There is a Tale of Two Markets occurring right now in the Vail Valley.
The valley floor is, in a word, HOT. With multiple offers coming in for new listings from Gypsum to EagleVail, it’s evident that pent-up demand, low interest rates and a declining inventory has made home buying this spring a priority for many purchasing in the neighborhood communities.
In the resorts of Vail and Beaver Creek, the market is still finding its footing after a great 4th quarter in 2012. In Vail Village, Lionshead, Cascade Resort and the villages of Beaver Creek Resort, we have seen a 40% decline on sales above $2,000,000. While we can look to a number of factors for this “pause”, it is evident that the equilibrium we see between buyers and sellers on the valley floor is not happening yet in the resorts. Undoubtedly, in both markets, there are active buyers looking to purchase now. But these buyers are well-informed of where prices are today and have, to this point, not been willing to pay beyond what the sales comparables indicate the market is in a specific area.
Summer is a great time to purchase in the Vail Valley. Historically our listing inventory will peak at the beginning of August, giving home buyers many options to find their perfect home this summer. The amount of transactions will directly correspond to how sellers price their property. With as much buyer activity as we have, those who price to the market will sell – and statistically speaking, will sell for a higher price in a a faster time frame than those who elect to “test the market” and overprice their property – risking not only sitting on the market for an extended period but also being sold against in favor of competing listings priced to market.
Contact one of our Vail Valley real estate professionals today for a true and accurate analysis of your home’s value in today’s market.