The Time to Buy a Summit County Home is Now
The Time to Buy a Summit County Home is Now
We’ve finally ushered in the New Year, and with that, a slew of changes. A lot of big (and often unexpected) events took place as we made our way into 2017. If you were considering buying a new Summit County or Breckenridge home but are now left questioning whether or not you should wait – we’re here to tell you that you shouldn’t. Politics aside, here are some very real, predictable real estate market trends (both locally and nationally) we can all but guarantee make now the time to invest in Summit County real estate.
Prices Are Trending Upward
While this means that new Summit County real estate is more expensive than it was last year, upward trending home prices bode well for your future. Why? One word: consistency. Over the last several years, the cost of new homes in the County have risen consistently, ensuring a great return on investment down the road. The Summit County housing market may be pricey, but it’s one of the lucky housing markets with a strong history of growing home value appreciation and a solid return on invested capital.
Last year, across Summit County, we saw a 7.9 percent increase in Average Sold Price. Both Breckenridge’s and Copper Mountain’s Average Sold Price was up 7 percent, Frisco’s was up 5 percent, Keystone’s was up 6 percent, and Silverthorne’s was up 11 percent. Summit County and Breckenridge real estate experts expect that average to increase even more from the previous year to the current year.
For a quick comparison, a CBS News study estimates the average national home-value increasing at about 3.6 percent – an actual drop from the previous year when home-values increased at 4.8 percent. Compared to the rest of the country, the Breckenridge and Summit County housing markets continue to bode exceptionally well for both buyers and sellers.
The Summit County real estate market has seen quite a bit of new inventory since the New Year – an encouraging sign. An even larger influx of new listings is expected in mid- to late-April when the ski areas close and we move into summertime, as historically indicated. Right now, well-priced properties are going under contract very quickly (especially anything under $600K), so now is the opportune time to contact a Summit County or Breckenridge real estate broker to start getting an idea for what’s out there and what’s about to come on the market.
It’s also important to note that as of January of last year there were roughly 2,200 active listings on the Summit County housing market. As of January of this year, there were just under 2,000 active listings in the County. While local real estate experts certainly expect the number of active listings to increase as we move out of winter, there is an increasing demand for homes in the county – a trend expected to continue as the years go on. If you’re interested in a Breckenridge home, now is the time to begin feeling out the market in order to lock down the home of your dreams.
Mortgage Interest Rates are still at Historic Lows
After the housing market crash, mortgage rates hit an all-time, record low and have remained that way for years. This is expected to change – quickly. Interest rates have already began to increase slightly and are projected to increase as this year moves forward. The Federal Reserve has implied that at least three more increases to its standard rate can be expected in 2017.
While rising interests rate won’t be drastic enough to deter anyone from buying a home, it is predicted that the rate increases will hit the nation’s more expensive markets harder. That includes desirable ski markets such as Summit County.
The sooner you buy, the better your mortgage rates will be. Many industry experts have already pinpointed late-winter through early-spring as the best time to buy a new home in order to take advantage of low interest rates. Getting a mortgage while rates are low means you can get more for your money.
More and More People Want to Live Here
Bottom line? Everyone wants to live in this magical place. It’s basic economics - supply and demand. With an endless supply of sunny days, fresh powder, lake activities, hiking, biking, bustling downtowns, and more, it comes as no surprise that the population of Breckenridge alone has doubled since 2000.
As more people discover what Breckenridge and the surrounding county have to offer, they’ll continue to flock here more and more each year, driving up prices and reducing the size of the market. Reserve your slice of heaven now!