TELLURIDE MARKET UPDATE
T E L LU R I D E AS S O C I AT I O N O F R E A LTO R S
M A R C H 2 0 1 2 T E L L U R I D E , C O L O R A D O
Telluride Market Holds Steady
Telluride Market Update March 2012 – Click for PDF Print Out
According to data compiled by the Telluride Association of Realtors*, year-end real estate dollar volume totals in the Telluride region (including San Miguel County and other neighboring counties) tallied at $252 million. These figures are consistent with 2011’s overall market performance, which rounded out 31% lower than the $364 million in 2010. Sales numbers, however, were 15% higher in 2011 with 403 total transactions compared to 351 in 2010.
AN UNPREDICTABLE 2011
The global real estate market and overall economy remains greatly impacted from its massive thwarting in 2008. Furthermore, the 2011 calendar was marked by tremendousworld events, including the devastating earthquake in Japan and extreme political events.
NOTABLE 2011 TRANSACTIONS
Even though many luxury markets across the country are still somewhat flat, Telluride’s market was doused with several impressive sales in 2011, indicating that higher end properties are still moving.
In December, a $3 million land parcel sold in Mountain Village, as did a $2.9 million home in Telluride, as well as a $1.4 million and $1.7 million condo in Mountain Village.
November was highlighted by a $3.4 million home sale in Telluride, a $4.75 home sale in Mountain Village, and a $2.9 million condo sale in Mountain Village. October boasted a $3 million condo sale in Telluride, $3.9 million land sale in Montrose, a $2.1 million home sale in Elk Run and $3.2 million home sale in Telluride.
Other significant transactions in 2011 included a $5.5 million home sale in Telluride in September, a $2.7 million condo sale in Telluride in September, three $2+ million home sales in August, two $2.5+ million home sales in June and a $5.2 million home sale in May.
Sales numbers were also higher in 2011, a possible sign that there are “good deals” to be found in the region, particularly with regard to certain (though lessening) foreclosure and short sale properties. As previously mentioned, the 2011 sales numbers totaled 403 for the year, compared to 351 for 2010 (a 15% increase), but 2011 also boasted more activity than 2009 and 2008 where transactions numbers those years.totaled 281 and 283, respectively, for
ACTIVITY AND AVERAGE PRICES BY PROPERTY TYPEAs far as activity by property type, singlefamily homes were strongest in terms of dollar volume in 2011 with $123 million total. Condos totaled $89 million in dollar volume and land sales were at $32 million. As for sales numbers, condos were highest with 132 transactions, single-family residential homes were next with 129 transactions and land sales totaled 74. Although homes sales were much higher in 2011 ($231 million**), both condominium sales and land sales were lower in 2010 than in 2011 ($84 million and $28 million, respectively).
Average prices for the three main property types at the close of 2011 were $953,000
So as the Telluride market, like other markets, perseveres and slowly regains strength, is it returning to a less inflated “norm”? According to Aspen broker Tim Estin, who compiles theEstin Report , “In general, market prices have reset to a post-crisis level, off on average 25 40%, and in some individual cases more, from the 2008 market peak. But much depends on the property, unique circumstances and seller motivation. Prices remain under pressure, at least incrementally, even assuming they have been re-adjusted to the ‘new norm.’ It still remains unclear the extent to which we have in fact reached a bottoming of prices. The big question everyone asks is … ‘are we still falling or are we scraping along a bottom?'”
In the Telluride region, TAR President-Elect, Stewart Seeligson, commented on the market’s activity. “In our area, different segments are recovering at different paces. For example, the Mountain Village home segment seems to be firming along with the Telluride luxury home and luxury condo segments. The Mountain Village condo segment and the vacant land segments appear to require more time to recover. But, overall, the data suggests that the worst impacts of the recession are behind us.”
*Data compiled by TAR is deemed accurate, but not guaranteed.
**The $231 million total for single-family residential home sales in 2010 included a $47.5 million home sale in April 2010; without that sale, the 2010 total is $184 million.
***The $1.5 million average price for singlefamily residential homes in 2010 was calculated after removing a $47.5 million sale in April. Including this sale drastically skewed the results to $1.9 million.