REASON #1 - Low Housing Inventory means increased opportunity for properly positioned sellers.
In Archuleta County are many factors causing a shortage in home inventory, especially in the price range of around $150,000 to $325,000.
- 3.1 MONTHS OF RESIDENTIAL HOME INVENTORY... At date of this publication, taking a normalized cross section of homes in the Pagosa Springs Area between 150k and 325k, analyzing them between active and sold properties, gives us a 3.1 month inventory.
In simple terms - The theoretical "average" months inventory for a "balanced" market, meaning neither a seller's market or a buyer's market, is around 6 months. Less = Seller's Market, More = Buyer's Market.
During the low of the housing market around 2009 we were seeing as much as 42 month inventory.
All this simply means in this above chosen sector of homes, we are firmly in a seller's market.
- DEMAND IS OUT-PACING NEW PROPERTIES... When the housing market took a drop just after 2008, along with it went the construction of new homes. The building market in Pagosa Springs practically dried up in a matter of about 18 months. Now we are seeing a resurgence in building that has been at bay. This building increase is helping to soften this shortage, but is struggling to keep up with demand.
More incoming families being supported by the robust trade industry, the burgeoning health care infrastructure, and grass roots folks looking for a total healthy lifestyle change, continue to add to the population.
Additional to these home buyers, the Baby Boomer Generation continues to purchase second homes
- RENTAL HOME TURNOVER CAUSING AN IMBALANCE... Many home owners that have not had the correct market factors in place in order to sell their home in the past 8 years have been renting their properties out, waiting for a market correction. Now that the correction is here, they are selling.
Each home transaction compounds the problem of rental shortage, leaving one less home to rent , and one more family in need of housing.
Compounding this problem even more is the gaining popularity of the short term rental business. Companies like VRBO and Air B&B have created a whole new cottage industry that allows home owners to rent their properties, even one room at a time, to vacationers. Many home owners that retain second homes here in Pagosa Springs are finding it more appealing to allow their home to create an annual cash-flow rather than selling.
this means your property will have much more market demand than it did a couple of years ago if you get it active on the market now.
If you have been toying around with the idea of selling and would like to discuses market value, selling strategy and overall options for your property specifically, I would love to have some coffee with you and talk it over.