Author: Heather Connor, Realtor
Welcome to Spring 2022 in Crested Butte!
There are a lot of conversations that’s been happening with my clients and I would like to share some of them, mainly to answer the question “What to expect for the Spring 2022 buying season in Crested Butte?”
MORE Inventory Will be Released in the Crested Butte Market
Expect Buyer & Seller Chatter of a Market Crash
There is chatter from both the seller side and as well as the buyer side. From the buyer side, what I’m hearing is that they think that the market will crash and people are preparing. They’re actually starting to push away from trying to make aggressive offers and they’re thinking about kind of squirreling away their money and waiting for that big market crash.
Expect Further Increases in Property Valuation
For 2022, through the spring and summer then moving into this fall and winter season–we’re only planning on seeing another increase in valuation. So if you wait, we should talk about that because I have a bunch of articles and thoughts for you, from interest rates, the buyer and seller supply and demand scenario, the cost of construction. There’s a lot of different factors as well as articles I would love to send to you and we can talk about this.
Expect More Seller Motivation (to List this Season)
Those that have been wondering about when they think the top might be here for getting the highest valuation for their property, I’m starting to hear some sellers believe that now is a good time to list.
It’s the traditional spring season and as we know Crested Butte as a resort destination, so a lot of folks come out here in the summer and purchase property. For the most part they’re really concerned about how the increase in interest rates might affect their valuation and their list price.
Due to pent-up demand of property in certain segments, expect competition in the “still hot” segment of the Crested Butte market
As interest rates continue to climb, sellers are thinking that they need to list now so that buyers can still capture a really good interest rate. I have two thoughts about that from a buying standpoint. We can definitely schedule a private one-on-one call to talk about that.
Inventory!
Like mentioned above, I absolutely expect to see an increase in inventory, so that is really great news for buyers out there. However, like I’ve been telling a lot of my clients, don’t anticipate that these prices are going to go backwards anytime soon. It’s not a 2008-2009 scenario all over again. Right now, what we’re seeing is simply a supply and demand issue.
Expect continual property valuation increases… Luckily, the increase should be more palatable.
As long as the supply does not fulfill the demand, we are going to see an increase in valuation. So the season, every time that you wait to move forward on a property and you see a similar type of property being listed, expect that to be at a highly higher rate. Now, the percentage point, we’re not sure yet since the market’s a little interesting at the moment.
Expect up to 10% for the year over increase in valuation
The increase in valuations is not quite as crazy as they were–that we just saw from a dizzying last two years–but do expect that there may be around 10%-plus increase in valuation. Some are going to be lower, some are going to be higher but just right in there is probably a pretty safe number to think about.
