Vail Valley Real Estate Showing Positive Signs for Uptick

It's no mystery that the real estate market, both locally and nationally, has faced challenges over the past year. Local real estate expertise, whether it's in Colorado's mountain resorts or along the Front Range, is considered to be even more important during times of market fluctuations. In the case of Eagle County and the Vail Valley, Michael Slevin, president of Berkshire Hathaway HomeServices Colorado Properties, with 12 offices in 10 mountain resort communities, says this expertise and guidance for buyers and sellers have allowed Eagle County and the Vail Valley to continue to outperform other markets in many ways, including continued high buyer demand and price strength.

Although numbers softened in 2023 compared to 2022 (and previous years), with unit sales down 21%, and dollar volume declining by 12%, prices continue to rise in many neighborhoods due to the strong buyer demand and lower than average inventory. The good news is that available homes for sale in Eagle County are more than double what they were at the start of 2023.

With interest rates beginning to shift down, Slevin expects more properties to become available as Eagle County and the Vail Valley enter the traditional spring and summer buying and selling seasons. That timing, along with declining interest rates, is anticipated to stimulate more listings and active buyers who may feel more comfortable moving from their current property (and interest rate) into a new home that better suits their current lifestyle.

In the event you are a buyer or seller considering a move, following is some inside knowledge and tips from local brokers on how best to leverage opportunities for you in Eagle County's luxury and down valley markets.

Luxury/Resort Market

According to Mark Weinreich, broker associate with Berkshire Hathaway HomeServices Colorado Properties, the luxury/resort market, including Vail, Beaver Creek, Arrowhead, and Cordillera, is still experiencing mostly cash deals. “Some buyers are getting loans if it makes more sense. Borrowing in the six percent range is still a good rate if it means they can keep their cash working.”

Weinreich’s advice for buyers is that they be ready to act. “Well maintained and updated properties can still disappear in a day,” said Weinreich. “Yes, there is uncertainty in the world, but for every buyer who feels it’s not a good time to buy, there is another buyer out there who had been sitting on the side lines waiting for the market to correct itself and is now ready to buy. Based on historical trends and what we have experienced post-Covid, there is not likely to be any big swing north or south. Buyers who waited are paying more now but are also enjoying the enviable mountain lifestyle and memories they are now creating.”

For sellers, Weinreich notes that turnkey and updated homes that are priced to market value are the quickest to sell. “The more current the home, and move-in ready, the more well received it will be at any price point,” said Weinreich. “For older properties, updating with new paint and carpet/flooring, decluttering, and staging can give a fresh look without overspending. Good properties can still receive multiple offers as long as they are perceived by buyers to be a good value.”

Down Valley

The anticipation of lower interest rates as we head into spring and summer could be the impetus for increased activity among local buyers, who dominate the down valley markets of Eagle and Gypsum. “If a buyer is seeking financing, now is the time to get pre-approvals in place,” said Laurie Slaughter, managing broker for Berkshire Hathaway HomeServices Colorado Properties’ Gypsum office. “The anticipated drop-in interest rates could also spark more buyer activity – and competition – so being prepared and ready to make an offer when the right property comes to market is imperative,” added Slaughter.

Slaughter also notes that for locals and first-time buyers, the Eagle County and the Home Store are accepting applications for their 43 deed restricted condominiums in the Haymeadow development in Eagle, as well as offering a number of down-payment assistance programs. More information can be found on the Eagle County website at www.housingeaglecounty.com/boldhousingmoves. Slaughter also advises talking to a local lender who is familiar with the different programs and how to qualify.

For sellers, Slaughter notes that many local homeowners who have been waiting to sell may have a bigger buyer pool in 2024 once mortgage interest rates lower. “This could be the year to downsize because of a life change or get into a larger home that can accommodate a growing or extended family and/or guests,” said Slaughter. As with the luxury/resort market, the deciding factors for a home that sells quickly or one that sits on the market lie with the homes condition, being move-in ready, and pricing it at fair market value.