Thanksgiving has come and gone, but our household is embracing an attitude of gratitude! With Vail Mountain opening on the 10th and Beaver Creek Mountain following suit this week, the winter season is off to a thrilling start. A recent visit to Vail Village revealed a vibrant atmosphere, bustling with activity. If this early buzz is any indication, we can expect a winter filled with excitement and adventure.
In the realm of real estate, an article published on The Economic Times has sparked conversations across the industry. While we delve into the details below for those interested, let’s take a moment to explore some intriguing numbers from the Vail Valley.
Currently Under Contract Days On Market
$1M – $3M | AVG. DOM
- Arrowhead (27)
- Bachelor Gulch (0)
- Beaver Creek (52)
- Singletree (27)
- Vail Village / Lionshead (71)
$3M+ | AVG. DOM
- Arrowhead (0)
- Bachelor Gulch (79)
- Beaver Creek (120)
- Singletree (23)
- Vail Village / Lionshead (93)
Sold Since 9/1/23 Days On Market
$1M – $3M | AVG. DOM
- Arrowhead (16)
- Bachelor Gulch (5)
- Beaver Creek (77)
- Singletree (56)
- Vail Village / Lionshead (55)
$3M+ | AVG. DOM
- Arrowhead (40)
- Bachelor Gulch (25)
- Beaver Creek (52)
- Singletree (14)
- Vail Village / Lionshead (127)
In the areas listed above, there have been 77 residential properties closed since 9/1/23 ranging from $750K to $15.995M with an average of 56 days on market. Currently, there are 23 properties under contract ranging from $759K to $10.65M with an average of 60 days on the market. This data not only highlights the relatively low days on the market across various price points and neighborhoods, but also emphasizes the unique nature of the Vail Valley market, where even different streets within the same area can offer distinct opportunities.
With limited inventory and a growing pool of eager buyers patiently awaiting favorable interest rates, we anticipate a flurry of activity in the coming year. Make sure to stay tuned to our newsletter each month for the latest analysis and exclusive opportunities that lie ahead.
Hoping you had a joyful Thanksgiving and wishing you a prosperous winter season filled with unforgettable experiences.
Colorado Gives Day
Eagle County, Colorado
Each year, more than 50 nonprofit organizations in the Eagle River Valley come together in collaboration for Colorado Gives Day through the community organization, Eagle County Gives. Founded in 2010, Eagle County Gives is a coalition of 56 Vail Valley nonprofits dedicated to strengthening the collaboration, fundraising capacity and awareness of the nonprofit sector that enhances the quality of life in Eagle County. LEARN MORE
Spa Deals In The Vail Valley
Before the holidays ramp up, take advantage of the deals happening at area spas. Discounts on massages, facials and more can be found either on the spa’s website or via Groupon or Travelzoo. Many spas allow you to use amenities like fitness centers, hot tubs, saunas, steam rooms and lounged on the day of your treatment. But hurry, the deals wont last. Here’s a partial list of spa deals in the Vail Valley. CONTINUE READING
Premier Lot With Sweeping Mountain & Golf Course Views!
119 Sawmill Circle
EAGLE RANCH, COLORADO
Offered For $1,995,000
4 Beds | 3 Baths | 4,565 SF
119Sawmill.com
NEW ANNOUNCEMENT: Frost Creek Golf Membership price will be increasing December 15th from $100k to $130k. Purchase this home NOW and lock in the membership before the increase!
86 Hunters View Lane
EAGLE, COLORADO
$1,975,000
3 Beds + Loft | 2.5 Baths | 2,607 SF
86HuntersView.com
This article below has the real estate industry abuzz this week because it’s predictions are what both our buyers and sellers want to hear.
ARTICLE SYNOPSIS
The central bank will start cutting rates in June 2024, then again in September and every meeting from the fourth quarter onward, each in 25-basis point increments, Morgan Stanley researchers led by chief US economist Ellen Zentner said in their 2024 outlook on Sunday.
At a recent leadership team meeting, our CFO at LIV Sotheby’s made some key points that I think are important to keep in mind as we read the news:
- Inflation is currently at 3.2% (compared to the recent peak of 11%)
- GDP – Currently 4.9% and growing
- Stats show there is about 1-2 year(s) of pent up inventory. This combined with potential rate decreases will be a catalyst for both Buyers and Sellers in the near future.
- As the Baby Boomer generation begins to age further, the transfer of wealth within families will become a bigger factor in the next few years.
A Lender’s Perspective
Projections for the 2024 US economy vary significantly among major financial institutions’s economists. Jan Hatzius with Goldman Sachs projects that Fed rate cuts commencing as we approach summer 2024, combined with ongoing robust employment, will result in 2% GDP growth avoiding a recession.
Contrarily, Thomas Koenig, former president of the Kansas City Fed, along with analysts from TD Services, Wells Fargo, Morgan Stanley, and Bank of America, foresee the advent of a mild recession.
I anticipate a mild recession due to (1) the ongoing impact of the Fed’s monetary policy on consumers and those institutions heavily dependent on debt, (2) prolonged higher interest rates, (3) a delicate economy worsened by fiscal irresponsibility, and (4) an impactful rise in unemployment. I believe unemployment will scale up to 4.6%.
Historically, rising unemployment has preceded recessions. Despite these concerns, it’s important to note that home values have increased during recessions (with the exception of the financial crisis). With strong buyer demand, a vibrant spring is anticipated in 2024.
Projections for residential mortgage rates by the end of 2024 are divided. Morgan Stanley predicts an average rate of 6.35%, Fannie Mae 6.82%, Freddie Mac 6.15%, and the Mortgage Bankers Association 6.1%, with a consensus leaning towards decreasing rates.
If you have run up credit card, and other consumer debt, as is the case for the majority of Americans currently, please feel free to reach out to me to discuss options for tackling your debt and minimizing your non-deductible interest expense.
JOHN PALMER | STRATEGIC HOME LOANS
