Summer is getting closer, meaning now’s the time to strike if you’re thinking about buying a seasonal camp in Maine.
It’s not going to be an easy market to navigate. Though Redfin has housing inventory in Maine up 23 percent since this time last year, supply remains very low. About 4,100 homes are on the market now compared to nearly 10,000 just five years ago. That’s pushed home prices up roughly 15 percent since this time last year, according to Redfin. Compounded with rising interest rates, this may further constrict your options.
“This year especially, it’s been very hot for people looking for vacation properties,” Jennifer O’Connor, an associate broker with the Casco-based Sunset Lakes Real Estate, said. “I don’t see prices dropping, although I’ve seen some properties stay on the market longer than others.”
Here are some tips from real estate agents on how to go about your search for a seasonal camp and stay competitive in today’s inflated market.
Get your finances in order ahead of time
You could be one of multiple offers put in on a seasonal camp in this tight market. That’s especially true if the property has direct waterfront access or is located in coastal and southern areas of Maine.
“Budget. Know what you’re working with before you start looking,” Angie Tarbox, a real estate agent at Lakepoint Real Estate in Belgrade, said. “Make sure you have everything in order before you start your search.”
Have that pre-approval or pre-qualification letter — or if you’re a cash buyer, proof of funds — ready before you start seriously searching so you can act quickly once you find the home you’re looking for, O’Connor agreed. Factor things like insurance, taxes and expenses related to maintaining your seasonal home into your budget, she added.
Know your non-negotiables, but cast a wide net
Make a list of things you know you’d absolutely need in a seasonal property, O’Connor said, whether that’s being located near water, town services, other amenities or certain features like multiple bedrooms or a boat launch.
But with inventory sitting so low, keep an open mind and cast as wide a net as possible.
“Be patient,” Dan McCarron, designated broker-owner of Lakepoint Real Estate, advised. “Inventory is low across the state, which means you may need to wait to find your dream lakehouse, or consider a home that checks fewer boxes.”
So long as a property within your budget checks most of your boxes and has “big-ticket” expenses in good shape –– such as a roof, well and septic –– then it’s a good deal in today’s market, Tashia Porter, a real estate agent with Better Homes & Garden Real Estate The Masiello Group, said.
Put in a competitive offer
If you’re looking at a listing, chances are someone else is too, Porter said. To get the edge –– especially when so many cash buyers are in the market –– you need to make your offer on a seasonal home appealing to the seller.
“Make sure to have an inspector on-call so they can get to the property as quickly as they can,” Porter suggested. “If it’s cash or it’s financed, make sure that the bank you choose has the best loan option for what you want. Local banks are the best banks to pick.”
McCarron echoed that local lenders have an advantage and also recommended using a real estate professional with an intimate knowledge of the area you’re looking to buy in.
“We have the experience, knowledge and resources to find something that works for you and your family,” he said. “We understand the process, we can help you secure financing, and in many cases, we know of homes for sale that you won’t see immediately on the open market.”
Get your offer in writing if you’re serious, rather than verbally, Porter said. Porter is selling a $469,000 camp she owns at 18 Loon Way in Orland and said she’s had several verbal offers in on it –– those typically go nowhere.
“It’s a tough market,” Porter said. “Locals still can buy these properties, but they gotta adapt to the times too.”
