Why is an old cottage on an All-Sports Lake priced over $200k?

The old saying in real estate is that the three most important things determining price are location, location, location. This is true with lakefront property as well; however, there are a few more factors to consider.

Not all lakefront property is the same. One on the most confusing things buyers and sellers face with lakefront/lake view/lake access property is answering the question of the value of the lake frontage. The importance of this is paramount. Lakefront property is limited. For most of the 20 century, Livingston county lakes were visited as a summer retreat. Cottages dotted the lakefronts; today most of the cottages are gone replaced by a wide range of remodels, rebuilds and more recently very high end appointed homes. This is why the price per square foot is only part of the structure is only part of the equation.

Following are some other key factors to consider when placing a value on lake property:

First and foremost is if the lake is an “all sports” or no motor lake. In this world of water toys, an all sports lake property commands a higher price than a no motor lake.

Second and least understood is what type of Lake Frontage it is. Greenbelt deeded access, deeded docking, lake view, shared park or Riparian? How many feet of lakefront? Is the frontage enough to hold a dock and a boat?

Finally, the location on the lake and other lake details come into play. Typically, with lakefront, a sunset view is more valuable than a sunrise. Also, the quality of the lake bottom, whether it is sandy, mucky, and weedy will impact the value of the property.

These are just a few of key elements that can make that “old cottage” worth over $200,000 in this Market. They are not making any new lakes. Now is a great time to buy lake front property, it is at a 15 year low. Just be sure you have a licensed agent who knows lakefront property and Livingston County Lakes.