39427 Silver Pine Ct

39427 Silver Pine Court closed escrow yesterday. This was a short sale and had multiple offers on it. It previously sold on 2/6/2006 for $1,700,000.  The seller put it back on the market a year later for $2,299,000 and has chased down the market ever since (it was on the market for 695 days).  Below are the stats for this sale.

List Price: $995,000
Sales Price: $925,000
List Price/Sales Price: 93%
Days on Market: 695
Sales Date: 11/10/2009
Sold Price Per Square Foot: $164.91/sqft

You can tell this property was very impressive in the early 90’s. A lot of unique custom features. It has a huge great room with vaulted ceilings, lots of pine and cedar wood throughout. 128′ along the lake. Unique roof angles, tall ceilings, and a lot of square footage….So why did it take so long to sell and why was the price per square foot so low?

It sits next to Pleasure Point Marina.

View of Pleasure Point Marina from back deck

It’s a shallow water lakefront

Deck View looking the other way

It was a short sale and needed updating

Lock for Front Door was a Pad lock

The buyer got a good deal when you look at what they paid from a price per square foot basis.  But they’ll need to pour some money into it, they’ll have to put up with the traffic from Pleasure Point Marina, and it won’t always have water in front of it.  But I can see why there was multiple offers.  I imagine the new buyer will put it on a rental program, wait for the water level to rise and they’ll have a nice large lakefront home to enjoy.

Saw this on the Jay Leno Show last night.  This is a painful but funny reminder that Big Bear Lake partially freezes over during the Winter. This was a frozen lake over in Europe not Big Bear Lake but hopefully you get the picture. Big Bear Lake is off-limits during the Winter season for your own safety.

Two price reductions to report.  Maybe someone read “To Reduce or Not Reduce” regarding price changes last week?  That, or it’s just that time of year when sellers either reduce their price or hold firm and hope for the best.  I’m guessing many sellers have given up on the thought of selling their lakefront property in 2009….but these two are still fighting the fight!

Cindy Pearson of Gilligan Log Homes was the listing agent on both price reductions this week.

40141 North Shore Drive

40141 North Shore Drive went from $2,100,000 to $1,800,000.

40218 Lakeview Drive

40218 Lakeview Drive went from $999,000 to $895,000.

Both price reductions were necessary in my opinion.  Not sure if they were substantial enough to bring an offer but they’re headed in the right direction.  North Shore is very modern….which normally doesn’t bode well for sellers in the mountains.  This was a custom build and feels more like a beach house than a rustic mountain home….but to each their own.  Lakeview Drive needs a lot of work.  This is either a tear down or a major rehab project for someone.  Good location.  Maybe a little busy.  But it’s centrally located.

If you’re in the market for a lakefront home in Big Bear, give me a call or send me an email.  I’m here to help.

In Escrow

39645 Lake Drive went into escrow today.  I was planning on showing it tomorrow….guess we’ll cross it off the list!  It needs a little bit of updating but I think it has the potential to be a good rental.  It’s close to Holloway’s Marina, it has a lot of square footage (3570 square feet with 5 bedrooms) and it’s centrally located. Check back for closing stats over the next 30-45 days.

Chalk this up as another home sold below the previous purchase price….it sold in May of 2005 for $1,000,000 (current asking price is $895,000).

39645 Lake Drive

In Escrow

651 Cove Drive went into escrow today.  This was IMO the best property in the $1.5m range.  It had deep water, was sold partially furnished and was priced well below what the sellers paid for the property back in March of 2007 (click on the links below to view detailed property info and to view multiple photos).  I’m also a little biased….it was my listing.  But it really did stand out as the best deal in this price range.  Check back in another 45 days for closing details.

RELATED ARTICLES:

Ch-Ch-Ch-Ch-Changes.  2 Dramatic Price Changes Along Big Bear Lake- (9/18/2009, BBLFI)

Big Bear Lakefront Property of the Week:  651 Cove Drive, Big Bear Lake (1/2/2009, BBLFI)

As the season changes (temps at night are in the high 20’s low 30’s) the focus starts to shift away from the lake and more attention gets placed on the ski area.  This is the time of year when sellers (if they’re motivated) start counting the number of days left in the year.  They know that once the holidays come, families tend to get distracted. The snow starts falling and people come up to the mountains to get away, go skiing, have snowball fights, and make snowmen.  They don’t come up to necessarily look at real estate.  So the next 2 or 3 weeks are critical.  After that, the lakefront activity slows down.

