What you need to know about today's real estate market

Market News and Observations – Telluride, CO

Recent Activity

The first half of 2009 reflected the slow pace and reluctance in the market in Telluride, similar to other luxury real estate markets around the country. 

Telluride will always remain one of the most resilient markets in the country due to our location, our high quality of product and resort amenities, our listing on the National Historic Registry and our size.  Our growth is limited to maintain a charm and an entry to a defined, intimate, location that has been zoned, platted and protects values as our low inventory of available product will be reduced in the seasons ahead.

Defining value of listed properties for Buyers and Sellers has been one of the more difficult exercises in a time when transactions are scarce.  It is a time to engage a partner, advisor with intimate knowledge of the economics of the market locally, nationally and globally, to assist with your decision making.

I have seen the true realization of reduced pricing across the market from sophisticated investors that understand the current conditions as Sellers.  Buyers entering the market also understand the nature of this location and where value is found in the various market segments for the long term.

It is not just a time to pick the “low hanging fruit” of distressed properties or “need to sell” product.  While that exists in our market and has been the first to sell this year, there have been real and serious reductions to levels that should be attractive to those interested in adding real property to their portfolio, that may be enjoyed by your family, rented for cash flow and held for long term performance.

Investments can be made at all levels in our market.  Telluride has long been a resort destination where families have invested in a diverse selection of product.  Some of our nations most savvy and sophisticated business leaders are invested in this market for many reasons.  

Distinguishing features of the Telluride Market

• Telluride is listed on the National Historic Register. 1 of only 3 towns in Colorado listed.  The Towns Historic and Architectural Review Committee take great care to protect the designation.
• The Telluride area including Mountain Village and surrounding neighborhoods are only zoned and platted for close to 10,000 units.  We know what the area will look like in 30 years. Developed where designated and very little or no growth in the outlying mesas.
• Mountain Village Design Guidelines - Quality and a strict land use guide development in the Mountain Village.
• The Gondola - A transportation system that is one of a kind in North America
• The Airport - Recently renovated to accommodate larger aircraft and improved commercial service just 5 minutes to Telluride. Exceptional GA services.

These are a few of the reasons why your real estate investment is so well protected.  When we preserved the Valley Floor as open space, we eliminated any plans for new development that could have saturated the market with inventory and kept prices and values down.  Understand the protective nature of the community and know that there are true limits to entry and property values that are some of the most well protected in the country.

Selection is excellent

With more available properties on the market, finding just the right home has never been easier. In fact, national inventory levels are comparable to 1996, the first year of the current bull market in real estate. Historically, there is a typical average of 60-70 homes on the market in Mountain Village at any given time.

Demand will continue

One million new households will have formed each year, on average, since 2000. The number of U.S. households is expected to grow by 14.6 million during the next 10 years. Strong household growth, together with the rising income will likely translate into increased demand for housing.   Locally, the opening of two world class hotels in Mountain Village, lumiere and Capella, as well as the opening of new terrain in Revelation Bowl, have helped the ski area attract record numbers in a down economy. This increased popularity combined with increased air access into Telluride and Montrose keeps Telluride in Parallel with National trends.

Now is a good time to buy

You know that from an investment standpoint, buy low, sell high.  Take advantage of a very dynamic market that is currently in a low spot on the sales curve.

In fact, it's a great time to buy in Telluride. Recent research reveals that the average price per square foot of the top five sales of single-family homes in:

Aspen/Snowmass: $1,720/square foot
Teton Village/Jackson Hole: $915/square foot
Whistler: $1,255/square foot
Telluride: $844/square foot

Telluride, the most beautiful place you'd ever want to be. Less crowded than its competitors, renowned popularity, and an overall better value.

Again it's a great time to buy in Telluride – it just makes better sense.