"They're just not making any more ground at the Shore." The value of the ground determines a major percentage of the market value of the property. Since both Stone Harbor and Avalon have been fully developed, in order to build a new home, the existing structures are routinely demolished and replaced by new construction. So, in many cases the list price of an older home is very close to the lot value - little charge for the old house!
Major factors that affect the value of real estate in Stone Harbor
Location – Views. Oceanfront properties with direct, unobstructed views of the ocean are the most expensive locations within Stone Harbor and Avalon. Along with all waterfront property, bay front properties have greatly increased in value and direct unobstructed sunset views bring the premium prices. The quality and proximity of the water views greatly affects price.
Location – Distance from the beach. Value is a function of the property’s distance from the beach. The number of houses away from the beach and the number of streets crossed to get to the beach are important factors in value.
Location – The neighborhood factor. Single-family residential properties are at their highest value when surrounded by the same. Close proximity to multi-family, condominiums, commercial properties and/or high traffic areas adversely affects value.
Lot Size. For single-family homes, the size of the lot determines the future possibilities of the property. Since second homebuyers also want their purchase to be a “good investment”, then future possibilities have a great impact on the value of the investment. Since lot size rarely changes, it is a very important factor in pricing. Basically, the larger the lot, the larger the potential home that can be built. In order to maintain light, air, and low-density, current Stone Harbor Zoning Code allows for only two stories* of living space, thus emphasizing the importance of lot size.
Existing Home. Of the major factors affecting the real value of property, this is the factor that is the most easily changed. Many buyers, though, are interested in as little change as possible. Square footage, age, and condition of the home are very important to these buyers and affect the sale price of the property.
The following details of older homes appeal to the emotions of the buyers:
- An open and spacious air is more appealing than “closed-in” or cluttered.
- Newer baths and kitchens are more appealing than old.
Good maintenance and landscaping attract upscale buyers. - There is no substitute for clean.
- Among properties of similar value, “cute and upscale” decorating usually sells first!
New construction homes often sell for premium prices. In fact, new construction prices are more than the sum of the value of the lot and the building. Time and aggravation are two factors for which many Stone Harbor buyers are willing to pay, since many of our buyers have more money than time.
* “Court” properties are permitted only one floor of living space.
