New home listings in West of Steamboat go under contract in average of 9 days
July 1, 2017
The hottest single-family home markets of 2017 in Steamboat Spring aren't technically in Steamboat — the Silver Spur, Steamboat II and Heritage Park subdivisions are only 10 minutes west of the city, and sales there have been brisk since the end of the ski season.
As of June 23, there were 10 homes on the market in the three subdivisions, and six were already under contract. Less than two weeks elapsed before those new listings for homes in Heritage Park, Silver Spur, Steamboat II (the last has seen single-family home sales less than $500,000 this year) went under contract.
"On average, it took nine days from time of listing to purchase contract," Martin Dragnev, a broker/owner at Colorado Group Realty, said. "And that number included the negotiation time between parties. In two cases, it took four days, which indicates a red-hot market out there currently."
Steamboat II, a development in which homes had often sold in the $300,000 range and where some homes date to the early 1970s, saw 7 of the last 11 sales breaking well into the $400,000 range, Dragnev added. Since that report, an eighth home in the neighborhood sold for $290 per square foot.
The two bedroom, two-bath home on a quarter-acre lot sold June 28 for $443,000.
Dragnev said sale prices in Steamboat II are typically $300 per square foot, largely because the homes are relatively small. The newer, larger homes in Silver Spur sell for about $247 per square foot, even though the overall price is higher, often reaching into the $600,000 range.
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Dragnev's colleague and Colorado Group broker/owner Randall Hannaway knows the West Steamboat neighborhoods well; he lives in Heritage Park. Hannaway's perception is that escalating home prices in Old Town Steamboat are leading young families to look elsewhere.
"I think may people arrive in Steamboat, and their primary goal is to be right downtown, unless they want to be out in the country," Hannaway said. "It's become so expensive, it's pressuring the outlying areas," where, "you get a lot more for your money."
What those households will discover, he predicted, is that the three western suburbs have matured, with established landscaping, big views and quiet streets, where parents can feel comfortable about allowing their children to ride their bikes around the neighborhood. Silver Spur and Steamboat II share a park and trails network.
A decade ago, Hannaway said, there were single-family homes in Steamboat priced right around $450,000, but those days are firmly in the past.
The debut this week of new building lots within the city proper in the Sunlight subdivision will deliver new building lots to the market in the range of $169,000 to $240,000. Still, Hannaway predicts the market may have reached the tipping point, at which young families will increasingly look 20 to 25 miles down valley to the town of Hayden and subdivisions such as Dry Creek Village, Lake Village and Hidden Springs.
A newer four-bedroom home in Lake Village sold for $322,800 in early June.
"I do think, in this cycle, that will come to fruition," he said. "Hayden will become much more popular."