Recent years have brought a series of shocks to real estate, both locally and nationally: continuing effects from the 2020 pandemic, a war in Europe, and a spike in inflation. While 2023 avoided the same level of disruption, some twists and turns kept real estate watchers on their toes. Here are some developments that influenced the Routt County market last year:
With rates for 30-year fixed mortgages hitting over 8 percent in 2023, buyers and sellers adopted wait-and-see attitudes. Buyers had hoped for lower rates and lower monthly payments. Sellers were reticent to exchange low rates on existing mortgages for higher rates on new loans. Caution on both sides meant slower sales. But as 2023 proceeded, rates retreated (back to 6.61 percent by the end of the year), fueling optimism for both buyers and sellers.
In 2023, while home prices remained steady in many real estate markets across Colorado, particularly along the front range, mountain towns continued to experience upward trends. In places like Steamboat, it could be inferred that the combination of limited inventory and strong demand played a role in the sustained appreciation of property values throughout Routt County. While the precise reasons remain uncertain, the evident outcome is apparent.
In the summer of 2021, Steamboat Ski Resort launched its largest development endeavor to date, titled Full Steam Ahead, which aimed to enhance the resort experience both on and off the mountain. A significant milestone was reached in 2023 with the addition of 650 acres of terrain known as Mahogany Ridge and Fish Creek Canyon, propelling Steamboat Ski Resort to become the second-largest ski resort in Colorado. The completion of the Wild Blue Gondola in December marked a pivotal achievement for the resort. These improvements not only solidified Steamboat Ski Resort’s position as a premier destination but also likely contributed to the record-breaking sales of ski-in/out properties.
When a property was accurately priced in 2023 and professionally showcased, its average days on the market were relatively low, often with multiple offers. This meant that cash and pre-approved buyers had the upper hand in the home-buying process. Sellers with easily viewable homes found it easier to make a sale. Despite the swift turnover of these properties, as reflected in our statistics, there were fewer transactions in 2023 compared to previous years.