A Surge in Real Estate Listings in Colorado’s Mountain Towns
As of late August 2024, real estate markets in several mountain towns across Western Colorado are witnessing a significant increase in housing inventory. Popular online property platforms like Zillow and Redfin have seen a rise in listings, prompting questions about whether there will be sufficient buyer interest.
Dana Cottrell, a Realtor from Summit Resort Group and current president of the Colorado Association of Realtors, remarked, “The number of homes currently on the market has noticeably surged compared to previous years.” She emphasized that this trend isn’t confined to Summit County alone, but appears to be a regional phenomenon.
Longer Market Durations for Homes
With this influx of homes, many properties are staying on the market longer as potential buyers take their time to consider their options. Although the Western Slope has yet to officially reach a buyer’s market, Cottrell noted, “The days on the market are extending, with more sellers offering concessions and reducing prices.”
Market Trends Towards Pre-COVID Levels
The season typically marks a peak for listings due to the end of the ski season followed by summer tourism. However, the current surge might signal a shift towards a pre-COVID market dynamic. Cottrell pointed out, “In May of this year, Summit County had 1,119 active residential listings, which is about 68% higher than the same time last year.”
| Location | Active Listings (May 2024) | Active Listings (May 2023) |
|---|---|---|
| Summit County | 1,119 | 763 |
| Routt County | 381 | 270 |
Sellers’ Motivations and Changes in Buyer Interest
The rise in sellers correlates with various motivations. Some homeowners who purchased during the pandemic are now opting to sell, feeling less inclined to remain in resort towns. Others aim to move closer to family or seek smaller homes within the same area, noted Jon Wade from The Steamboat Group. “Many of my sellers want to spend more time with their grandchildren,” he added.
Buyers Hesitate Amid Market Changes
Despite the increase in listings, buyer activity has not matched this growth. According to Cottrell, the number of sold properties in Summit and Lake counties has declined year-over-year, and homes are now taking longer to sell than previously. “Some new listings are seeing price reductions as sellers respond to the lack of buyers,” she stated.
Luxury Home Market Outperforms
Interestingly, while the broader market trends downward, the luxury segment remains robust. Cottrell highlighted that high-end sales in Summit County have surged by 76% within a year, asserting, “Half of all May closings were $1 million or more, and a substantial portion were cash transactions.”
As summer progresses, the real estate landscape in these mountain towns will be closely monitored. Should buyer interest increase post-holidays, the trends could shift back in favor of sellers. For now, market dynamics remain intricate and evolving.