So the question becomes….Do you drop the price and stand out as a motivated seller, or do you winterize the property and hope for the best next Spring?  It’s crunch time for sellers.  Decisions need to be made. There are 37 lakefront properties currently for sale.  21 closed sales and 2 pending short sales which means there’s still over a year’s supply of homes on the market right now.

Today I decided to take a look at homes for sale along the lake from a different perspective.  I’m looking at Days on Market, and Price Changes (I say price changes instead of price reductions because in a couple cases the seller actually raised the price instead of lowering the price for one reason or another).  Take a look.

Price Changes on Current Lakefront Listings

* This number is deceptive.  If a property gets taken off the market for 30 days or more, the cumulative days on market starts over so this number might not be truly accurate, or the number of price changes might be different.

WHAT STICKS OUT TO ME

I hate to say this, but I see a lot of stubborn sellers (stubborn regarding price).  Over half of the sellers currently on the market haven’t made a single price change.  This to me shows lack of motivation. Not only are a lot of sellers not changing their price but most of the price changes aren’t that significant.  I see a handful of properties that have moved significantly on their price…..but you can count them on one hand. North Shore, Aurora, Cove, Peninsula…That’s about it.

In the Sellers defense, I think it’s important to note that there are only so many buyers for the upper end price range in Big Bear.  And if price is more important than time, they’ll hold out until they get their price but it might take a while to get it.

Posted in price reductions Tagged: Market Conditions, price reductions ]]> http://bigbearlakefrontinfo.com/2009/11/03/to-reduce-or-not-reduce/feed/ 0 mikewochner Price Changes http://bigbearlakefrontinfo.com/2009/10/27/priced-reduced-on-39537-lake-drive/ http://bigbearlakefrontinfo.com/2009/10/27/priced-reduced-on-39537-lake-drive/#comments Tue, 27 Oct 2009 23:35:52 +0000 Mike Wochner http://bigbearlakefrontinfo.com/?p=2771 ]]>

39537 Lake Drive

The owner of 39537 Lake Drive reduced their price again.  This time they’ve dropped it below the $1M mark ($999,995).  It has a great setting out back, but not sure who advised them to start at $1,890,000 back in 2007?  They bought the property for $849,000 back in August of 2002.  Below is the history of price reductions on this property.

7/27/2007: $1,890,000
10/14/2008: $1,490,000
1/27/2009: $1,390,000
2/27/2009: $1,290,000
4/15/2009: $1,195,000
10/16/2009: $999,995

If you would like additional information regarding this property, or any property along Big Bear Lake don’t hesitate to call or email me.  I’m here to help.

220 N Eagle Drive and 354 Gibralter closed escrow this past week.  This makes it 21 lakefront sales so far for Big Bear in 2009.  Below are stats of each property.

220 N Eagle Drive

List Price: $2,495,000
Sales Price: $2,100,000
List Price/Sales Price: 84%
Days on Market: 101
Sales Date: 10/09/2009
Sold Price Per Square Foot: $768.11/sqft (higher than normal due to the land value…it sat on over an acre of land)

354 Gibralter Road

List Price: $1,475,000
Sales Price: $1,325,000
List Price/Sales Price: 90%
Days on Market: 423
Sales Date: 10/19/2009
Sold Price Per Square Foot: $424.00/sqft

The battle continues over the non-regulation of kayak/canoe rentals on Big Bear Lake…IMO, non-marina business owners have increased the popularity of kayaking in Big Bear Lake through clever marketing, superior products, and good internet presence.  They’ve created a niche for themselves and I wouldn’t blame em for profiting….just regulate it and make em get a conditional use permit and call it done!  The longer the debate, the heavier the legal battle which doesn’t bode well for the little guys, but I think they can come to some sort of compromise.

Below is another informative article from Kathy Portie of the Big Bear Grizzly regarding last weeks public workshop.

STIRRING UP BIG BEAR LAKE – Marina Owners, Kayak Business Owners Debate Non-motorized Rental Issue

Call round one a draw. Marina owners are on one side of the line drawn at the high water mark. Kayak rental businesses stand on the other side.

