| Remote Working Changes the Real Estate World.
As the holidays approach and COVID-19 continues to ravage the country, I thought some diversion appropriate. Colorado’s snowpack to date is 82% of average with 14 out of 31 lifts on Vail Mountain open and 53 of the 195 trails accessible. Despite these less than robust numbers, my on-mountain experiences have been better than expected based on coverage, terrain, and overall snow quality conditions. Vail Resorts is to be commended for installing a $20M snow making system during the summer of 2019, which opened up Mid-Vail for the first time connecting to Lionshead via miles of moderate speed catwalks with lots of skiing along the way. While it will take a couple of feet to get all of our 5200 acres up and running, one storm can make the difference in getting more of the good times rolling along with Beaver Creek’s 1700 acres which is only 15 minutes away.
While there have been a few bumps along the way due to above average temperatures and Vail Resorts’ new reservation system (which is getting better), I have been generally surprised by the fun factor in what looks like a winter wonderland at higher elevations. Most of the front side terrain and Game Creek Bowl are now open with exception of Chairs 11 (Northwoods) and 10 (Highline) with groomed slopes that are perfect for high-speed cruising and some moguls for the more adventurous at heart. There is snow in the forecast so don’t worry if you are coming for the holidays! My meditative message to Mother Nature is GIDDY UP!
As a community there has been a great deal of concern about the guest experience given the pandemic with activities and celebrations added for your vacationing enjoyment; visit www.DiscoverVail.com for more information. COVID-19 protocols are in place to ensure the safety of your family and friends both on and off the slopes. Masks in the ski villages are required, indoor dining has been reduced to 25% capacity, face coverings required while in line or strolling around town. Restaurants, bars and music venues are suffering but still open with limited capacity which is inconvenient but appropriate for these very difficult times. You can have fun outdoors in our Rocky Mountain playground. Perhaps try experiencing it in a slightly different way. There is much more to Vail and Beaver Creek than just skiing so get creative and try something new like snowshoeing. We’re here to help with ideas. We’ve lived here long enough to know the myriad ways of having fun in our beautiful Vail Valley.
As to the real estate market 430 families have purchased more than $1.2 billion dollars of ski proximate properties since May, at an average selling price of $2.7M. This unexpected buyer demand stripped away most of the inventory with very little left that is truly worth buying. An extensive search of the neighborhoods we track produced only 11 active listings in the Beaver Creek ski village priced $1M-$3M three bedrooms or larger with 50 homes selling over the past 12 months, which means every single listing currently on the market could be sold five times over. East to West Vail has only 18 properties available as compared to 88 prior 12 month solds of which only 24 traded for less than $2m with roughly the same supply vs. demand ratio.
Vail Valley real estate is going to get more expensive in the years ahead which means NOW IS THE TIME to prioritize this issue before the next surge in buyer demand arrives which we believe will be next summer. If you talk to us now we’ll be able to do effective pre-planning work with you so when you are ready to buy and the inventory selection becomes stronger then you will be in a very advantageous position. And if you’re looking to sell, then our unique buyer brokerage skills will definitely help you on the sell side too.
With the economy improving as additional government stimulus comes online and a full vaccination plan implementation several months away, Vail & Beaver Creek are the right places, at the right time, with the right outdoor environment for lifestyle enhancement and financial performance. BURST PRICING of 10%-20% is likely to happen in 2021 which means TIME IS OF THE ESSENCE to plan and hopefully be ready in advance of that potential increase or burst pricing phenomenon.
Real estate is on fire across the country fueled by household creation, pent up demand, and decreases in mortgage interest rates lowering the cost of ownership by about 25%. Vail is benefiting from this FED policy phenomena but with the more important story being the unbridled acceptance of remote working which is going to change destination resort real estate in profound ways, making our already expensive jewel of the Rockies that much more unaffordable. Lifestyle enhancement, portfolio diversification and time with family and friends are the drivers. Give us a call for more information because paradigm shifts cannot be explained in short narratives where information is crucial to making smart decisions.
Best regards from high up in the Rockies and hope you will come to the Vail Valley during ski season where the suns shines, the snow falls, and memories that will last a lifetime wait to be discovered.
Give us a call at 970-476-8850 or schedule an in-person meeting on our calendar and put our claim of expertise to the test. Let us help you determine what to buy. There is no obligation and, even if we’re not the right fit for you, we promise it will be time well spent.
Connie and Greg Strahan
27 Years in the Vail Valley. One Billion Dollars Completed Transactions.
Hundreds of Happy Families. |
