The first quarter of 2021 had strong sales across our market as a whole and also for us personally. In the past, the winter months offered a reprieve from a busy spring/summer/fall, but it seemed that this winter went by quickly with much to do! Home inventory remains down both in the High Country and nationally. Today there are 357 residential properties for sale. We have not seen an increase in the average number of active listings this winter.
Spring and Summer will be a test of this as we normally see more properties come online in this timeframe. As COVID kept some homes off the market last year, it will be interesting to see if vaccines and continued reopenings will create a change in our market dynamic.
While the overall inventory numbers remain low, we are still seeing turnover with sales up. Residential sales in March were over +50% year over year when the shutdowns slowed sales. The lower inventory has also driven prices up.
More properties do come online they just move quickly. This offers hope for buyers as it is possible we could see more homes for sale this year and the opportunity to find the right fit is still there.
For sellers, it is a fantastic time to sell. If the property is priced right, it will typically sell quickly and close to the asking price.
Many ask if the pace of the market will continue. While nobody knows what the future will hold there are some indicators to keep track of. With strong buyer activity, if interest rates remain low along with low inventory levels, the market will remain strong.
A Wall Street Journal article recently stated that the number of second home loans Fannie Mae and Freddie Mac purchases will be capped. As we are a second home market, this could have some impact. It is unclear if this will have a substantial effect as there are still a lot of cash buyers in the market. (WSJ Article linked further below).
The land market continues to do well too. With few homes for sale, more buyers continue to look towards new construction. Building prices on average are still high, averaging over $200 per square foot.
Year over year we have around +50% land sales as well. Land values have still not surpassed pre-2008 levels, but we are seeing values continue to improve.
If you or anyone you know is interested in selling a home or land, please put them in touch with us. Now is a great time to sell.
Best, -Nate & Kelsey Wright