Any advice on Anchorage neighborhood? (Knoxville, Farragut: for sale, custom home, neighborhoods)

[UMfan]

Hi everyone,
I'm a lurker, who has followed the Knoxville threads over the past few months. I didn't see this question addressed in other house buying threads.

I am moving sometime this spring/summer to Knoxville, and we've already been on a househunting trip. We are looking for waterfront or neighborhoods with available boat slips, but preferrably not in the middle of Farragut, because the price is very high. There are quite a few lovely options in Knoxville that I'm looking forward to seeing.

I've been pointed to the Anchorage subdivision, which is a slightly lower $, but I'm concerned if there is something wrong with the subdivision because of all of the houses for sale, and there are at least 10 unsold lots. My realtor said it was a struggling area, perhaps because of the nearby highway, but probably also because of the economy.

I was just wondering if anyone had heard anything on this subdivision, or had any words of wisdom.

[goodbyehollywood]

I know the Anchorage very well. The reason there are unsold lots is that the developer just released them for sale. He had been holding them to develop, but recently decided against it. Most are not prime view lots, however. Those were sold long ago and are privately held. I believe there is one waterfront lot for sale.

The houses for sale are, for the most part, either developer- or speculator-owned. A few people got in over their heads and one homeowner built a huge house, then got stuck out-of-state. One house currently for sale was built on spec by a builder who went bankrupt. Only one house for sale has premium views.

The Anchorage is one of the few waterfront neighborhoods with private boat slips and a private dock on deep water. You can boat year-round on the main channel, weather permitting, and that's something of a rarity. It's very close-in, so the downside isn't so much the area-- Pellissippi and the interstate make it very convenient to downtown, UT and West Knoxville-- as it is the schools. It's zoned for Doyle, so if schools are important, you would possibly be looking at private schools. The area is growing, but the neighborhood is in the hardest-hit high-end price range, so the economy is definitely a factor. Some of the homes in the Anchorage have dropped $100K or more, so if you're in a position to buy, you just might score a deal. Good luck to you!

[dixierambler]

The Anchorage was originally developed in about '97 or '98 as a joint venture between an investment group and a commercial builder. The intent was to develop a high end waterfront development for high income professionals in the nearby medical facilities, as well as other executives, pilots, and CEO types interested in living closer to downtown than Farragut and other west end areas. The homes were to have been true custom with the finest accoutrements and amenities. There were numerous difficulties promoting the property such as the overly priced lots and homes, steep terrain, and of course, the highway. The idea never really took hold and before too long, the joint venture disbanded and the property went into receivership.

The property sat mostly vacant for several years with only 2 or 3 homes ever being built there. Then about 3 or 4 years ago, the property became available at auction at greatly reduced rates. Several builders built spec homes in a more affordable price range and more people moved in. Some of the spec homes built never sold, and since then, the economy has taken a nose dive. I'm not sure if there are any lingering legal problems or other issues, but the property has never been very appealing to many people. I'm sure you could get a great deal on a lot or home there, but just be aware that your appreciation rate will be lower than other areas and re-sale could take a long time.

[goodbyehollywood]

The value in the neighborhood is in the view lots, the waterfront amenities and the deep water access. The houses for sale aren't selling, because they're either spec homes or built to someone's specific tastes. The nicer custom homes don't come on the market all that often. If I were going to live in there, I'd build. JMO.

[kville]

Anchorage is actually a great neigborhood. It boasts waterfront or waterview living and some beautiful homes. The biggest reason there are so many homes for sale is the price range (most above $500k+) and timing of most of the new builds (in the last 3-4 years when economy started tanking). Sometimes timing is everything.