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Investing in Smith Mountain Lake real estate

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Recently sold: a 5-bedroom, 3.5-bath home with a coastal, casual feel

Virginia is one of the most visited states in the US for many reasons. With its tourism industry returning to pre-pandemic levels, the state’s vacation spots can be expected to be full and vibrant again during peak season. In addition to its most visited beaches, mountains, and wineries, Virginia is also a tourist magnet because of its lakes – and Smith Mountain Lake counts among the best of them.

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SMITH MOUNTAIN LAKE: THE JEWEL OF THE BLUE RIDGE MOUNTAINS

Named the “Jewel of the Blue Ridge Mountains” in a theme song written to commemorate its 50th year as a manmade reservoir in 2016, Smith Mountain Lake not only attracts tourists and families looking for a unique way to reconnect with nature. Smith Mountain Lake was also the destination of choice during the pandemic as people looked for spacious areas to visit closer to home.

Located southeast of the City of Roanoke and southwest of Lynchburg, Smith Mountain Lake is Virginia’s second-largest body of freshwater, trailing John H. Kerr Reservoir/Buggs Island Lake. It stretches for roughly 40 miles with a shoreline of about 500 miles and holds about 20,000 acres of water. The breathtaking Blue Ridge Mountains surround its waters, while the Smith Mountain Lake State Park and Bedford County border its northern shores.

Interestingly, Smith Mountain Lake traces its beginnings to 1960 with the dam’s construction. The dam looked to generate hydroelectricity for Appalachian Power, a division of American Electric Power. The project required 200 workers to move 300,000 cubic yards of mountain forests to make room for the dam.

By 1963, the dam walls were completed. The Roanoke and Blackwater Rivers also started to fill up the Smith Mountain Lake. Three years later, the lake reached its capacity and started to become a favorite recreational spot for guests and residents of Southwest Virginia.

WHY INVEST IN SMITH MOUNTAIN LAKE REAL ESTATE

A relaxing man

What are the key benefits of buying a house in Smith Mountain Lake? Let’s dissect some of the best ones below.

Desirability of lake properties

As anyone looking for a Smith Mountain Lake property for sale can attest, their choice of location has much to do with how the lakeside community is seen as a premier destination for travel and leisure. It certainly helps that it was recently named one of the seven “best destinations to buy a lakefront home in the U.S.”

Many appreciate how Smith Mountain Lake offers a peaceful place for a retreat without the heavy traffic. The low taxes in the area are also seen as particularly favorable for interested investors.

Rising home values

Buying a Smith Mountain Lake property for sale can be one of the best decisions you’ll ever make with your money. Prices of Smith Mountain Lake homes for sale are steadily rising due to increasing demand.

Looking at the numbers, the median listing home price in September 2022 was $472,000, which was up by 7.9% year on year. Meanwhile, the median home sold price was $529,000, which means that properties were selling for considerably higher sums than their list prices.

If you have the money to buy a house, investing in a Smith Mountain Lake property can generate substantial returns once you decide to sell your property in the future. In September 2022, prices of condos and townhouses started at around $120,000, while single-family homes sold for $320,000 and up. Bigger properties can reach north of $2.5 million.

Promising developments in and around Smith Mountain Lake

There are exciting times for Smith Mountain Lake real estate. Development projects are sprouting in and around the area. There’s a new resort about to be built in the old location of Penn Hall. It will feature rental cottages, a clubhouse, an event barn, and different shops for guests. Also, part of the development is the renovation of the Penn Hall Manor, which was built in the 1940s.

A new subdivision is slated to rise south of Hales Ford Bridge in Moneta. The 30-acre property will be home to 30 single-family houses and a commercial lot.

WHAT’S IN STORE FOR SMITH MOUNTAIN LAKE REAL ESTATE INVESTORS

2023 model

In 2020, Smith Mountain Lake real estate sales hit a 20-year record with 431 homes sold. Faced with the pandemic, businesses were prompted to shift to work-from-home arrangements. Employees, in turn, saw this as an opportunity to live near the lake on a more permanent basis.

Even as the overall sales record for 2021 dipped to 327, experts never saw it as a sign of a cooling market, citing the lower number of home listings as a more plausible explanation.

Today, Smith Mountain Lake real estate remains popular among homebuyers and investors despite the limited inventory. Those who are in the market for such properties will still find ample options, which range from condominiums to luxury waterfront homes, as well as vacant lots for custom builds.

Property types

  • Waterfront homes
    The most popular type of property in Smith Mountain Lake, waterfront homes provide amazing views of the lake, sunrise, and sunset without sacrificing your privacy. Some of these properties are situated on a quiet cove right at the foothills of Smith Lake Mountain. You can also find properties that sit at the end of a cul-de-sac for more privacy.

