
                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: SATURDAY, May 5, 1990                   TAG: 9005080142
SECTION: AMERICAN HOME WEEK                    PAGE: AH17   EDITION: METRO 
SOURCE: Sarah Cox
DATELINE:                                 LENGTH: Medium

SMITH MOUNTAIN LAKE SALES ARE OFF TO ANOTHER FAST START

One hot real estate item is the the cool shores of Smith Mountain Lake. "I've watched it quadruple in the last five years," said David Bromm of Progress-Rush Co. "The appreciation up there is phenomenal."

Don Constable of Century 21 Lake Country Inc. bought a lot in 1976 for $6,000. "I thought that was an awful price." Today, he said you couldn't touch it for $150,000. "The price today is really tomorrow's bargain."

Lake real estate has come out of the starting gate bound for winning this year. According to Constable, the strong sales of the early months predict a good year. "Money is very, very obtainable for those who qualify. Rates are up fractions - you can still go into a new home for under 10 percent for a fixed rate. And out here on Lake property, interest rates are not as important. We don't have an economy like the city. The bulk of our business is buying or selling second homes or retirement homes.

"As long as the market stays strong in other places, we'll be fine, too. The type of people that can afford to buy this property can afford to buy despite a recession," Constable said.

It's not depression-proof, but lake real estate is not as dependent on interest points as other residential real estate may be, he said.

Audrey Agee of Anchor Realtors said that one reason for early January, February and March sales is that people want to get their lots, get them closed and start building so they can enjoy the summer down at the Lake. The same goes for home sales.

The most active real estate seems to be homes between $175,000 and $225,000, according to Constable.

Agee echoes that figure, saying that his company has sold a few higher-priced homes in the $300,000 range, but the majority of home sales are under $189,000; popular lots run about $60,000 to $70,000. But for $175,000, you're not going to get the same home you'd find in Roanoke, according to Constable.

"A $200,000 home in Roanoke is a mansion," he said, adding that for the same price you might find a 1700-square foot contemporary on a decent lot at the Lake.

But they're still selling - and not necessarily to Roanoke-area residents. "The Lake is becoming better known throughout the country. People out of New Jersey and New York are used to higher prices, and aren't flinching."

Another reason for this high-selling pocket of real estate is that there just aren't a lot of homes under $150,000 to show, Constable said. At the low end are the condominiums or town houses, and the free-standing, single-family houses are still the most in demand.

Agee said that interested buyers come from Northern Virginia, the northern states and Greensboro, Altavista and Martinsville.

"We've had them all over the United States. Every year that I've been here - I've lived in Franklin County all my life, and been in real estate since 1979 - it has gone up tremendously. In my opinion, it's one of the best investments."

by CNB