Possibly moving to Southport/Oak Island area soon (Charlotte, Wilmington: fit in, credit)

[NCGT]

Originally Posted by LNS

My husband has his 3rd and final interview on Friday for a position in Southport. We currently live in a suburb of Philly. We have vacationed on the NC coast for the last 6 summers and love the Southport area. We are trying to figure out what area/development would be best for us. We have 4 and 8 year old boys and would love to find a community that has a lot of kids. We don't want to buy in a neighborhood that is half abandonded. We have considered Arbor Creek, Seaspray Cove,Rivermist, South Harbor Villiage, Oak Island and downtown Southport. We want to be close to the beach and Southport. Our kids will most likely go to public school, so the elementary school is important. Any suggestions/input?

My suggestion would be to rent for awhile before you make a purchase. There are loads of rentals available and property values are dropping rapidly and probably wont hit bottom until next spring. I'd stay away from any subdivision on 211 except St James Plantation because most of the others are empty or full of foreclosures.

Whoever suggested that you'll have to commute to Leland/Wilmington for recreation is right. There's little to do in the Southport area except go to the beach and golf and even that goes away in the winter months.

[seashellbelle]

Originally Posted by NCGT

My suggestion would be to rent for awhile before you make a purchase. There are loads of rentals available and property values are dropping rapidly and probably wont hit bottom until next spring. I'd stay away from any subdivision on 211 except St James Plantation because most of the others are empty or full of foreclosures.

Whoever suggested that you'll have to commute to Leland/Wilmington for recreation is right. There's little to do in the Southport area except go to the beach and golf and even that goes away in the winter months.

Sorry NCGT I have to disagree with your comment that the communities along Rt. 211 are half empty or full of foreclosures. This is a major corridor and anyone investing along this area will benefit greatly.

Major reasons why this corridor will continue to flourish:

• The second bridge to Oak Island is nearly completed.
• New Businesses, such as Lowe's will be building there.
• Winding River community, with Virginia Williamson school at it's entrance (No foreclosures in that community)
• Arbor Creek (No foreclosures in that community)
• Palmetto Creek (No foreclosures in that community)
• St. James ( very pricey, a few foreclosures)
• Close to Southport, and actually 4 new businesses have opened, refer to Wilmington Star News article.
• Even if a community has foreclosures in it, that is a wonderful opportunity for Buyers.

I will concede though regarding renting first. Although that will involve two moves, it will give you the opportunity to explore the area first, and make the best decision regarding purchasing for the future. You might want to consider a 3 or 6 month lease. If your husband will be working in Southport, then by all means to reduce commute time, I would highly recommend living as close to work as possible.
Should nothing along the Rt. 211 corridor work for you, there are plenty of wonderful communities in and around Southport to consider.
Quite honestly as a resident of this area, I feel extremely fortunate to live here. Where else could you find a community that is minutes away from the ocean, two major airports, close to Wilmington and Myrtle Beach, and offers a wonderful coastal lifestyle?

[NCGT]

Originally Posted by seashellbelle

Sorry NCGT I have to disagree with your comment that the communities along Rt. 211 are half empty or full of foreclosures. This is a major corridor and anyone investing along this area will benefit greatly.


Major reasons why this corridor will continue to flourish:

• The second bridge to Oak Island is nearly completed.
• New Businesses, such as Lowe's will be building there.
• Winding River community, with Virginia Williamson school at it's entrance (No foreclosures in that community)
• Arbor Creek (No foreclosures in that community)
• Palmetto Creek (No foreclosures in that community)
• St. James ( very pricey, a few foreclosures)
• Close to Southport, and actually 4 new businesses have opened, refer to Wilmington Star News article.
• Even if a community has foreclosures in it, that is a wonderful opportunity for Buyers.

I will concede though regarding renting first. Although that will involve two moves, it will give you the opportunity to explore the area first, and make the best decision regarding purchasing for the future. You might want to consider a 3 or 6 month lease. If your husband will be working in Southport, then by all means to reduce commute time, I would highly recommend living as close to work as possible.
Should nothing along the Rt. 211 corridor work for you, there are plenty of wonderful communities in and around Southport to consider.
Quite honestly as a resident of this area, I feel extremely fortunate to live here. Where else could you find a community that is minutes away from the ocean, two major airports, close to Wilmington and Myrtle Beach, and offers a wonderful coastal lifestyle?

I was trying to give some sound advice to someone who was potentially going to invest a few hundred thousand dollars into a home in the Southport area. Of course I was just giving my personal opinion but it is an informed opinion. Palmetto Creek has had 14 sales in the past year, 5 of which were banked owned foreclosure sales. A subdivision with a 35% market to foreclosure sales rate is big time bad news. The number of vacant lots that have been foreclosed on in that subdivision is even higher. And Palmetto Creek isn't empty but there are more vacant homes than occupied homes in that subdivision which is another big indicator that property values will continue to decline and more foreclosures are likely on the way. As for the other subdivisions along 211, I suppose I should have clarified that I was talking about those subdivisions that were developed after 2004 and not the established subdivisions like Winding River, Arbor Creek, ect.

[seashellbelle]

Originally Posted by NCGT

I was trying to give some sound advice to someone who was potentially going to invest a few hundred thousand dollars into a home in the Southport area. Of course I was just giving my personal opinion but it is an informed opinion. Palmetto Creek has had 14 sales in the past year, 5 of which were banked owned foreclosure sales. A subdivision with a 35% market to foreclosure sales rate is big time bad news. The number of vacant lots that have been foreclosed on in that subdivision is even higher. And Palmetto Creek isn't empty but there are more vacant homes than occupied homes in that subdivision which is another big indicator that property values will continue to decline and more foreclosures are likely on the way. As for the other subdivisions along 211, I suppose I should have clarified that I was talking about those subdivisions that were developed after 2004 and not the established subdivisions like Winding River, Arbor Creek, ect.

