Andrews Local real estate developers are encouraging Cherokee County residents to invest in residential properties to secure their financial future and improve the economy.
“Invest locally in real estate instead of sending money to Wall Street,” developer and real estate broker Tom Rodeck said. “On single-family home rentals, I can show you how to earn 10-20 percent annually.”
Rodeck broke ground on a new housing development on Milton Mashburn Drive earlier this year and sold the first home less than two weeks after completion. He is also in the process of building two additional homes in the Rushing Waters complex and expects those to be complete by mid-
January.
“We built the first home in 10 weeks, and we sold it in 10 days,” he said, adding that he also rented two apartments on Main Street before renovations were complete.
“I bought a building in downtown Andrews, and I’m turning it into four loft apartments. I already rented two of them without even advertising. I finished up [the renovations] real quick for those two and should be finished with the other two this week.”
‘Broad spectrum’
Developer and Realtor Robin Sargent is in the process of expanding the Mountain Creek Village housing development on Lazy Bear Trail off Main Street near Industrial Opportunities Inc. He said the county needs a “broad spectrum” of housing, including starter homes for younger members of the workforce, rental apartments and easy to manage smaller homes for seniors who no longer want to upkeep several acres of land.
“People are looking for housing, and we don’t have them,” Sargent said. “There are people coming here from Atlanta or Chattanooga, and they’re not looking for 10-20 acres of land. They’re looking for a place where they can easily put down their bags and go enjoy the outdoors without needing a tractor to mow their property.”
Rodeck echoed those sentiments. He has also seen an increase in the number of millennials interested in moving to Cherokee County.
“The world has changed, and now they can live wherever they want,” Rodeck said. “We are getting more millennials looking to rent here because they can work remotely. There was a trend the last 10 years, where all the young people wanted to be in the urban areas. I think that trend is going the other way because of this virus, quality of living and expense.”
Increase tax base
Rodeck and Sargent said the lack of properties has prevented more people from moving to the area, which in turn prevents the county and towns from increasing their tax bases. They said the lack of housing, lack of a younger population and stagnant tax revenue all go hand in hand.
“I don’t have anything against mobile homes because I own a few, but they are not good for the towns because they don’t generate good tax revenue,” Rodeck said.
“If you put up a mobile home, it’s taxed like a vehicle; it’s not taxed as real estate. You’ll pay tax on the land, and that’s about it. The mobile home tax is really low, maybe $100-$200 or less depending on the age of the home.”
Sargent said housing development in the county has been hindered by the fact that builders can earn more profit in larger cities. He feels leaders throughout the county should encourage students in high school to pursue a career as a general contractor upon graduation.
“We don’t have enough builders,” he said. “If we don’t start building more, we’ll miss the opportunity to get more people into our county. The guys who have been building in the county for a long time are starting to slow down because they’re in their retirement ages.
“Most of the young people out
of high school leave because there’s no real income opportunity for them here. But there’s an opportunity for us to shepherd a new group of people to start building. The demand is there. They just need someone to coach them, to mentor them, to help them raise capital.”
Demand is here
Both men expect the real estate development market to remain profitable in this area, regardless of national politics, simply due to the fact that there’s a demand for inventory. Sargent, who also serves on the Andrews Zoning Board, has spoken with town officials about creating a subdivision ordinance that allows developers to build homes on smaller lots to accommodate a need for smaller housing that doesn’t require maintenance of rural land.
“We’re going to be very
pro-development friendly; we want to make Andrews as attractive as possible for development,” Sargent said. “But if we’re going to have smaller lots, we have to make sure it’s safe for the public. Andrews is blessed because you can build just about anywhere and have a beautiful view of the mountains.
“It is astounding to me that more people haven’t taken advantage of that.”
Rodeck said it would also help Andrews if people in other parts of the county remained positive about the town.
“I’ve been here 35 years, and it’s a great place to live,” he said, adding that Andrews’ crime rate is “grossly exaggerated” on social media. “I grew up in the city of Chicago. Talk to me about real crime.”