Avon, EagleVail seeing strong home price appreciation
Biggest increases seen in condos, townhomes and other 'multi-family' units
- 11%: Year over year appreciation in multi-family units in Avon.
- 18%: Year over year appreciation in multi-family units in EagleVail.
- 14%: Year over year appreciation in multi-family units in Wildridge.
- 20%: Year over year appreciation in multi-family units in Lake Creek and Squaw Creek.
EAGLE COUNTY — The slight dip in the local real estate market is over, and there’s been some strong appreciation in several neighborhoods.
The big changes in average prices from 2018 to this year — both increases and decreases — were seen in resort areas. Some of those numbers are driven simply by the limited sales in those areas.
For instance, there were just two sales in 2019 in Vail’s Spraddle Creek area through the end of October.
On the other hand, Land Title Guarantee Company reports a total of 190 sales in Avon and EagleVail through the end of October.
Many of those sales were multi-family units — duplexes, townhomes and condos. And there’s been a strong appreciation curve in both areas: 11% in Avon and 18% in EagleVail.
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Booming in EagleVail
Prices are significantly higher in EagleVail than Avon, though.
Corey Lamothe, a broker with LIV Sotheby’s International Realty, said units in EagleVail tend to be larger.
Kyle Denton, a broker with Berkshire Hathaway HomeServes Colorado Properties noted that EagleVail is also different than Avon in terms of the large buyer pool seeking homes there.
Given the neighborhood’s proximity to both Vail and Beaver Creek, Denton said the area is attractive to both full-time residents and second-home buyers.
While EagleVail has long been known for its amenities — a golf course, a neighborhood school and, on the valley floor, relatively flat ground that makes biking easy for kids — a lot of those amenities are also attractive to second-home buyers.
Owners in EagleVail can also put their units into the short-term rental pool.
Move fast or lose out
But buyers are looking for the right unit.
Lamothe noted that buyers all over the valley are more willing to pay a premium for property that’s either new, renovated or well-maintained. But, she added, that gap seems to be narrowing.
No matter the unit or its condition, she said buyers need to be ready to move quickly. But, Lamothe added, owners of older units should also give serious thought to taking care of projects around their homes.
Across the valley, though, supply is short and demand is strong.
Michael Slevin, the owner of Berkshire Hathaway HomeServices, said while new product is coming to the market, demand still outstrips supply.
“That’s one of the challenges,” Slevin said. “There’s a high demand for new or remodeled property, but the (construction) trades are as busy as they can be.”
That doesn’t seem to be discouraging buyers. According to Land Title Guarantee Company, October was the best month of this year for real estate sales. In October alone, there were 230 transactions, with a dollar value of more than $261 million. Both are high marks for the year so far.
The strength of the market in October brings the year-to-date dollar volume totals to 99% of the same period in 2018. Transactions are running 8% ahead of the pace set in 2018.
But the supply/demand problem remains.
Lamothe called that dynamic the “new normal” in the market, with high demand and low inventory. That’s going to keep prices up across the valley, and particularly in high-demand areas including golf courses and creekside properties.
Denton added that, like the town of Vail, vacant lots are limited in EagleVail. As of early 2018, there were just 11 vacant lots available in the neighborhood. None were zoned for anything but single-family or duplex units.
Lamothe said supply and demand may require some different thinking on the part of buyers.
“You may have to sacrifice some things you’re used to to enjoy the lifestyle we enjoy,” she said. “You need to really think about how much space you need, how many bedrooms, how many bathrooms … We live in an incredible valley with limited housing supply.”
Vail Daily Business Editor Scott Miller can be reached at email@example.com or 970-748-2930.