The Big Bear Municipal Water District listened to both sides of the kayak rental issue during a workshop Oct. 15. The question is whether kayak rental businesses have the authority to conduct business on Big Bear Lake or if it is the exclusive right of the marinas.

MWD General Manager Scott Heule began the meeting with a brief overview of the district’s administrative code. The MWD has jurisdiction over district-owned real property, the water surface of the lake and the land area below elevation 6,743.25 feet.

Marina owners cite a 1991 legal settlement with the district that they say upholds their legal right to exclusive commercial enterprises on the lake. “Kayaks are not a large portion of our business,” said Loren Hafen of Holloway’s Marina and North Shore Landing. “I’m not here because of competition. It is the principle of the point.”

Hafen said comparing the situation with the marinas to ski rentals and ski resorts is not accurate. “We have a specific contract that gives us exclusive rights,” Hafen said. “Ski areas did not have a specific contract with the Forest Service granting them exclusive rights to rent skis.”

The Grizzly has not been able to obtain a copy of the contract Hafen cited.

There are several nonmarina businesses renting kayaks and canoes in Big Bear Lake as well as nonprofit organizations providing kayaks and canoes for tours, instruction and other programs. Rental company owners claim they provide a service that the marinas didn’t focus on and as a result have turned the lake into a kayaking destination.

Ron Cotta of Johnny’s Ski Rental in Boulder Bay believes there is room for everyone. “We are approached often about where to rent kayaks and we direct them to our business,” Cotta said. “We are not a commercial operation on the lake. We are a commercial operation in the city. We don’t want to be a marina.”

Earlier this year, marina owners successfully scuttled a city of Big Bear Lake plan to build a nonmotorized boat launch ramp at Boulder Bay Park. At that time, marina owners also complained about kayak rental businesses conducting operations at the park.

Steve Pontell of Pine Knot Landing, Alan Sharp of Big Bear Marina and John Saunders of Captain John’s Fawn Harbor Marina also cited the legal settlement as the basis of their argument.

“When I had my tour boat, I was told I would have to go through a marina for my business,” Saunders said. “Now you’re considering changing everything. It isn’t that I don’t want anybody to compete with me. They are going to have to do it the same way I had to do it.”

“I don’t think any one of us wants to prohibit anyone selling products in the Valley,” Sharp said. “They have every right to do that. As far as renting and delivering them, that is the job of the marinas.”

Roy Brownie of Pleasure Point Marina suggests kayak renters should work as concessionaires within a marina. “We don’t control what they do,” Brownie said about Pleasure Point concessionaires Lucky Bear Fishing Charter and Desi Wakeboard. “I’d be perfectly happy to hammer out any kind of agreement. There has got to be a way to come to some sort of solution so it works without bringing in the lawyers.”

Jory Lyle of Big Bear Paddling believes the MWD should offer nonmotorized commercial use permits. “List the things we can and can’t do,” Lyle said. “Maybe we have to charge more money than the marinas. That’s OK. There have to be ways to work together.”

Jim Dooley implored the district to find a solution. Dooley owns North Shore Trading Post, a Fawnskin company that sells high-end kayaks and canoes, and sponsors the Big Bear Paddlefest. “I promote paddling out of John’s marina,” Dooley said. “I also promote Jory’s business. I feel like I’m sitting on a fence and I don’t like it. It hurts.”

MWD board president Todd Murphy explained before the debate that no action would be taken on this first round of talks. Board members remained quiet for the most part, allowing marina and rental owners to speak their minds.

MWD board member John Eminger suggested the two sides find middle ground. “What if you had to pay a marina to launch at a marina?” he asked.

A second workshop is expected, but not scheduled.

38860 Waterview Drive, Big Bear Lake, CA 92315

38860 Waterview Drive was reported today as a closed sale.  Another cash deal (that’s 12 out of 18 so far in 2009)!  It was a quick escrow and sold in the ballpark I thought it needed to be in…$1,325,000.  I did a comparison a couple months ago between this home and 38998 Waterview which recently sold (click here to view) that had a lot of similarities substantiating that price range.  Seller was obviously motivated….they paid $1,540,000 back in June of 2005.  Below are stats for this sale.

List Price: $1,575,000
Sales Price: $1,325,000
List Price/Sales Price: 84%
Days On Market: 239
Sales Date: 10/2/2009
Sold Price Per Square Foot: $516.17/sqft