TELLURIDE – Reaching six-year highs in both the number of sales and the dollar volume of those sales, buyers have returned to the Telluride area real estate market, which has been described nothing less than hot during the first seven months of 2014.
From January through July in all of San Miguel County, according to a report by Telluride Consulting, a total of 260 single-family home and condo sales marked 29 percent increase from the 207 sales during that same period of time in 2013. The dollar volume of the 268 sales this year reached $227.9 million, equaling a 58 percent increase over the $144.5 million in 2013.
Both the number and the dollar volume of sales in the first seven months of 2014 are at six-year highs.
“The numbers are really impressive,” Telluride Consulting’s Judi Kiernan said. “Momentum breeds momentum. When people see things are selling, they become motivated to buy. I think the market is in for a nice curve upward.”
This year, according to Kiernan, homes and condos within the town of Telluride have been the most wanted commodity in the region with a total of 101 sales worth approximately $109.7 million. Mountain Village has seen 95 sales worth nearly $72.7 million.
“Homes in Telluride are selling fast,” she said. “Homes in Mountain Village are still a little slow.”
As Telluride Sotheby’s International Realty broker Lars Carlson explained, since the bumpy rebound from the real estate market crash in 2008, buyers have changed their focus from large spacious houses in Mountain Village with grand views to smaller, in-town properties that are close to the town’s action.
“It’s unbelievable how strong the town market is,” Carlson said. “Since 2008, in some ways, people’s wants, needs and desires have completely changed. More and more people want to be in town and have the ability to walk everywhere – to grab a cup of coffee or dinner without getting into a car. Before everyone seemed to want more space and big views. Now, all of a sudden, people want to walk and not get into a car.”
But that doesn’t mean that sales in Mountain Village are stagnant. Both Carlson and Telluride Sotheby’s International Realty broker Michael Ward believe that as the Telluride market’s inventory declines, buyer interest will shift to Mountain Village or other mesa properties in San Miguel County.
“Mountain Village is just starting to come into its own again,” Ward said. “Everything has been picked through in town and I think people are moving toward Mountain Village again.”
Telluride Properties broker/owner Polly Leach-Lychee echoed Ward. “I like seeing the absorption, which is really what we needed to see happen,” Leach-Lychee said. “In the Town of Telluride, we are starting to get a lack of product which is going to cause prices to go up. Some of that absorption is going to move into Mountain Village next where there is a lot of opportunity.”
The increased sales and dollar volume of those sales in the Telluride region is not the only positive news as the busy summer season continues. San Miguel County Treasurer Janice Stout reported that foreclosures are significantly down as well. Through the first seven months of this year, there were a total of 16 foreclosures in San Miguel County, down 41 percent from the 27 foreclosures during the same time period in 2013. In 2012, 62 foreclosures were reported.
All in all, Ward said he’s noticed the town has been very busy this summer and that buyers are ready to buy before the prices begin to climb.
“The place has just been packed. I like seeing the businesses making money. Everybody is on a happy tune right now, and I am seeing it pick up all over,” Ward said.
“A lot of the sellers have been waiting for quite a while for this and they are happy its here,” Leach-Lychee said. “The bottom line here is that any buyer who is on the fence needs to jump off the fence and get into the market quickly.”
“It’s great,” Carlson said. “The market is back, and very much now, the problem is inventory.”
Telluride Consulting for Sale
Telluride Consulting has been tracking real estate sales in the Telluride Region for 30 years and has compiled a database of 17,000 detailed and accurate records.
Owner Judi Kiernan announced last week Telluride Consulting is now for sale.
The data researched and compiled by Telluride Consulting, according to Kiernan, cannot be recreated, and offer the prospective buyer or potential seller, appraiser, lender, investor, or researcher an invaluable tool for assessing the Telluride market.
“This is not only a good time to sell this business, but a good time to buy this business,” Kiernan said. “There are so many possibilities in expanding the services it offers.”
For more information, email firstname.lastname@example.org.