June sales figures are in, completing what was a terrific first half of the year. June's numbers reflected the highest monthly totals of the year, with over $332 million in county-wide sales volume, and 286 transactions. Total dollar volume now sits at over $1.56 billion in sales, up 25% over a year ago. If sales velocity continues at the current trend, we will establish a new record by year's end.
Large transactions setting the pace
The luxury niche continues to be the driving force in our market. Several significant transactions closed in the past few weeks, as you can see below.
95 Forest Road / Vail Single Family / $12,000,000 / $2,013 sf
4246 Columbine / East Vail Single Family / $7,525,000 / $897 sf
173 Strawberry Park Court / Beaver Creek Single Family / $13,500,000 / $1,352 sf
60 Village Walk / Beaver Creek Duplex / $5,995,000 / $1,144 sf
46 Village Walk / Beaver Creek Duplex / $6,395,000 / $1,220 sf
86 Village Walk / Beaver Creek Duplex / $4,995,000 / $1,136 sf
Ritz-Carlton #907 - Bachelor Gulch Condominium - $4,000,000 / $1,807 sf
Several other significant properties were placed under contract over June and July, highlighted by the following.
621 Forest Place / Vail Lionshead Single Family / $14,900,000 / $1,345 sf
333 Beaver Dam Road / Vail Single Family / $9,850,000 / $2,126 sf
Manor Vail #454 / Vail Condominium / $8,600,000 / $2,556 sf
2300 Cresta / Arrowhead Single Family / $9,500,000 / $950 sf
Year-to-date, 321 properties listed at $1 million and greater have been sold county-wide, as compared with 258 properties a year ago. Our average transaction year-to-date is just under $1.1 million.
What does this mean to you, the buyer?
In spite of the terrific year-to-date sales figures, our market is not in the midst of a huge run-up that will result in a crash. Rather, I see us in a period of long term, sustainable growth, interspersed with "breathing periods" of adjusting to new prices and fluctuating inventory levels. Current sales and pricing trends are reflective of a quality product (i.e., the Vail Valley), limited supply, and strong demand from a deep wellspring of saavy buyers.
While property is certainly moving, there remains a solid inventory from which to choose in many segments of the market. This is particularly true of the high end, single family / duplex market, where many unique and very special properties are currently available. Many of these are absolute, one-of-a-kind homes, whether due to an irreplaceable location, unparalleled quality and design, or all of the above.
If you have had your eye on a particular property, now is the time to act. Buyers will be here in force through mid-September, and they are here to make final purchase decisions. On the other hand, if you are willing to gamble, you might be advised to hold off until late September to bring in your offer.
Sellers of properties which have not gone under contract over the summer/early fall frequently become "antsy" at this point of the season, knowing that it will be another three months before buyers will be back in town. I have found this to be an effective time to negotiate more aggressively on property, taking advantage of this lull in seller psychology.
I only advise this strategy, however, if you are truly willing to gamble that the property you like will still be available at the end of the season. If losing it to another buyer will cause undue pain, then go ahead and take a run at it. Long term, you will be glad that you did, as there is no better place (in my admittedly-biased opinion!) to own real estate, and enjoy all that the Vail Valley has to offer!
Thank you for your interest, and for this opportunity to be of service.
