Steamboat Real Estate: From Recession to Recovery - What's Next for You?
It has been an interesting few years in Steamboat. Now that markets across the country have strengthened the Steamboat Real Estate market is recovering too. It is refreshing to see the change in people's mindset for both locals and second home owners alike. Short sales and foreclosures are no longer driving the market. Supply is coming more into balance in more areas and is even short in several parts of the market. Values are down after the recession but prices are increasing in more parts of the market, interest rates are low, and the outlook is better than we have seen in years.
2013 finished by tapering down from a very strong summer and fall. Sales went from very strong double digit increases to flat in November and significantly down in December (-53%) and January (-40%). Those are big drops with about half of it coming from the comparison to the burst of distressed sales in the previous year when One Steamboat Place came out of foreclosure talks, the second auction at Trailhead Lodge and the sale of the remaining land in Wildhorse. The second half of the decline was a genuine pause with very little buyer activity until the last day in December then it turned on again strongly. Pending contracts went from a low of 88 in December to 113 by mid January, 120s in February and the 130's in March. This translated to strong closings in February (+26%) and likely March. March was my second busiest month ever.
What to expect in 2014 - The Mindset goes From What's Happening to me to Time to Move Forward- Locals will secure a home or their next home. Interest is strong and people are ready to move forward with their goals.
- If you can live anywhere why not Steamboat? Our Lifestyle & Schools will continue to draw more people who can live anywhere.
- Supply will increase as prices get to levels that give people the confidence to move forward.
- Some popular price points will disappear. Like homes in town under $500K & 2 br condos under $250K.
- We will see appreciation in more of the market instead of just a few hot areas. Ask me about your part of the market.
- A well priced & marketed property will sell, not getting offers is a sign one or both aren't right.
- Interest rates are likely to go up in 2014 as the economy recovers. They have increased 3/4% in the last year.
- 40% chance a new project at the base will announce given it will take longer to deliver new product than sell what we have.
- We will see a return to a more normal upgrade cycle as confidence increases.
- Most importantly Steamboat will remain a great place to live or spend time.
People are moving forward with their long terms goals in 2014 as nationwide / local confidence increases and prices make achieving them feasible. Buyers: You can lock in a low interest rate. There is opportunity in the market if you proceed thoughtfully and fully understand what you are buying. Sellers: Buyers can afford to pay you more today with low interest rates and then you can lock in the current rates on your next purchase. If your home isn't selling it's either how it's being marketed or the price. I can help you with both.
If you are considering listing your home - There is a big difference between listing your home and choosing someone that truly executes a marketing plan to effectively reach today's savvy buyers in town and around the world. Why not ask to see how our professional Marketing and Service can deliver for you? Check back early next week for the latest Steamboat Report.