Eagle County’s real estate market is finding balance as new listings get added

Those in the local real estate industry have talked for years about the lack of homes to show prospective buyers. That may be changing a bit.

The latest data from the Vail Board of Realtors shows there was a 5.9-month supply of homes on the market during March. That’s almost at the level real estate professionals deem a market that’s “balanced” between buyers and sellers.

That doesn’t mean homes are more affordable. The same data set shows that the average unit price rose nearly 16%. Still, the median price, a more accurate measurement of what homes actually cost, declined 5.4%, to just more than $1.5 million. But even that slight decline didn’t affect the data’s “housing affordability index.”

Michael Slevin, president and owner of Berkshire Hathaway HomeServices Colorado Properties, said seeing more properties in the Multiple Listings Service is good news, particularly this time of year. There’s usually a slight surge in listings starting in the late spring and early summer, Slevin said.

“It’s been an active season earlier than we’re accustomed to,” he noted, adding that “choice for buyers” is what’s driving that activity.

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Even with choice, prices are still staying strong, Slevin noted.

Part of the strength in prices, particularly in the valley’s resort areas, is that resort real estate can be a “flight to safety” when financial markets are volatile.

Matt Fitzgerald, Slifer Smith & Frampton president for the Vail Valley market, said another factor in property coming to the market may have something to do with sellers becoming used to current dynamics.

Current interest rates “are what they are,” Fitzgerald said, adding that the ultra-low rates of a few years ago aren’t coming back in the foreseeable future, and both buyers and sellers have to make decisions based on that fact.

When buyers have choices, though, condition comes into play, Fitzgerald said. Sellers need to be aware of that, and need to be aware of how busy construction companies around the valley are.

But there are a couple of things to consider, Fitzgerald noted.

Even with an increase in inventory, we still live in a valley that’s surrounded by public land. That constrains supply, and the prospect of expansion, Fitzgerald said. That can also insulate the valley from big swings.

There’s also the fact that the right property will move quickly. One property in Singletree recently had 10 showings in a day, and went under contract the next day.

But right now, Fitzgerald said, “the headlines are moving so rapidly, it’s hard to get people’s attention sometimes.”