Can You Time The Crested Butte Real Estate Market?
Can You Time The Crested Butte Real Estate Market? No. Maybe. Probably Not. Absolutely. If you hurry. If you wait. If you have a Crystal Ball… Take your pick.
Did you know at the beginning of 2008 that there would be a major Financial Meltdown, the beginning of a Recession, and a Real Estate Bust? Did you buy everything in 2009 – 2011 at rock bottom prices?
The reality is we don’t know. If we did we wouldn’t really care because we would have so much money perfectly calling every rise and fall in every market and making money both ways.
Your Home For Sale Days on Market (DOM) – Buyer Reverse Psychology
Some Sellers believe that if their Crested Butte home is on the market too long, then buyers will think there is something wrong with the home because it has not sold. There may be some validity to this in a quickly rising market with very low inventories, but, I have found the opposite is true.
The feedback from most buyers is that a new listing is suspect. The seller may be testing the market, perhaps their initial price is too high, or maybe they are not ready to sell (yet). If a home is on the market greater than the average days on market the reality is there is usually something wrong with the asking price, not the home (or given the condition of the home – the asking price is too high).
- Average Days on Market for the 382 Crested Butte area properties SOLD in the past 12 months = 284 Days.
- For the 501 Crested Butte area properties currently FOR SALE the average DOM = 393 Days.
Because we have winter ski-season and summer seasons when visitors arrive it also so happens that the majority of the real estate activity (Showings) happens during these times also. Some properties show better in the winter others in the summer – but many buyers may want to look during both seasons.
The solution is usually either adding value to your Crested Butte home or reducing the price. Taking the home off the market is not the solution, and may cause the seller to miss a buyer. The notion of taking the home on-and-off the market so it will appear as if it is a new listing is silly in today’s world of digital information. The real estate agents representing the buyer will see this activity in the MLS.
Since I am an avid fly fisherman – I will use a fishing analogy. If you stop fishing You cannot catch a fish. It is very rare to sell a home that is not listed for sale in the MLS.
Seller Example – Crested Butte Real Estate Market Pricing and Days on Market
I represented a seller of a very nice Crested Butte home. I prepared a Market Valuation and presented an estimated price range based on the current market. After looking at all the data, they decided they wanted to set the asking price for their home at $1,200,000 which was a bit above the market, but they were in no rush to sell the home.
As I do with all my listings I hired a professional photographer to shoot pictures of the home, entered the home into the MLS, it was syndicated to hundreds of real estate websites, including my website. I sent a notice to all the agents in the area that I was holding an open house so they could preview the home…etc.
Less than ten days after the home went on the Crested Butte Real Estate market, I got word from two different agents that their clients were interested, and they were each preparing an offer. I instructed both agents that there were multiple parties interested and to have their clients submit their “best and final” offers.
The reaction from the seller when they opened the first offer was that the offer price was too low. When the second offer came in and it was very close to the first, this validated the price, and the seller was then satisfied with both of the offers. Thirty days later, the home sold for $1,125,000 and the seller was very happy. They had many wonderful years in Crested Butte, but were excited to move on to the next chapter in their lives.
Buyer Example – “I should have made an offer on that Crested Butte home”
I have represented many many buyers – each is different in their specific needs, wants and desires. I enjoy helping people hunt to find their perfect mountain dream home. I recently had two homes that went under contract – and I immediately got calls from other agents and a buyer who I had not talked to asking me to confirm that the home was Under Contract? Yes I said – the Seller and the Buyer agreed to terms, they both signed a Contract to Buy & Sell and the home was “under contract”, but the seller would gladly entertain back-up offers… Silence.
The other agents asked: “Why didn’t you tell me it was going under contract – I showed it 2 weeks ago!?” and I said: “Why didn’t you tell me your client was interested and more importantly why didn’t you submit an offer?” Well, my client “thought” that it would still be there… but now they have told me: “… they should have made an offer on that home…”
Yes, there may be a better home that comes on the market tomorrow, or next month, or next Winter… if you are patient you may find that special home… given the current market conditions it appears it will be a very active summer. If you are a buyer – and you are ready to buy, then find a home that meets the majority of your criteria, and fits your price range (or slightly above), I would suggest you “go for it”. Start living the dream and own a piece of Crested Butte.
If you own a Crested Butte home and are a seller or considering the possibility – realize that there will be some of those folks on the sidelines that will want to see your home immediately. Some may determine this is “the one” they have been waiting for… great! It may go under contract earlier than you expected. If after a few months of prime visitor season it has not gotten the activity that you expect (showings), and/or offers – you may want to review the market again and determine if your home is priced properly? You can always spend around $800 and hire a professional appraiser (or hire two) to give you their certified opinion.
How can I help you with Your Crested Butte Real Estate Needs?
This article Can You Time The Crested Butte Real Estate Market? and my monthly market reports on Crested Butte Real Estate, and the level of detail is representative of what you can expect from me as your Real Estate Agent.
I have consistently been among the top real estate agents in Crested Butte, and I strive to exceed client expectations.
Existing Crested Butte Homeowner – If you are interested in finding out what your property is worth, or may be considering turning a chapter in your life – contact me today.
Considering Buying a Crested Butte Home for sale – If you have started thinking about how great it would be to have your own Crested Butte Home and are considering me to represent you as a Buyer, I would appreciate the opportunity to earn your business!
For more info on me and the Crested Butte Real Estate Market – Visit www.chriskopf.com.
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Click here to do an advanced search the Crested Butte MLS for properties for sale in the Crested Butte area.
For more questions regarding Crested Butte Real Estate Market – Click the Link to download the 2016 Year in Review: Full 9 Page .pdf CB Real Estate Market Report, and you will get my Monthly Newsletter emailed to you with the market reports!
See the big picture and all the details of the Crested Butte CO Real Estate Market – Download Full CB Real Estate Market Report as a .pdf file (more data and charts)
Global Luxury Property Specialist
Coldwell Banker Bighorn Realty