Q1 2018 Telluride Market Report- DWIGHT | MARTIN TEAM

Telluride

MARKET REPORT

Quarter 1 | 2018

The Market Report Telluride Real Estate Corp. is pleased to present our comprehensive market report for the first quarter of 2018. In this report, you will find an overall snapshot of the market as well as detailed information on the different market segments making up the Telluride region.

Telluride Real Estate Corp.

TRUSTED. EXPERIENCED. PROFESSIONAL. SINCE 1981.

Telluride Real Estate Corp. / Christie’s International Real Estate is proud to be one of the most established real estate brokerages in the region, with a team that includes over 35 licensed brokers, assistants and staff members. Our organization is comprised of only experienced, successful and dedicated full-time real estate professionals.

Our partners are deeply embedded in the community, having been directly involved in the planned development of the Telluride area as a world-class ski resort. Our owners and the majority of our Telluride real estate agents are longtime Telluride locals who are passionate about their careers and about living in this spectacular mountain town.

In a sense, we are ambassadors for this community, bringing Telluride to the rest of the world. In addition, the partners, brokers and assistants that make up the TREC team are some of the region’s most dynamic individuals – a group of people who share energy, enthusiasm, a sense of purpose, and an ability to get things going and get things done. Real estate is about personal relationships, and we strive to provide an unrivaled experience for our buyers and sellers from beginning to end and beyond.

Indeed, most TREC clients are clients for life.

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All data in this report is collected from Telluride Consulting and the Telluride Multiple Listing Service. All information is deemed accurate and reliable but is not guaranteed.

MARKET HIGHLIGHTS

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$110.3

{

109

{

$46.2

{

}

30

{

}

DOLLAR VOLUME OF TRANSACTIONS

NUMBER

OF TRANSACTIONS

TREC’S DOLLAR VOLUME OF TRANSACTIONS

TREC’S NUMBER OF TRANSACTIONS

}

S I G NI F I C A N T S A L E

127 Hood Park Road | $4,475,000 Sold by TREC/Christie’s

MARKET HIGHLIGHTS The first quarter of 2018 compared to the first quarters of 2014-2016 was up 18%, but down 21% compared to 2017 – an anomaly. $110.3M in contracts closed in the first quarter with the number of transactions down 27%. Local influences on slowed sales include lack of snow this ski season and tightened inventory levels. On a national level, buyers pulled the trigger at the end of 2017, which the Telluride real estate market saw, but showed hesitation in the new year while trying to understand how the new tax laws will impact them.

Despite a slight dip in sales in the first quarter, we are not too troubled as December 2017 was a significant month for closings before the new year. Additionally, January 2017 was one of the largest months in sales on record for comparison. So, 2018 out-performed the prior 6 years with the exception of 2017. One quarter “does not a market make” in a smaller boutique marketplace and with over $120M in contracted sales, we look forward to a strong second quarter.

Town of Telluride sales were just $2.5M short of Q1 ‘17 at $37.3M. The number of sales were down 14% signaling buyers are willing to pay higher dollar for the conveniences properties in town offer. This is particularly evident in single family home sales with the number of sales down 50% but down only 14% in dollar volume. Notably, land parcel sales were strong this past quarter whereas Q1 ’17 was flat. As inventory in town is absorbed, buyers are willing to buy land to build what they want.

In Mountain Village, high-end luxury homes continue to trade hands. The first quarter saw two sales over $4M followed by ten sales $2-4M. Top-tier land parcels continue to sell as discerning buyers value ski access, views, and building envelope offerings. While condo/townhome sales are slightly down, they remain an attractive purchase with proximity to the ski resort and rental income potential.

The remainder of the county saw a slowdown in sales. While single family home sales are down, land sales continue to hold steady. The Aldosoro neighborhood which offers open space, privacy, views and proximity to town had a notable five land parcels sales.

