Steamboat Vacation Home Sales Make a Comeback

  We are seeing the same thing here in Steamboat Springs.  Steamboat Real Estate sales volume started to turn late last summer and we have been up from about 200 to 270% vs. the prior year for 5 months now.  I have been seeing forward looking clients come back into the market since the Spring of 2009 and this has gotten stronger since late last fall.

  Most say that they see this as a good chance to get one of the best places at a great price.  Everyone is interested in the value for their money but nearly all see this as a good chance to get the right sized home, town home or condo for their family to spend more time together in Steamboat for years to come.  Many plan to retire for at least half of the year here and see this as a chance to move up to the right place from the vacation home they currently have.

  If you would like to talk about your goals give me a call at 970-819-6930 or search Steamboat Listings.  I have been able to get discounts of 10-35% plus for people depending on the property and how well it is currently priced so take that into account as you search for what is availible.

Vacation Home Sales Make a Comeback
CNBC

 The housing slump may be far from over, but vacation homes are suddenly hot again. Vacation-home sales rose 7.9 percent in 2009 from a year earlier, to 553,000 units, according to the National Association of Realtors (NAR) in its 2010 Investment and Vacation Home Buyers Survey. "It's a lessening of the fear factor," NAR spokesman Walter Molony said. "After three years of decline, we saw the activity picking up for the first time in November."

  Most people are buying vacation property for personal use, not as an investment. “The typical vacation-home buyer is making a lifestyle choice, with nine out of 10 saying they intend to use the property for vacations or as a family retreat,” NAR Chief Economist Lawrence Yun said, according to a press release. Much of the buying was by people in their 30s and 40s who were earning more income. The typical vacation-home buyer in 2009 was 46 years old and had a
median household income of $87,500. Retirement plans may also be a factor. Some 26 percent of vacation-home buyers intend to use the property as a primary residence in the future.

  The median transaction price of a vacation home was $169,000 in 2009, compared with $150,000 in 2008. “The higher vacation home price may reflect increased sales in higher priced markets,  particularly in areas of Florida and California where prices became highly attractive for buyers over the past year,” Yun said. Half of vacation homes purchased last year were in the South, 21 percent in the West, 17 percent in the Midwest and 12 percent in the Northeast. Seven out of 10 were detached single-family homes. Vacation-home buyers plan to keep their property for a median of 16 years while investment buyers plan to hold their property for a median of 12 years.

  To contact Jon call 970-819-6930 or send me an email. I respect your time and will answer your question without a sales pitch. For more of this Steamboat blog click back to the Steamboat Springs blog main page or go to my Steamboat Real Estate page if you want to get a feel for property in Steamboat.

Real Estate Market Update for Steamboat Springs

Living in a resort town like Steamboat I get to meet a lot of interesting people from around the country that are really good at what they do. Some of them are also in real estate like me so it is great to compare notes with them and hear who things are around the country. I'm not calling bottom but I have seen strong signs of the things it takes to have a recovery all over the country from both the national news and agents I trust that really know their markets. Fortunately I am seeing many of the same things here in Steamboat Springs. Steamboat saw the effects of the recession 2-3 years later than the rest of country but seems to be closer to a year or so behind the recovery in many of the markets that our guests and owners come from. Even though we have relatively high levels of inventory there is relatively little room to build significantly more so people are taking this chance to secure their long terms goals and choose from some of the best homes at attractive prices.

We are starting to see more activity here in Steamboat, I have been very busy for about a year helping both buyers and sellers reach their goals and the overall market has started to post volume gains over the last 6 to 8 months. Dollar volume has doubled from year ago levels each of the past 4 months as sellers come closer to market with their list prices. Until about 6 months ago 80 plus % of our listings were priced at the peak levels and sometimes beyond so the few transactions that were happening required significant negotiation to come together. I have been fortunate to be able to help quite a few people find this right values and now the market is coming closer. There are opportunities out there, the key is determining what the pricing should be and reaching a deal that makes sense.

There are many great signs but to very clear I am not yet calling a recovery because there is some distressed property, some excess inventory to be worked through and plenty over overpriced homes. For the next year or two it will be key to understand the market in each segment, neighborhood and even down to the level of what is the situation with each individual property both that you are looking at and ones that are comparable to get the best feel for where pricing is going. Current comps are nice but knowing if there is something coming is very valuable. I have been doing this with good results so call me if you would like to know more about our market or want to see if your goals are within reach.

