Why Prices Continue to Rise on Lake LBJ

There are two important factors affecting the value of Lake LBJ Real Estate.  Supply of available properties and demand for those properties.  Here I will break down why I think both are causing and will continue to cause the prices of Lake LBJ Real Estate to rise.

Supply of Lake LBJ Real Estate – As you know Lake LBJ is not very big.  No new land can be created and most of the lake is fully built out which means that anyone that wants to build a new home will likely have to get their hands on an old home and tear it down or do a major renovation.  On top of that each property is extremely unique and no two properties are exactly the same.  This means that if a buyer wants a specific area, or size of property there may only be one available for sale at any given time.  Lastly many of the families that own these properties are very wealthy and do not have good alternative options to reinvest the funds should they sell.  Many of these families elect to keep the properties and pass them down from generation to generation for various reasons including tax sheltering.  All of these factors combined make the supply of Lake LBJ Real Estate extremely limited.

Demand for Lake LBJ Real Estate – Did you remember hearing headline after headline about how many people were moving to Austin and/or Texas per day? It was a lot and it went on for a long time.  In Texas we have major cities like Austin, San Antonio, Houston, and Dallas with large populations but we also have places like Midland/Odessa, and Fredericksburg that are home to wealthy individuals.  With so many thriving industries like real estate, tech oil and gas, car dealers, attorneys, doctors, developers, builders, you name it, there are so many potential buyers in Texas alone that can afford to buy waterfront properties.  Lake LBJ is well positioned in the center of the state and the competition for other fresh water, constant level lakes is very limited making it a highly sought destination.  As Texas continues to thrive so will the demand for Lake LBJ Real Estate.

If you would like to learn more about our market and/or how I believe one should invest in Lake LBJ Real Estate give me a call.  I don’t just sell here but I also live here, on the water, and have great insight into the local market.  Thanks for reading and I hope to hear from you soon!