Double Digit Appreciation
Returns to
Aspen Area Real Estate!
Dear
Friends and Clients,
We
are back to double digit appreciation. The
average Sold price for 2004 was 10% higher than
for 2003.
The
return to double digit appreciation tracked with
my prediction. I’ve found that when the total
listing volume is less than double the previous
years sold volume, we have entered a sellers market.
The
current up market, however, has not reduced the
average days on the market required to sell a property.
The average days on the market to sale are currently
at 309.
So
sellers beware, just because we are in “seller’s
market” it does not mean that the sky is the
limit on pricing. Even in a sellers market, a large
portion of the market is still over priced which
causes buyers to shop in the top 20 percent of the
best priced properties.
Traditionally, we have a very brief slow down after
a year like banner 2004 to let the buyers adjust
to the new prices and to let the over-priced listings
to get in tune with the market. As expected, this
seems to be happening as the Sold volume waned in
February and we are now starting to see the typical
end of season price reductions.
If
you are a buyer now is a good time to buy. In general,
sellers get a little more flexible towards the end
of the season. However, as we get into summer buyers
can expect prices to rise again, so I recommend
acting now. I predict that there will be
even less inventory to choose from this summer and
what is available I expect to be at a higher price.
If
you are a potential seller, you should know that
we have more Buyers knocking on the door
than ever. If you have any thoughts of
selling after the doldrums of 2001-2003, now is
the time.
With kindest regards,
I am Sincerely Yours,
Rich Wagar
P.S.
If you want reassurance as to the stability of the
Aspen market, you might enjoy the article below
titled “Cash County” and with quotes
from top brokers such as yours truly.
