Ask a Broker: Is the real estate market really slowing down? | Business
The Roaring Fork Valley seems to always be in demand — and that is still true, even with the uncertainty in today’s market.
The roaring ’20s, meaning 2020 and 2021, saw the biggest demand in housing our nation has ever experienced. Our neighborhoods were in even more demand than many across the globe. Buyers were knocking down the door to unearth unlisted homes to scoop up. Now that we’ve seen a waning of the economy, the highest inflation in 40 years and dramatically increased interest rates, surely our market is down.
Well, not so fast.
According to Realtor.com, Sept. 25 to Oct. 1 is the best time to buy property nationwide. An ideal combination of housing market conditions gives buyers the upper hand, including lower prices, more inventory, reduced competition and more time to make decisions.
While inventory is up with 30 homes listed from $20 million-$100 million, demand is alive and well in Aspen. As of Sept. 21, nine of those listings are under contract. The highest-priced home under contract is listed for $39.5 million. Two Red Mountain listings are most remarkable. In the past week, a $32 million listing went under contract in one day. Another went under contract in two days with a list price of $37.5 million. The highest price per square foot is an eye-popping $9,652.91
Buyers are here. There seems to be a rush to buy before interest rates go up even more. Even though most high-end properties are purchased for cash, high-net-worth buyers are certainly aware of the inflationary impact on the value of cash. Better to invest in a tangible asset that can generate family memories and experiences than watching cash erode at an annual rate year-to-date of 8.2% due to soaring inflation. Buying power is diminishing by the day whether you are buying lemons, paper towels or residences. Inventory has increased slightly, but then, wham, turnkey homes in desirable locations have been absorbed within a few days or weeks.
With listings increasing across all price points, and prices slightly receding, buyers now have more options. Even so, demand is still very strong. We currently have 251 homes listed from $1-10 million in the entire Aspen Glenwood Springs MLS for single family homes. Of those, 65 are under contract and 58 are listed for between $1-5 million.
If your budget is $1 million and up, and you are searching for a place to create memories for your family, our valley seems to be at the top of the most desirable list.
Despite grumblings on the street, now is the best time to invest in our valley, no matter your price point. The cost of living and inflation continues to soar, but where else will you find a place to park your cash that delivers life like Aspen and the Roaring Fork Valley? There’s no place like this home.
Ann Abernethy is a broker associate with Slifer Smith & Frampton. Join Ann at InsideAspen.com for a look at her podcast: “Beyond BadAss: How fierce women get it done!”
