Property Values increasing in Seeley Lake and Swan Valley (Condon)
Property Values increasing in Seeley Lake and Swan Valley (Condon)
(A Special Report)
by Suzanne Vernon
For the Pathfinder
February 29, 1996
Property values in the Seeley Lake area have increased significantly in recent years. According to data provided by John Zimorino, president of the Missoula County Association of Realtors, the median price of a residential property in the Seeley Swan increased by about $33,000 between 1992 and 1995.
Residential property is defined as a home on a lot or small acreage. The median price is exactly in the middle--50% of residential property sold above that price, and 50% sold below that price during the given time period.
Zimorino's data came from the Missoula County Association of Realtors for property sales in Seeley Lake, Condon and Swan Valley. Interviews with real estate agents throughout the area confirmed a general upward trend in home prices, with sales slowing slightly in 1995.
The biggest jump in home prices was between 1992 and 1993 when the median price of a home wnet from $65,000 to $79,500. Zimorino said things "took off" throughout Missoula County then. "It was like a feeding frenzy--like throwing meat to sharks."
The real estate market has had its ups and downs since the late 1980s. However, prices generally kept increasing. In 1988, realtors saw a buyer's market. Buyers would make a ridiculous offer, and the seller would take it. That was soon followed by a seller's market. Sellers were asking ridiculous prices and buyers would pay, Zimorino explained. That kind of activity contributed to the price increases in 1992 and 1993, he said.
However, by 1994, prices began to stabilize. The median price of a home in the Seeley Lake area in 1994 was $90,650. By the end of 1995, the median price had increased by less than $8,000 to $98,000. "Today we have a fair market. Neither party is gouging the other party," he said.
Other area realtors confirmed the stabilization of the housing market--in 1995 houses were selling for what they were worth, they said.
Understanding the numbers in real estate can be a challenge. "Average" prices are often higher than "median" prices in areas with a lot of new construction, since newer homes cost more than older homes. In 1995, the average sales price for homes in the Seeley Lake area was $115,206--a figure that is much higher than the median price for the same time period--according to statistics provided by the Missoula County Multiple Listing Service.
At Seeley Lake, more new homes are available now than ever before. According to Janice Nemmers, office manager for the Double Arrow Landowners Association, every year for the past three years there have been 25 or 30 applications for new home construction on the 3,500-acre subdivision, the largest block of private land in the Seeley Lake area.
Another factor that affects property value is the amount of land that goes with a home. New homes on larger parcels of land are valued considerably higher than residential homes on lots. According to West Newbold of Great Bear Properties in Seeley Lake, a new three-bedroom, two-bath home on ten acres--the type of property that many people are looking for in this area--will cost from $155,000 to $160,000. "Log homes bring a little more than frame houses, and the price goes down for older homes," Newbold explained. "A decent house on two to five acres might bring $120,000, compared to a large new home on creek frontage at about $168,000.
