REAL ESTATE
MARKET ROUND -UP We’ve had some surprising shifts in our market in 2018 through the first 3 quarters of 2018. Like all markets, pricing and volume is dictated by supply and demand. In a real estate market, supply is the inventory, or number of listings on the market. Demand is the number of transactions, or absorption of the available listings. We sat down with Doug Labor, Steamboat Sotheby’s International Realty broker, manager of the downtown office on 9th Street and local statistician, to get the run-down. Through the 3rd quarter of 2018, the market carried
immediate past, due to the low supply.
the 3rd lowest number of listings in the history of the
Dollar volume increased 2% year over year, to $573M,
Steamboat Springs MLS (dating back to 1985). The 1,134
which was the second highest in MLS history.
listings for the first three quarters of the year posted a 7% decrease from the same time period in 2017.
The dynamic between listings (supply) and transactions (demand) is what is referred to as absorption rate.
Surprisingly, in a highly active market, transactions
Absorption rate is tracking at over 120%, meaning that
dropped 9% when compared to the same period in 2017,
there is more product being consumed than what is
to 960. This is most likely due to the limited availability
being added to the market.
of properties. In theory, if there were more listings, then there would have been more transactions.
Because of supply not being able to meet demand, property values and the average purchase price have
Days on market, which is a benchmark most real
gone up. The average purchase price jumped an
estate practitioners use to help measure demand, was
amazing 12% year over year, to almost $600,000, the
noticeably shorter. However, brokers agreed that it is
3rd highest that the market has seen.
taking longer for buyers to find properties than in the
DO WN
DOWN
UP
7%
9%
2%
1,134
960
$573
INVENTORY
ACTIVITY
$ VOLUME
L I S T I NG S
UNITS SOLD
MILLION
FOR A DETA I L E D A NA LY S I S A ND T HE MO S T UP -TO- D AT E S TAT I S T I C S , C O N TA C T O N E O F O U R R E A L E S TAT E P R O F E S S I O N A L S
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