large homes aren't depicted adequately in these photos. Many times you need have to see them in person to appreciate the size and true value. This is especially the case with waterfront property. I recommend my clients do a search of the property and vicinity on Google Earth so you can see what's around the home. Some homeowners and realtors and will provide aerial photos of these listings which offer great assistance to the luxury home buyer. If a home states it is waterfront and there are no pictures of the water, be leary of this property. We have very expensive homes in our area that say they are waterfront but the actual frontage and/or view can be lacking especially with homes on the back side of coves.
3. Find a local expert.
It's critical to have a good buyer agent who is familiar with the area you want to buy in. There's a bit more control on access to high-end properties in terms of fewer open houses and often times confirmed appointments have to be made to see them. Also, the area in which you buy around Lake Norman may have challenges from traffic to future development that you will want to be aware of. Lastly, places that are a part of a Country Club have additional fees that play into the entire cost of your purchase. In the winter time, Duke Energy lowers the level of the lake from full pond. Make sure you find someone that is aware of the pitfalls of this annual occurrence.
4. Document everything.
There is more scrutiny in today's lending environment, especially in the high-end market. Financial documentation is critical. Anyone who is making a lot of money has a manager or an accountant and tries hard to shelter their money so it can be difficult to show the bank you have the income to purchase. In today's market, often showings are not even allowed without some sort of pre-qualification that you can afford the purchase.
5. Look into the future.
Make sure you know what going on around you. How will future construction or foreclosures affect the value of your purchase. Also, the days of 20%-30% increases in valued over 3-5 years in the Lake Norman area are gone. What are your expectations for return on value? Most luxury home buyers buy because of the lifestyle, not because they expect to buy for a million and sell for two million in a couple of years. In our area some of the biggest and most prestigeous communities have had an influx of foreclosures. Make sure you research how these foreclosures might affect future values. This has been especially over the years in Iredell and Mecklenburg counties in towns like Mooresville and Cornelius.
6. Points to Negotiate
It's the sum of numerous individual points that create value; the lake view or construction choices often makes these properties one of a kind and makes them able to command a particular price. Have your agent research the comparable properties that have recently sold, getting closing prices, before you make an offer. Many original homeowners or those that have done substantial remodeling put substantial value to the choices they have made. Be sure to gain an understanding of these choices that may or may not be obvious to the naked or inexperienced eye. This understanding may help you in your offer choices and understand the negotiation tactics of the seller. Also, in our area we have some builders with very strong reputations. Knowledge of the builders can not only help with negotiations but also with confidence of future value.
Finally,
Make sure you have not only figured the cost of home and mortgage, but also the utilities and maintenance. This is important in calculating the home's affordability. Individuals who want to purchase purely for investment need to be careful. You must take into consideration that most luxury homes do not have a high turnover rate and as mentioned above, return on value on the Lake Norman area has changed.
All things considered, owning a luxury home certainly has its perks. But keep in mind that the home price is just the beginning of what you should expect to pay. Luxury living is not just about buying an expensive property. It's a lifestyle that requires maintenance and responsibility.
Also, be aware that counties like Iredell, Lincoln and Catawba are known for especially low taxes while Mecklenburg taxes are considerably more.
For other information visit--> http://arsandy.wordpress.com
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