January 29, 2012
By Dennis Hanlon
2011 and the start of 2012 have certainly been an improvement for Resort Real Estate Sales. The trends that I have been reporting continued for the 4th quarter of 2012. The number of sold properties increased 18% in 2011 vs 2010. At the same time, the number of new listings taken decreased 13% from 2011 vs 2010. We also saw the average sold price of all property types drop 10% from 2010 to 2011.
Like with all statistics, an understanding of the numbers is important. With prices down significantly from the high point of 2006, Park City Agents are telling our sellers that if they are not prepared to price their property competitively for today's market, now is not the time to sell. This is accounting for much of the decrease in listings taken. At the same time, we saw buyers focusing on the lower priced properties and distressed sales, thereby decreasing the average sold price . I would be hard pressed to tell you that a home or condo in 2011 was worth 10% less than it was in 2010.
This year has started stronger than I have seen for many years. The number of people looking at and purchasing real estate over the Christmas Holiday was surprisingly strong, and has continued through January. For instance, from the start of the holiday in December through January there were 11 properties sold in the Silver Lake area of Deer Valley. for the same time frame in 2010, 0 properties sold. Furthermore, the sales spanned all price ranges, from condos in the $500,000 range to over $3 mil and homes up to and over $7 mil. From speaking with my resort colleagues from the other western resorts, they are all reporting similar activity. Very refreshing to see the return of the big ticket buyer.
Let's hope that this trend continues and that the economic recovery that there is hints of is real.
