Here’s your Lake Geneva foreclosure update. I reviewed the foreclosure information for Walworth County this morning, and continue to be surprised at the lack of foreclosures affecting the lakefront and lake access markets. As of today, there isn’t a single property listed for foreclosure auction with lakerights to Geneva Lake. Not a one. The foreclosures in the area are abundant in Elkhorn, Genoa City, Whitewater, and Delavan. The homes most affected appear to be priced from $100k to $200k. There aren’t any in Williams Bay or Fontana as of today. That’s why the lake access market is holding up better than most buyers would expect.
Look at the national scene and consider the markets that are seeing an increase in sales activity. I’ve written before about why they’re seeing an increase, and it’s almost entirely because of REO inventory and foreclosure activity. Bank owned properties can at times be bought cheap, and investors are snapping up these bargains. Our Lake Geneva market is so unaffected by foreclosures, that prices are more stable, and in turn, buyers are wary. Buyers, listen up. Be wary of markets where foreclosures continue to rise (Florida, Arizona, Las Vegas, DETROIT), but why be wary of a market that has weathered this storm without the foreclosure assault? A market that continues to show stability in spite of the worst economic downturn in the past 25 years? Why not rejoice in the fact that Lake Geneva continues to bob and weave it’s way through this REO boxing match without so much as a bloody lip?
I don’t know the answers, I only know buyers continue to contact me in search of the media promised REO bargains, and they expect to find one on or near the lake. I’m confident now in proclaiming that as we’re already in the third year of this market downturn (market really began showing signs of weakness at the end of 2006) and foreclosures are not, again, are not going to affect the lakefront and lake access market. If you’re looking for a home in Elkhorn for $140k, yes, you can indeed find a value, and if you’re a first time home buyer reading this, go out, negotiate yourself a heck of a deal, and claim your $8,000 first time home buyer credit. If you’re a buyer contemplating the purchase of a vacation home in this market, go ahead and ask me about foreclosures, and then let’s buckle down and negotiate a terrific deal on a vacation home that will undoubtedly change your life.