In Rocky Mountain retreats such as Telluride and Aspen, Colo., known for expansive lodge-style estates and celebrity draw, prices have come down about 15% –not as dramatic a dip as either coast because the areas didn’t see a great speculative boom earlier this decade. “We see some spec builders who are offering significant discounts to rid themselves of debt, but it isn’t commonplace,” says T.D. Smith, president of the brokerage Telluride Real Estate. “We have seen an extreme slowdown in sales, however.”
Last minute shoppers, take heart: Plenty of swanky summer digs are yours for the taking. From Carmel, Calif., to Newport, R.I., second homes with yachting docks, tennis courts, golf courses and infinity pools — to say nothing of the obligatory spectacular view — are languishing on the market. Prices are down an average of 20%, and as much as 30%, from their 2007 peak. Cash-strapped sellers, anxious to find buyers by summer, are slashing prices still further and often accepting low-ball offers, according to brokers across the country.
By Karen Hube, May 25, 2009, Barron’s Cover