  • Waterfront condos and townhomes
    Like the waterfront homes, waterfront condos and townhomes also provide awesome views of the lake. Though the properties are smaller compared to waterfront homes, they make up for it by ensuring that homeowners have easy access to all the amenities they could need. It isn’t also uncommon to find condos in the area with up to 5 bedrooms and 2 bathrooms. The townhomes, on the other hand, usually come with 3 to 5 bedrooms and 3 to 5 bathrooms.

  • Waterfront lots
    If you plan to build a luxury home from the ground up, Smith Mountain Lake’s waterfront lots are excellent locations to consider. For under $30,000, you can find a waterfront lot that measures about half an acre and is close to the canoe and kayaking area. On the flip side, investors can find lots measuring over 70 acres that can be subdivided into smaller waterfront lots.

  • Water-access homes
    Smith Mountain Lake’s water-access homes take privacy to the next level, as guests can only visit the property by boat. In this area, you can easily find a single-family water-access home that features 2 to 4 bedrooms with up to 2 to 4 bathrooms.

  • Water-access condos/townhomes
    You can also choose a water-access condo or townhome as an alternative. Some of these units are custom built and feature 2 to 4 bedrooms and 2 to 4 bathrooms.

  • Water-access lots
    For a more personalized touch, you can invest in a water-access lot where you can build your retirement home or investment property. For as low as $5,000, you can find a wooded lot perfect for a lake cabin. Bigger lots measuring 4 acres and up can be used to build condos or townhouses.

Architectural styles

The architecture of homes in Smith Mountain Lake has changed through the decades. Back in the day, cottages dominated the area. Today, custom-built properties and well-designed developments have taken over. While many of the new neighborhoods favor low-maintenance properties for easy, high-quality living, luxury communities in Smith Mountain Lake still guarantee striking landscapes and remarkable docks that add to the area’s character.

Amenities

Boat docks/slips are standard features that provide waterfront residents easy access to the lake. Many communities boast championship golf courses, which residents can access either by virtue of being a homeowner or by applying for club membership.

Residents also get to work out using the latest equipment in their local fitness center and in some cases even enjoy horseback riding in an equestrian center. Restaurants offering scrumptious meals are always at the ready to cater to discerning palates.

Meanwhile, owners of condo units can relax in heated pools, jetted tubs, and outdoor patios. Despite the condominiums’ modern designs, the stunning panoramic views of the lake remain a major feature.

A closer look at the neighborhoods in Smith Mountain Lake paints a better picture of what’s potentially in store for new homeowners and investors in the area.

Neighborhoods of Smith Mountain Lake

Boardwalk

The Boardwalk is one of the newest communities in Smith Mountain Lake. View homes for sale here.

Smith Mountain Lake boasts some of the most elegant neighborhoods in all of Virginia. Here are the areas that offer some of the best properties worth investing in.

  1. The Waterfront
  2. Investors looking for a luxurious private golf community away from the busy city will find The Waterfront Country Club an appealing option. Spanning over 750 acres and 8.5 miles of shoreline, it features breathtaking hardwood trees and a rolling countryside that add to its already impressive appearance.

    Being the oldest country club community in Smith Mountain Lake, The Waterfront recently underwent a renovation to keep up with the community’s changing needs. The clubhouse and fitness center were improved. The pro shop was also remodeled in 2021 and now offers some of the best clubs, balls, putters, and apparel made by leading golf equipment brands. There’s also a bar room lounge overlooking the 18th hole of the George Dillon-designed, PGA Championship golf course.

    View real estate properties for sale in The Waterfront

  3. The Boardwalk
  4. The Boardwalk is one of the newest communities that’s been attracting homebuyers to Smith Mountain Lake. Situated on the lake’s west side, the community sits on 100 acres of land and offers almost four miles of shoreline and stunning views of the lake.

    The community hosts close to two dozen Nantucket-style cottages. Wood floors and white walls are common features of Nantucket-style homes, while handwoven textiles, fresh flowers, beach shells, and eclectic artwork complement the design.

    View real estate properties for sale in The Boardwalk

  5. The Farm
  6. Right across The Boardwalk is The Farm, a green community featuring 63 properties with easy access to Smith Mountain Lake via boat ramp. The Farm is a low-impact development that uses open space throughout to help avoid the effects of stormwater runoff.

    Inside The Farm is Hammock Pointe where waterfront houses and estate home sites are located. The houses inside Hammock Pointe were built according to Green Building Program standards, which include requirements like energy efficiency, waste management, durability, and water conservation.

