On the rebound of a sweeping community and business shutdown, Vail Valley real estate has proved not only to be resilient but to be exceptionally powerful as we continue to navigate the economic effects of the COVID-19 pandemic, according to a new report by Vail Daily.
The significant amount of transactions seen since June have been overwhelmingly fast and furious, now confirmed by the low inventory levels. In August, sales reached a record-breaking new height of $418 million, with 11 of those sales starting at $5 million or more. According to Vail Daily business editor Scott Miller, “this figure shattered the previous monthly record of $361 million, set in 2005.”
Slifer Smith & Frampton agent Didi Doolittle, who was interviewed for the story, believes the pandemic may have fueled local buyers as well as those outside the valley. Residents either “fell in love” with their current homes, or found things that no longer worked for their families, according to Doolittle. Coupled with low mortgage rates, people were incentivized to make a change.
Other buying trends observed during the pandemic include the desire for second homeowners to spend more time in the Vail Valley region. Those with the ability to work remotely are doing so without hesitation, which now includes the option to relocate your primary address.
Additionally, as people have been forced to reevaluate their goals and priorities, brokers are finding that buyers (whether first home or a second home) are leveraging these uncertain times to take back control of their lifestyles and future.
By the numbers, the health of our local real estate market can be summarized as such:
- $418 million: Value of August real estate sales in Eagle County, a new record
- 297: Transactions in Eagle County in August
- $361 million: Previous record month, set in 2005
- 54%: Buyers who live in Eagle County
While the upward trend in sales has brought much prosperity to our valley, real estate professionals are leery of what’s around the corner. Declining inventory will surely slow the pace while other varying external factors such as the impact of the election, a change to our national and global economy, or a simple spike in mortgage rates could be on the horizon.