Speaking of other real estate markets I spent some time with Tania Hosmer from McLean, Virginia last week. McLean, VA is just outside of Washington, DC. She has become a friend over the last few years. Tania is a true professional that has deep market knowledge and really looks out for her client's best interests, two things I personally value. According to Tania's research over half of the market segments in McLean, VA have actually turned into Seller's markets and one is balanced. This is a great insight and the kind of thing that is good to know early before everyone reads it in the paper after it has happened in the market as a whole and prices go up. It was hard for me to believe but Tania has the data to prove it.

To see it for yourself go to Tania's McLean Real Estate blog and her insightful McLean Market Update that breaks down the market by price point and whether that segment is a buyers or sellers market based on sales and current inventory. Click on the link to her chart to see it for yourself. Thanks Tania, I appreciate any chance to learn something and you gave me a few good things.

To contact Jon Wade call 970-819-6930 or send him an email. Jon values your time and will answer your question without a sales pitch. For more of his Steamboat blog click back to the Steamboat Springs blog main page.

March Storm coming to Steamboat this weekend?

Just when we thought Spring conditions were here to stay it appears that we are in the path of a good storm. Substitute your sunglasses for goggles and I'll see you out there. After the pentathlon that is, I am doing 3 of the 5 legs on a team with a friend. Mountain Biking and Skate Skiing should be fun in a storm... but don't get me wrong I never complain about snow.

The Colorado Avalanche Center says: "Expect increasing clouds and mountain snow starting by Thursday evening. A trough of low pressure crosses the state on Friday and winds shift back to northwesterly on Saturday. The Northern and Central Mountains will be favored with this next system, but this looks to be a good snow producer for all mountain locations for the period extending from Thursday night into Saturday night. Northwest flow persists for the remainder of the weekend."

Powderchaser Steve from www.powderchasers.com has issued a powder alert saying "Heavy snow will begin in northern Colorado on Friday with the best shot of a super deep day on Saturday."

For more click back to the Steamboat Springs blog main page.

WSJ: Luxury Real Estate Market is coming back to life

Real Estate volumes in Steamboat have doubled over the last three months that data is available from the previous year and I personally have seen strong buyer interest over about the last year as people look and often act on the chance to secure the perfect home in Steamboat. People still want to spend at least as much time here and want to bring their families together either as they see the last few years with kids at home or want to get as much time as possible with their grandchildren, others just want to get here for the recreation and a healthier lifestyle.

Prices can be 20-40% lower depending on the property and some of the best are available at these prices instead of choosing from slim inventory like was the case in 2007. It's not as easy as just comparing current and previous pricing though since the value in any particular property may still be below even a substantial discount given pricing in 2007 may have been beyond value and it really depends who owns a particular property and it's comps. You really have to know the local landscape in detail but if you do some opportunities will likely reveal themselves.

I am fortunate to have had a busy year already with multiple clients securing luxury properties including my largest single family property transaction to date. It was one of the best properties available quality and location wise and sold for 43% off original list, about $1.5m less than an offer the sellers had previously rejected. Both a large discount and a great value without considering that a lot that would be very hard to sell in this market was included as a trade for a very good price that I wouldn't have been able to get in the open market. As our market consolidates there will be more opportunities for deals like this. I have several in mind and a great set of friends that are actively looking right now. Give me a call at 970-819-6930 if you are curious to know more.

I've included some quotes from the article here: " At long last, the market for luxury real estate is coming back to life. Prices for primary residences, which plunged at least 20% from the peak in 2007, appear to have bottomed. In some of the snappiest locations, scattered bidding wars are breaking out and prices are turning upward.

In Greenwich, Conn., realty brokers say, the final months of 2009 were almost record-setters for sales volume, as two years of pent-up demand was unleashed. Even the megadeal is back. In Beverly Hills, film producer Jeffrey Katzenberg just plunked down $35 million for an 8,700-square-foot home on six acres.

There's nothing like a stabilized economy and a huge rebound in stocks to send folks looking for the perfect manse. Prices are way down–40% off the peak in some locations. Seemingly at or near bottom, they are starting to attract the first wave of bargain hunters–and not just families in need of R&R. Hard-nosed investors also are on the prowl, says Jan Reuter, head of residential real estate at U.S. Trust Bank of America Private Wealth Management: "We've seen an uptick in buying in just the last couple of months."

For more click back to the Steamboat Springs blog main page.