By Lawrence “Skip” Moss
25 February 2014
The cover of the Vail Daily today. One of several recent articles adding to a growing number of data points and anecdotal information suggesting the market has stabilized broadly and is poised to grow. It is in our opinion the market, commercial and residential is positioned to grow steadily in appreciation while the number of monthly and annual transactions to remain steady at the current pace. Why? For one, the surge in sales transactions from the upper to lower valley has turned over inventory to new 2nd homeowners, primary homeowners and investors. With holding periods likely 2 to 3 years, these properties will not cycle back to listed status until after 2015, the year of the World Alpine Ski Championship. Those in communities where short and long-term rentals are possible (Eagle-Vail for example) are wise to capitalize on the pending strong demand that will be created by such a world class event. Secondly, properties sold in the last 3 years are not likely to have built a lot of equity unless they were purchased substantially below fair market value and repairs were limited in scope and expense. Within two to three years, these properties will, in fact, add additional equity and come to market. Lastly, we believe the growing Front Range and net gain in Colorado’s population will continue to fuel strong, steady demand. One does not have to look further than the incredible in and outflow of daily weekend visitors during ski and off season willing to endure hours of bumper to bumper traffic sometimes backed up all the way to the Eisenhower Tunnel Interstate 70.
Interested in testing the market with the potential sale of your residence or commercial property? Contact EagleVail Realty & Management for more than two decades of local knowledge and expertise in real estate sales and management services.