Market Update: October 2014
October – 2014
Wow, what a year! Telluride had its 2nd best September ever and year-to-date dollar volume is the 4th best in history, exceeding last year by 70%. The O’Neill Stetina Group has been involved in 14 transactions YTD, totaling over $35m, representing roughly a 10% market share. The 2014 YTD dollar volume has already exceeded any full year since 2007. With another 20% of this volume under contract with the potential for more sales, 2014 will be a banner year.
Market highlights include the following:
- Average transaction dollar amount has increased 26.71% YTD from 2013 to 2014.
- Town of Telluride Condos – YTD 2014 has seen 72 units sell for a total of $67.5m v. 2007 entire year sold 67 units for $58.5m. Average sales price for 2014 is $937,500 v. $873,134 in 2007.
- MV Condos – YTD 2014 has seen 44 units sell for a total of $40.7m v. 2007 entire year sold 81 units for $120m. Average sales price in 2014 is $925,000 v. $1.481,481 in 2007.
- TOT Homes- YTD 2014 has seen 29 homes sell for a total of $58.3m v. 2007 entire year sold 32 for $67.7m. Average sales price in 2014 is $2.01m v. $2.11m in 2007.
- MV Homes- YTD 2014 has seen 20 homes sell for a total of $60.2m v. 2007 entire year sold 40 for $144.7m. Average sales price in 2014 is $3.01m v. $3.62m in 2007.
Market volume can be attributed to buyers recognizing the value of the Telluride quality of life as well as investors taking advantage of market conditions; including pre-recession pricing, high rental rates and favorable interest rates. We are seeing investors buy everything from $500,000 rental condos to commercial properties to the Hotel Madeline (where Apollo took shrewd advantage of a great opportunity in the MV condo and hotel segment). Market success can be seen in the recent contracting of the Peaks Hotel and at Element 52/Auberge Resorts, where sales are brisk due to excellent pricing, great rental incomes and a tremendous quality of life.
Fantastic opportunities still exist, particularly in the MV condo market. Please feel free to contact me to discuss the market further.