Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
I grew up in an area where the typical neighborhood had between 25 and 40 homes in it. I’ve noticed lately that some of the planned communities in the triangle area have WAY more houses planned than that. For example I have seen some posts here about communities in Clayton that will be comprised of several hundred houses.
I know some of these larger communities are quite nice with their many amenities and are considered quite desirable now, but does the very large size of theses communities actually have any negative impact on the re-sale values of the houses down the road?
I know if a large community is built in phases it can sometimes be hard to sell a 2 year old house from phase I while new units are presently being built in phase III of the community since many people want new versus resale. But what about 10 years from now when all the community is completely built out and the development is comprised of several hundred homes? Just by the law of averages you would probably have several homes for sale at the same time in the same communtiy making for a lot of competition among those looking to sell.
So my question is their a financial downside to buying into such larger planned communities that needs to be considered when buying a home in this area?
But there is nothing as true as location, location, location...
We sold our house in a very large, fully built out (500 + home) planned community in one of the most desirable locations in the triangle.
There were probably 12-15 other homes for sale at the same time, we did FSBO, researched the market, had numerous comps, put up a sign and sold the house in a week with 2 competing offers.
We made a significant amount of money on appreciation in a little under 3 years.
So, to answer your question, depending on where you buy and prevailing market conditions at the time of re-sale, you can definitely sell in a large community with competition from other sellers.
First. I am a realtor. Don't run. There is nothing wrong with the large communities..in fact..they sell better. Some think the large communities are cookie cutter, but that is most of new construction. Bottom line is there is nothing wrong with large PUDs. They really sell well. If you can find an older PUD, you may get larger lots and trees if you prefer.
First. I am a realtor. Don't run. There is nothing wrong with the large communities..in fact..they sell better. Some think the large communities are cookie cutter, but that is most of new construction. Bottom line is there is nothing wrong with large PUDs. They really sell well. If you can find an older PUD, you may get larger lots and trees if you prefer.
Dexter Smith
Thanks For the input BlueDevilz and Dexter. For the record, my question was really just about issues one faces when trying to sell in a community that could potentially have numerous homes on the market at the same time. I have no quibble with large PUDs and their quality and appearance. I guess whether dealing with a large or small development the old "location, location, location" adage will always ring true. Living in a larger neighborhood also seems to help when pulling comps when trying to decide a listing price or make an offer on a house since there will most likely be a lot more recent transactions in larger communities. I remember one home we made an offer on in a small community; when the RE agent pulled the comps for the neighborhood the most recent sale was almost a year ago because there was simply little turnover in that neighborhood. This would not be very helpful in some markets where a year can mean a big difference in value!
Thanks For the input BlueDevilz and Dexter. For the record, my question was really just about issues one faces when trying to sell in a community that could potentially have numerous homes on the market at the same time. I have no quibble with large PUDs and their quality and appearance. I guess whether dealing with a large or small development the old "location, location, location" adage will always ring true. Living in a larger neighborhood also seems to help when pulling comps when trying to decide a listing price or make an offer on a house since there will most likely be a lot more recent transactions in larger communities. I remember one home we made an offer on in a small community; when the RE agent pulled the comps for the neighborhood the most recent sale was almost a year ago because there was simply little turnover in that neighborhood. This would not be very helpful in some markets where a year can mean a big difference in value!
Yes, very good point on the comps.
We were very confident on setting the price correctly because we were able to find 4 homes very comparable in sq ft, lot size and room numbers, all of which had sold within 3 mos.
One advantage to the large communities, new transplants ( we felt the same when we first moved down) often gravitate to communities where they know there will be a lot of other families with kids and neighbors to meet quickly.
In terms of location, being in a University town helps because there is a lot of turnover with visiting faculty, resident physicians etc.
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
