I can’t believe we are halfway through 2022! I am going to dig right into the real estate market because the question I am asked multiple times a day is “How is the Market?” so I want to get you as many facts and actual market data that I can. But don’t worry, it isn’t too long! Make sure to check out the events calendar for this week down below as well, it is one of the most fun weeks of the summer!
I have spent this week deep diving into the sales data to track the market trends since 2017. It revealed pretty interesting stats. For example, from Almont to Mt. Crested Butte in 2017 (January 1st-June 30th), the average sales price was $565,000. In 2021 it was $831,978 and 2022 it jumped to $1,059,002! That is a huge change in 5 years. But, get this, there are 222 active listings right now with an average listing price of $1,668,086. If we narrow it down to just residential properties (single family homes, condos and townhomes), there are 94 properties with an average listing price of $2,357,495 and the median is $1,925,000!! There are only 12 single family homes for sale under $2 million. These are the highest prices we have seen and when we combine that with the rising interest rates, some buyers are putting the breaks for a moment. Only 17 properties in the Crested Butte area went under contract in the month of June. Last year, 55 properties went under contract during the same time frame.
What is surprising about this year so far compared to 2021 is that we are down $94 million in total sales volume. 2021 YTD sales volume was $290 million. The volume of properties sold this year was $196 million. However, volume of properties listed is only $98 million which is the LOWEST amount of properties listed YTD in the last 5 years. It has felt like a lot of properties have hit the market in the last few weeks but it is actually fewer. The difference is they are still on the market. We felt like there was no inventory last year and that was simply because they were selling almost immediately.
WHAT DOES IT ALL MEAN?! First of all, let me say that this is happening around the country and definitely isn’t specific to our market. I think buyers went through the most competitive market of all time the last two years, practically giving up their first born child to get their offer accepted and then when things started looking up with more inventory, the interest rates rose faster than they have in history. Some buyers are just pausing and collecting their thoughts for a minute. That being said, I think sellers are going to have to get used to negotiating again. Gone are the days of the seller controlling the contract terms, at least in certain price points. I think buyers are looking for big bargains, but that is still going to be hard to find. Our prices likely will drop slightly but I don’t think it will be any lower than the comparable sales we have already on record. Please take a few minutes to watch my video at the top because I am addressing a few key facts on interest rates and a point of view to consider if you’re thinking of buying real estate.
Bottom line for buyers, real estate is a great investment and remember time in the market is better than timing the market! Plus, your health and life will benefit with a home in our beautiful valley. Sellers, your home is still worth more this year than ever but you have to be prepared for the sale to take a little longer and you probably should be ready to negotiate.
Let me know your thoughts!
Have a wonderful 4th of July!!!!
