Contrary to higher activity levels in other parts of the country where prices are surging and buying is strong, this is not the case in Vail. Luxury second home buyers in Vail are not stepping up. Reasons? Buyers are still expecting good deals but homeowners either expect higher prices now or they’re waiting for indicators of rising prices before listing their properties. The consequence is that sellers are either pricing themselves too high and/or not willing to concede to the market reality of lower prices. That’s not to say luxury home sales have stalled: homes priced right will sell but there are just not enough of them. There is interest in new construction homes, and there is a lot of local buying at the lower end in down-valley Vail as much of the distressed property inventory and homes selling at less than replacement cost gets thinned out and buyers realize the “bottom” may have already left the station..
Link to article By Kim Marquis June 18, 2013, Vail Daily
[Editor’s note: Much of this pattern is being replicated in the Aspen market as well: the lower end market is strong, average-to-high end activity above $5M is weak.The Estin Report: 1st Half/2nd Quarter 2013 State of the Aspen Market will be released soon.]
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