Sorry NCGT, I checked both MLS's for Brunswick and New Hanover regarding your finding, and couldn't locate the same information as you have regarding Palmetto Creek, where did you get your information from?

That aside, I do know that an independent builder, not part of the Palmetto Creek builders, some 2 or 3 years back bought land there and built, and had to foreclose, because he over extended himself. These homes have since been sold over a year ago. I did not research the lots.

Please be advised that Palmetto Creek is a group of builders and developers, their products are not in foreclosure, the company is very sound financially. I think what happened during the boom, Buyers and independent builders were looking to flip quickly, and of course that flopped, due to the economic meltdown which took place in October of 08'.

Anyway, I do concur with you about renting initially, especially if people are new to this or any other area. I did so myself.

I do not condone any development over the other, as I am strictly a Buyers Agent, and my fiduciary responsibility is to my Buyers.

However, if you have not been to PC lately, you should go visit, absolutely stunning community, I just think they were a year or two ahead of their time, and they are great people to work with as I have sold several homes there.

[NCGT]

MLS #631389, 626722, 626718, 626707, 626723 (Brunswick County MLS)

Those are the MLS numbers for the 5 foreclosure properties that have transferred in Palmetto Creek since June 1st of last year. They were all clearly marked as bank owned properties on the listing sheets.

[thefinalsay]

Originally Posted by NCGT

MLS #631389, 626722, 626718, 626707, 626723 (Brunswick County MLS)

Those are the MLS numbers for the 5 foreclosure properties that have transferred in Palmetto Creek since June 1st of last year. They were all clearly marked as bank owned properties on the listing sheets.

you're wasting your breath. she won't listen.

[seashellbelle]

Originally Posted by NCGT

MLS #631389, 626722, 626718, 626707, 626723 (Brunswick County MLS)

Those are the MLS numbers for the 5 foreclosure properties that have transferred in Palmetto Creek since June 1st of last year. They were all clearly marked as bank owned properties on the listing sheets.

These are the same properties I referred to in an earlier post, whereby an independent builder bought land, built homes and over extended himself. The builder has gone bankrupt, the company that owns Palmetto Creek and other developments is still going strong and in the black.
This took place over a year ago. According to the CMA, they still sold for 95% of the listing price.
Foreclosures are unfortunately a reality of our times and the current market. They present excellent opportunities for Buyers, and are a detriment to Home Owners and Sellers. We are predicting that foreclosures will probably not retract for another two years.

[NCGT]

Originally Posted by seashellbelle

They present excellent opportunities for Buyers, and are a detriment to Home Owners and Sellers.

We agree on that point and that's why I wouldn't recommend that a family buy in that subdivision when other, SAFER options are available.

[seashellbelle]

Originally Posted by NCGT

We agree on that point and that's why I wouldn't recommend that a family buy in that subdivision when other, SAFER options are available.

Ah, but you failed to point out that the homes that were in foreclosure sold for 95% of the listing price. Most homes these days whether they be in foreclosure or not normally sell for 5% to 10% below their listed price.
No community is immune to foreclosures, that is just the reality of the current housing market, and it is something that people will have to come to grips with. Buyers can either take advantage of this market, or they can choose to buy a non-foreclosure. The original poster stated she was working with a Realtor, and it will be her Realtors responsibility to educate her clients and guide them into a community that best suits their needs and wants.
We are anticipating a rebound in about two years for the housing market, so those wise enough to realize that the housing market is cyclical, should definitely do their homework, and anticipate that initially their home values may go down, until the supply of homes on the market is absorbed by demand. Eventually values will go back up.
My best advice to any home buyer is to gather as much information as possible on any community, get yourselves pre-qualified, and interview at least 3 agents. You will eventually find the home and community that will work for you, now and in the future.

[NCGT]

Originally Posted by seashellbelle

Ah, but you failed to point out that the homes that were in foreclosure sold for 95% of the listing price. Most homes these days whether they be in foreclosure or not normally sell for 5% to 10% below their listed price.
No community is immune to foreclosures, that is just the reality of the current housing market, and it is something that people will have to come to grips with. Buyers can either take advantage of this market, or they can choose to buy a non-foreclosure. The original poster stated she was working with a Realtor, and it will be her Realtors responsibility to educate her clients and guide them into a community that best suits their needs and wants.
We are anticipating a rebound in about two years for the housing market, so those wise enough to realize that the housing market is cyclical, should definitely do their homework, and anticipate that initially their home values may go down, until the supply of homes on the market is absorbed by demand. Eventually values will go back up.
My best advice to any home buyer is to gather as much information as possible on any community, get yourselves pre-qualified, and interview at least 3 agents. You will eventually find the home and community that will work for you, now and in the future.

What does the list price to sales price ratio have to do with the existance of foreclosures? You do know that banks heavily discount the list price of foreclosure homes to move them quickly? Regardless, I don't think that the list/sales price ratio ( high or low) is going to make the existance of foreclosures "ok" in any subdivision.


And your second comment (in my opinion) is highly irresponsible. Who recommends that someone purchase a home with the expectation that it may go DOWN in value? My original post was trying to warn against exactly that and it is precisely that reason that I would not buy in Palmetto Creek or any other new subdivision on highway 211.

Anyway, we'll just have to agree to disagree.