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Q1 2018

Q1 2017

109 (down 27%)

# OF TRANSACTIONS

149

$110.3M (up 37%)

$ OF TRANSACTIONS

$139.9M

$4,475,000

HIGHEST PRICE SOLD

$7,850,000

$1,011,927

AVERAGE PRICE

looking ahead

$120M

under contract

$938,926

MARKET HIGHLIGHTS QUARTER 1 | 2018

35

TRANSACTIONS $1-5 MILLION

54

TRANSACTIONS UNDER $1 MILLION*

0

TRANSACTIONS $5 MILLION+

*excludes mining claims, parking spaces, fractionals, deed-restricted properties

SALES DISTRIBUTION BY LOCATION 34%

34%

32%

TELLU RIDE

SALES DISTRIBUTION BY SEGMENT SINGLE FAMILY

14%

MOUNTAIN VILLAGE

51%

REMAINDER OF COUNT Y

33%

1%

CONDOMINIUM

VACANT LAND

OTHER

Market Details | QUARTER 1 2018 SOLD | 114 S. Townsend Street $3,995,000 Listed by TREC/Christie’s

Town of Telluride

# OF TRANSACTIONS 31 (down 14%)

QUARTER 1 | 2018

$ OF TRANSACTION5 $37.3M (down 6%)

Sales in the Town of Telluride remain strong despite limited inventory, just short $2.5M compared to Q1 ‘17. With options tightening, buyers are willing to pay more for single family homes including TREC’s significant sales of $4M & $3.995M residences. Additionally, buyers are willing to buy vacant land and build to their liking, particularly mountain modern projects. Construction remains busy in town with home construction and renovation in addition to luxury townhome and condo projects.

MAJOR MARKET SEGMENTS Single-Family

Condo/Townhome

Vacant Land

# OF TRANSACTIONS

3

23

5

$ OF TRANSACTIONS

$1.8M

$22.3M

$3.2M

AVERAGE SALE PRICE

$3,933,333

$969,565

$640,000

MAX SALE PRICE

$4,000,000

$4,300,000

$1,750,000

5

20

2

# OF PENDING TRANSACTIONS

Market 2018 MarketDetails Details ||QUARTER YEAR END1 2017

Mountain Village

# OF TRANSACTIONS 31 (down 31%)

QUARTER 1 | 2018

$ OF TRANSACTION5 $54.2M (down 21%)

Mountain Village luxury homes sales continue momentum into 2018 with two sales over $4M, both of which were TREC significant sales at $4.475M & $4.3M. There were ten single family home & condo/townhome sales $24M. Discerning buyers are selecting top-tier land parcels, including TREC’s significant sale of a $3.8M Benchmark Drive lot. Overall, Mountain Village saw a 21% dip in dollar volume but that is compared to a banner Q1 ‘17 as well as the Madeline Hotel’s inventory being exhausted.

MAJOR MARKET SEGMENTS Single-Family

Condo/Townhome

Vacant Land

# OF TRANSACTIONS

5

22

3

$ OF TRANSACTIONS

$19.2M

$28.3

$6.6M

AVERAGE SALE PRICE

$3,840,000

$1,286,364

$2,200,000

MAX SALE PRICE

$4,475,000

$2,455,000

$3,800,000

7

10

7

# OF PENDING TRANSACTIONS

SOLD | 16 Trails Edge Lane $2,900,000 Listed & Sold by TREC/Christie’s

Market Details | QUARTER 1 2018

SOLD||tbd 153Little Wapiti Road SOLD Cone Ranch Road Listed at $1,825,000 $2,700,000 Listedby byTREC/Christie’s TREC/Christie’s Listed

Remainder of County

# OF TRANSACTIONS 28 (down 32%)

QUARTER 1 | 2018

$ OF TRANSACTIONS 16 (down 42%)

Sales in the remainder of the county slowed, notably single family homes which dropped nearly 80% in dollar volume compared to Q1 ‘17. Land sales saw a 39% dollar volume increase, notably the Aldasoro neighborhood having an uptick in land sales with five parcels trading hands. The largest land sale was TREC’s significant sale of a $2.7M Specie Mesa parcel. The remainder of the county is expected to rebound this summer as potenial homebuyers return to the area for the summer selling season.

