Agents say price reductions usually required to spur sales from Basalt to Carbondale…There used to be three types of buyers in the midvalley: end users, who were buying a home where they could live; investors, who banked on appreciation; and landlords, who relied on rental income or were buying a place to rent to employees. The investors and landlords have disappeared. Many end users are experiencing trouble securing financing because banks have tightened lending rules..
BASALT and CARBONDALE REAL ESTATE — While parts of the Aspen real estate market show signs of recovery, it doesn’t appear midvalley residential prices have bottomed out, according to real estate agents.The listing prices of homes on the market between Basalt and Carbondale are still being consistently reduced to try to spur sales, said Cally Shadowshot, president of the Aspen Board of Realtors and an associate broker with Aspen Associates Realty Group.“We see so many of those every day,” she said of the reductions.It’s clear the market won’t be stabilized until the reductions disappear.That might be a while simply because of the vast amount of inventory. There are 196 active residential listings in the Basalt and El Jebel area, according to the Aspen Board of Realtors Multiple Listing Service (MLS). There have been 65 sales so far this year. At that pace, the existing inventory would last about three years.
By Scott Condon, Dec. 6, 2010, Aspen Times