How's The Real Estate Market?
As a real estate advisor, this recurring question has complex answers. Especially in Steamboat Springs where our real estate vaires from small vacation condos to multi-million dollar homes. So the "how's the market" question really depends on the property in question.
The national media sources like S&P/ Case-Shiller Home Price indices reports that average home prices are up 12.4% over the last year. While this is true, not every property in Steamboat Springs went up in value over the last year. Some properties saw 20+% gain in value, while other properties saw less appraciation. So much of this depends on the location, size, condition and type.
For real estate value to increase, there needs to be a greater demand than supply, generally speaking. But here's where it gets confusing. Here is a breakdown on the average time it takes to sell a specific property:
Single Family Home
-Average time on market = 8 months
-Priced under $500K = 6 months
-Priced over $1M= 12.3 months
So it's a Seller's Market for homes under $500K and a Buyer's Marker for homes over $1M. Thus, the market's great if you're selling a home priced under $500K but not great if you're selling a home priced over $1M.
-Average time on market = 6.5 months
-Priced under $500K = 2.4 months
-Priced over $1M = 21 months
So it's a Seller's Market if priced under $500K and a Buyer's Market if priced over $1M. Again, great if you're a seller of a more affordable townhome but if it's valued over a million the market is still recovering.
-Average time on market = 10.3 months
-Priced under $500K = 9.6 months
-Priced over $1M = 9.2 months
So it's Buyer's Market for condos priced under $500K and a Buyer's Market for condos over $1M. If you fall in the range betweeb $500K and $1M, it might take 24 months to sell.
So how's the real estate market? That answer can vary dramatically. Now more than ever, it's important to contact your Sotheby's Real Estate Advisor to get an accurate answer to that question.
Orginally written by: Charlie Dresen