    View real estate properties for sale in The Farm

  7. The Water’s Edge
  8. Opened in 1988, The Water’s Edge is a lakefront country club that is divided into three communities: Village Green, Golfer’s Crossing, and The Grande Villas.

    If you’re looking for low-maintenance Smith Mountain Lake waterfront homes for sale, Village Green is your best bet. The townhouses sport a cottage-like design that uses brick and cedar shake for the exteriors, requiring low maintenance on the owners’ part.

    Meanwhile, Golfer’s Crossing offers luxurious single-family homes nestled in three elegant coves. The homes feature New England cottage architecture meshed with neo-traditional designs.

    The Grande Villas is the latest development inside The Water’s Edge and is also the most luxurious. It features six elegant townhomes built with sustainability in mind. The properties’ EarthCraft design allows homeowners to boost energy efficiency by up to 30%.

    The highlight of The Water’s Edge is an 18-hole championship golf course and its famous hole 7, an island green that extends all the way to the lake.

    View homes for sale in The Water’s Edge

  9. South Harbour
  10. The 100-acre community of South Harbour features 40 properties, 28 of which are located on prime waterfront. Entering the premises, residents and guests are welcomed by a Colonial brick entrance complemented by nautical-themed lighting. Then once inside, they can relish in the community’s naturally serene environment, further enhanced by its perfectly maintained landscape, walking trails, and yards full of trees.

    One of the major highlights of South Harbour lies at its highest point. There, a mighty old oak stands majestically beside the landmark observation deck. Spacious lands and lots are available, waiting for prospective buyers to build their custom houses on. Buying a house in South Harbour also gives you a chance to become a member of The Waterfront Country Club.

    View homes for sale in South Harbour

  11. Park Place
  12. Park Place is a favorite choice among buyers looking for a second house or a place where they can retire. It is home to 199 waterfront home sites situated on 138 acres of land. The properties range from custom-built estates to single-family homes, condos, and townhomes.

    Aside from its prime location, Park Place also boasts luxury amenities and outdoor features. Its trailers, sandy beach, playgrounds, pier, and picnic pavilion make it one of the hidden gems in Smith Mountain Lake.

    View homes for sale in Park Place

  13. Waverly
  14. Customization is the main attraction of Waverly. The neighborhood sits on 130 acres of lake property made more special by the forested natural setting. Investors can custom-build their houses and install all kinds of luxurious amenities.

    Anyone in the market for Smith Mountain Lake waterfront homes for sale will appreciate the existing properties’ hardwood floors, stone fireplaces, and granite countertops, among other features typical of custom-built homes. Meanwhile, access to the lake is made easy through Waverly’s private boat docks.

    Check out real estate for sale in Waverly

  15. Contentment Island
  16. Lastly, there are The Cottages at Contentment Island, which features 62 luxury waterfront homes designed to take convenience to the next level. Measuring as much as 5,000 square feet, the properties feature open floor plans that allow owners to customize their homes to their liking. Hardwood floors and high ceilings, however, are standard features for an elegant vibe.

    While boating and fishing are popular pastimes at the lake, residents of The Cottages at Contentment Island also enjoy a whole lot of other activities made possible by amenities like tennis and basketball courts, walking trailers, and a swimming pool.

    View real estate for sale on Contentment Island

WHY JANE SULLIVAN HORNE IS THE BEST LUXURY REAL ESTATE REALTOR IN SMITH MOUNTAIN LAKE

Diamond Award

If you want to know more about the Smith Mountain Lake community, partner with me, Jane Sullivan Horne, for access to information that is crucial to making wise investment choices. I’ve been specializing in luxury real estate properties in Smith Mountain Lake and have helped countless numbers of buyers and sellers in their search for the best deals in town.

Apart from being a Certified Residential Specialist, I am also a Luxury Collection Specialist, a Short Sales Foreclosure Resource, and a Certified Specialist with Berkshire Hathaway Home Services Smith Mountain Lake Real Estate. I provide personalized services to ensure that my clients find the right properties that meet their requirements.

On top of my NAR, VAR, and the Roanoke Valley Association of Realtors memberships, my dedication and passion for Smith Mountain Lake real estate enable me to deliver no less than top-notch services.

INVEST IN A SMITH MOUNTAIN LAKE PROPERTY TODAY

Ready to look for a Smith Mountain Lake property for sale? Let me guide you every step of the way. My team and I are more than ready to assist you in your search for that Smith Mountain Lake home that matches your investment goals. Check out our list of Smith Mountain Lake properties for sale here.

For any questions or concerns you may have, call me at 540.493.1690 or contact me here.