A friend from the Bay Area recently visited Colorado for the first time. He was, of course, taken by the natural beauty and the healthy lifestyle, but was breathless about the real estate. Why didn't anyone tell me real estate was so affordable in Colorado? My brothers house is 1000 square feet larger than mine and cost 30% of what I paid! His perception of our market came down to not just to home sale pricing, but our low taxes and lifestyle. This is of course, coming from one of the most expensive markets in the world, but is a great glimpse into the mindset of our out of state buyers.
The average sales price of a single family home in Breckenridge through the end of September, 2018 was $1,347,303.00 or $422.04 a square foot. The average sales price for a condo in Breckenridge was $557,625; $645.44 a square foot. For greater Summit County, the average sales price of a single family was $1,206,867.00, $395.63 a square foot. Condos in Summit averaged $481,889.00 or $536.70 a square foot. We are still seeing sales happen fast, close to and even above asking price. The vast majority of the out of state buyers are from Texas. Not California. Texans out purchased Californians by almost 4:1.
I'm also hearing anecdotal whispers of 0% down and stated income loans becoming available again.
So, say you are looking at real estate in Summit County, and you are up against multiple buyers from various locations who recognize the value and have access to easy money. The worry becomes that you could pay too much, and no one likes to leave money on the table. Though if we look at the real estate market over the long arc, there are crests and valleys in the short term, but serious gains over the long haul. And you can live in it. And rent it. And a ski house is a lot more fun than a mutual fund. But I digress. Best practices? Work with a Realtor you trust, with a deep understanding of the market. Have your trusted lender selected, with your financing in order. Have your list of must haves and like to haves and stick to it, but be ready to swerve if something amazing comes along- and here is another place a Realtor is a trusted and valuable partner. He or she can help balance your emotional response to a home with solid market information to help you make smart investment decisions.
At Breckenridge Associates Real Estate, each of our Partners/Brokers are experts in our market and negotiating the best result for you and your family. Please feel free to call any one of us today to discuss market trends or any other questions you may have. We live for this.