You never know until you can look back at historical data to see when the bottom of a market was, but look at this graph.

Not sure what you are looking at?  The dark blue represents 2008 condo sales by # of sales, the teal color represents this years sales.  If you put them end to end, you would see a rather large dip in sales starting last June (2008) through July of 2009.  In Fact, October 2009 is the first month in some time that saw an increase in sales and volume over the previous year.   Very interesting.   

The Lake of the Ozarks real estate market is blessed to not have the problems on the scale that many areas do.   This list is not widely know to agents, I know to check it on occasion, but it is a cumbersome process.   

http://www.justice.gov/dea/seizures/missouri_pg1.html

From the DEA, these are the homes listed as meth houses.  They could have been cleaned up, torn down, not cleaned up correctly, but at least we know where they are.  BTW, these can be great deals for investors to buy and properly clean up as rentals, it just must be (and should be) disclosed that the home was formerly a meth house.   This disclosure is forever from what I have been told. 

http://methlabhomes.com/

The number of sales for 2009 YTD compared to 2008 shows a decrease in the number of sales from 499 to 369, or 26%.  Sales volume is off 35% YTD.  The price per square foot has dropped 12%.

The good news?  Condo sales the last half of this year were actually stronger towards the second half of the season, and in 2008 condos sales were more weighted towards the spring buying months.  The biggest hole in our sales occurred between May 1st of 2008 to May 1st 2009.  A sign that this market has bottomed?  Could be, only time will tell. 

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Click to see Osage Beach Condos for sale

Easy search map shows condominiums for sale in Osage Beach, and you can change any criteria to modify your search.  If you have any questions feel free to contact me. 

Everyone likes to say we have too many condos for sale at the Lake of the Ozarks.   The truth is there are 1312 condos for sale as of today, down from a high of over 1600 units in 2006.

We need more buyers, but it really isn’t an  oversupply problem.   It looks like a demand problem. 

Toad Cove

The entire property at Toad Cove including the 116 room luxury hotel has been turned over to a management company (i.e. bankruptcy for the developer) and will remain open and operated for the bank.   Several banks were participating, but Valley View Bank was the lead lender on the project.  

The concept of the full service “condo-tel”  was probably a bit premature for this market, it’s hard to justify paying $350,000 for a fancy hotel suite when our local MLS is loaded with very nice 3 and 4 bedroom condos that are twice the size for much less.  Add to this low demand the severe lending restrictions on “condo-tels” and this was inevitable.   There was nothing wrong with the product, it was promised to be first class and it was.  Timing, as they say, is everything.

Lakefront Foreclosure

You’ve likely seen this home when crossing the Community Toll Bridge from Lake Ozark to Shawnee Bend. The difference is that it now has been foreclosed on and the price is now $1,562,500 down from well over $2,000,000.

The description in the MLS reads:

Spectacular 1.2 acre lot with 340 ft. of gentle lakefront is a one-of-a-kind with a trophy home unlike any other. Major remodeling and expansive landscaping under way-exquisite detail and design. A private retreat with expansive views, cove protected waterfront, pea gravel beach, level curved driveway, private pool, outdoor kitchen, spectacular patio w/fireplace, totally revamped master wing.

This home was purchased and remodeled before it was put back on the market, it was one of the best remodel transformations that I’ve seen at the Lake of the Ozarks. Now someone will get a really great deal on this home. Call if you need any additional information. 573-480-6420

Tara Condo

Here is an affordable condominium with a great location and all the amentities you expect at the Lake. A 10 x 24 boat slip is included, and this condo is right next to the pool. You have plenty of extra parking for guests, and just one step into the unit. This is the perfect first condo at the Lake, and would most likely qualify for the $8000 first time home buyer program. Don’t wait, this is a rare opportunity and it won’t be here for long! Call John Garrett 573-480-6420 today!

More Pictures here

Let’s look at a real life example of this in action.  This property was listed as a fannie mae foreclosure and it was hot hot hot.  Everyone was rushing to see it, and it was located in a very nice condo project known as the Breakers.  The unit had been terribly painted, and the color scheme was quite bad.  There were mirrors missing in the bathrooms, and it probably needed $3500 of repair and remodeling.  It was also unfurnished.   It was purchase for $154,000.

Now look at this Breakers unit I just recently sold to a buyer that was bought for $147,000, fully furnished, in immaculate condition, including all electronics, a boat hoist, towels, bed linens, totally turnkey and in A+ condition.  I’d have to say that not only did this one not need the additional $3500 to be spent on repair, it had an additional $10,000 to $12,000 of value the other lacked.  That is around $22,000 difference in the two!

Condo sold by John Garrett

    So don’t be too quick to think that foreclosures are your guaranteed best bet in this buyer’s market.  Many seller’s have adjusted their prices using sold foreclosure comps, and these seller’s will be the first to sell.  Don’t fall for agents offering “A free list of area foreclosures” thinking it puts you ahead of the game.  Hire a Buyer’s Broker and look at all MLS properties, you might find the one you have been waiting for!