Even though we got pasted with a huge dump of snow a few days ago, I can say without reservation that spring is within sight. I have seen robins all winter long and a neighbor told me he saw a bluebird. Can spring be far behind?
With spring comes the inevitable interest in buying a little piece of heaven - also known around here as Maine lakefront property. What everyone is asking me is "Have we hit the bottom yet?" My answer is unequivocal - "I don't know."
What I do know is that lakefront properties around here have not been hit as hard as some properties in other areas of the country. They've come down, but not the 30%-40% you see in some places.
We tend to moderation up here in Maine and I think a moderate approach to lakefront real estate is healthy - and warranted. If you're looking for a property that has slashed its price 50% or more, look elsewhere. But if you're in the market for a good property at a fair price I think you'll find plenty to interest you in the Maine lakefront real estate market. It's an old saw around here - but, oh so true - God only made so much lakefront and He's not making any more.
If you don't have the cash to buy a place and might have to borrow a little, you might keep this piece of information in mind. Borrowers need to be just as mindful of the mortgage rate as they are of the purchase price. Mortgage rates are the lowest they've been in many years. A 10% drop in the price of a property will be offset by a 1% rise in the mortgage rate. So, if you're still waiting for the bottom of the market, you do so at the peril of a potential rise in interest rates.
If you're a buyer, this could be your year. Many mortgage lenders will tell you it might not get any better than this. Now's the time. Come on in. The water's fine - especially when it comes to Maine lakefront property.