July 2023 Ernemann Report

ASPEN ANALYTICS

Real estate market observations:

I always like to take stock of the local real estate market this time of year, summer is far enough along to get a sense of how the “sales season” is shaping up. In short, the overall Roaring Fork Valley real estate market has continued to show three primary trends (and of course, there are hyper-local exceptions to all of these observations): 

  1. Overall transaction activity continues to trail the pace set in 2022 (and 2022 trailed 2021)

  2. Listing inventory is on the rise

  3. Prices have held and/or continued to increase across just about every location, property type and price point (although the pace of price increases has slowed)

I believe it’s super important to understand the dynamic of the three stats above, particularly because most potential buyers will intuitively know that when demand drops and supply increases it typically leads to pricing weakness. I’m sure many of you have heard that prospective buyers are waiting for “the crash” or that they’ll just sit tight until prices drop. It’s certainly possible that part or all of our market area experiences a price correction in the future…but think about how many people decided a year ago they would outsmart the market when inventory was rising and sales had slowed from the torrid pace in 2020/21…those who sat on the sidelines have seen prices continue to increase. Don’t try to “beat the market”, collect thoughtful and meaningful information and make informed decisions (that’s why you need a trusted advisor!).