MAJOR MARKET SEGMENTS Single-Family

Condo/Townhome

Vacant Land

# OF TRANSACTIONS

5

1

22

$ OF TRANSACTIONS

$3.4M

$350K

$12.2M

AVERAGE SALE PRICE

$680,100

$350,000

$554,545

$1,575,000

$350,000

$2,700,000

16

0

5

MAX SALE PRICE # OF PENDING TRANSACTIONS

DWIGHT | MARTIN TEAM Recognized by Christie’s International Real Estate for Significant Sales Exclusive Sales Team at Telluride Mountain Lodge Jon Dwight | 970.708.0691 | jon@gotelluride.com Jon’s hometown is Aspen, CO. He is a 1989 graduate of the University of Colorado. Jon’s family includes wife Martha and five great kids, Alex, Max, Wyatt, Lauren and Gavin. Jon has been a licensed commercial/residential real estate broker since 1991 with a diverse background in construction and real estate development. He joined Telluride Real Estate Corp. in 2002 and has specialized in representing projects such as Bear Creek Lodge, Sunnyside Ranch, Cornerstone, Brown Dog Ranch, as well as servicing a select group of highly valued clients. As an owner and director at TREC, Jon regularly attends Christie’s Owners’ Conferences, representing TREC and networking on an international level. Jon currently serves as Chairman of the Board of the Telluride Regional Airport Authority and is past Member of the Board (Residential Seat) of the Telluride Mountain Village Owners Association. Jon loves flying airplanes, skiing, hiking, mountain biking and traveling anywhere in the world.

“Telluride is an unmatched year round resort that offers an authentic Colorado experience. This just doesn’t exist in other resorts anymore.”’

Alex Martin | 970.729.1691 | alex@gotelluride.com Alex’s hometown is Olathe, KS. He is a graduate of the University of Colorado-Boulder. Alex’s family includes wife Sage and two sons, Henry and Jake. Alex joined TREC in 2004, working with a select group of highly valued clients and representing development projects such as Sunnyside Ranch, Cornerstone, and Brown Dog Ranch.

Prior to joining TREC, Alex enjoyed a 14-year sales and management career in litigation support and data storage technology in the San Francisco Bay Area. Alex and Managing Director Jon Dwight have been working together since 2004 and are partners in the Dwight | Martin Team. In his free time, Alex enjoys skiing, hiking, camping, mountain biking and sailing.

“From my first backpacking trip to the San Juans more than 30 years ago, I knew this special part of Colorado was where I needed to be.”

Marcin Ostromecki | 970.708.4119 | marcin@gotelluride.com Marcin’s hometown is Milwaukee, WI. He graduated from the University of Wisconsin- Milwaukee with a BA in Marketing. Marcin’s family includes wife Stacy and black lab Atlas. Working in the ski industry for over a decade, Marcin is no stranger to ski towns. With an international marketing background and experience in resort markets, Marcin joined TREC in 2014 to work alongside Jon Dwight and Alex Martin. In his role as Marketing Manager and Broker Associate, he believes that when a property is packaged and presented appropriately, sellers are positioned for success. Marcin is an avid skier and also enjoys mountain biking and hiking with his pup.

“I think the best part about Telluride is that it’s a real town.

There’s a genuine sense of community here. It’s not just a product of the ski resort. I think that’s why it’s retained its unique character.”

SIGNIFICANT SALES

128 Victoria Drive | $4,250,000 Sold by Dwight | Martin Team

Sunnyside Ranch, Lot 5 | $2,160,000 Listed by Dwight | Martin Team

Sunnyside Ranch lot 6| $2,149,000 Listed by Dwight | Martin Team

Diamond Ranch Lot 2 | $2,080,000 Listed by Dwight | Martin Team

153 Wapiti Road | $1,425,000 Listed by Dwight | Martin Team

145 Russell Drive | $3,649,500 Listed by Dwight | Martin Team

Lot 161 CR | $8,100,000 Sold by Dwight | Martin Team

129 Victoria Drive | $3,200,000 Sold by Dwight | Martin Team

710 Mountain Village Blvd. | $6,000,000 Sold by Dwight | Martin Team

TOP 10 SIGNIFICANT SALE OCTOBER 2016

gotelluride .com christiesrealestate.com | jon.searchtellurideproperties.com T@gotelluride P@telluride_homes M@TellurideRealEstateCorp

Let’s talk numbers! Contact us below.

DWIGHT | MARTIN TEAM

Jon Dwight | 970.708.0691 | jon@gotelluride.com Alex Martin | 970.729.1691 | alex@gotelluride.com Marcin Ostromecki | 970.708.4119 | marcin@gotelluride.com

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