Mammoth Lakes Real Estate Update

It’s been another busy year here in Mammoth Lakes. With 2011 coming to an end, we thought it
would be a good time to give you an update.
Real
Estate: Mammoth Lakes
real estate continues to be quite active, primarily since about the spring of
2009 when the foreclosures started coming on the market. The low end of the market (condos under
$200,000 and houses under $500,000) has definitely been the hot spot. Those who didn’t leverage away their life
savings are buying, ready to buy and ready to buy more. It’s definitely a great time to buy; prices
are low, interest rates are low and the stock market is uncertain.
At times it seems as though the market is bottoming out,
but then another foreclosure hits the market to drop prices again…the good news
is that the market is definitely not plummeting anymore and, in certain
segments of the market, we actually have seen bottoming out and even a bit of
upwards correction. For example, the
average price for a 2 bedroom condo in The Village and Juniper Springs Resort
has increased from $365,000 to $410,000.
Here are some quick sales statistics from the past two
years:
Homes in 2010: 69 sales (16% short sales, 25% REOs), 42%
paid with all cash. Average price: $893,200 (7 homes sold over $1.8M).
Homes in 2011: 70 sales (10% short sales, 19% REOs) 34%
paid with all cash. Average price: $681,700.

Condos in 2010: 375 sales (15% short sales, 18% REOs),
54% paid with cash. Average price: $350,700
Condos in 2011: 295 sales (14% short sales, 27% REOs), 53%
paid with cash. average price: $299,100.

The hot buttons are still the foreclosures and now short
sales. A few years ago, less than half
of short sales would actually be approved.
Now we’re seeing most of them go through to a successful sale, given
that the buyer is patient enough. As far
as foreclosures go, it appears as though we still have a while before we’re done
with them. Those who have purchased
foreclosures or have attempted to purchase a foreclosure know that a buyer must
have their ducks in a row if they want to be the one to get the deal, as most
do end up with multiple offers if priced aggressively.
We hear people say often that “there is so much on the
market” when actually, that’s not really the case. Inventory levels are low, as compared with
the last 5 years or so. Inventory levels
typically drop during the winter season and then rise once again in the spring,
however if you compare levels now with levels from 2-3 years ago, they are
definitely lower (there are currently 175 condos on the market vs. 234 last
summer, and over 300 in the spring of 2009).
What we’ve been telling all of our clients is that
although we may not truly be “at the bottom” yet, now is a great time to buy
and ideally find just the property you want.
Even those looking to trade up are in a great position…they may be
selling one property at less than they had hoped, however if they’re purchasing
another property for a great deal they’ve actually made out with a lower tax
basis and a better property.
Although you can browse the MLS on almost any website
these days, you don’t get a totally accurate picture of what’s really
available. Within our MLS, buyers will
still see properties that are listed as “back-up” or “contingent short sales.” Back-up properties are typically in escrow
and waiting for buyers to remove contingencies.
Contingent short sales are short sales where the seller has accepted an
offer and is waiting for bank approval. It’s
important to make sure you’re getting accurate information, so don’t hesitate
to contact us for the latest info on a property.
We like to offer buyers our automated email service which
sends new and changed listings which match their criteria to their inbox so
they are well informed.
For those who definitely have to sell, the key is still
to price the property aggressively and put your best foot forward as far as
presentation goes.
Mammoth Weather:
Where is the snow!!!???? After
shattering the record last year for the most snowfall ever recorded, Mammoth is
starting this season off at the opposite end of the spectrum. That being said, Mammoth Mountain has done an
amazing job with their snowmaking to open as much of the mountain as possible. Just the other day, we skied with our
daughters over at Juniper Springs and had a great time. The weather pattern HAS given us some amazing
lake ice skating, however, which is definitely not a yearly thing. Although we’ve enjoyed the skating, it’s time
for some snow!!!!

Tara Peterson & Dennis Cox
Mammoth Realty Group
800-519-6550, 866-934-5852
visit us at www.MammothRealtySearch.com and www.MammothLakesForeclosures.com

Long time

Mammoth Lakes real estate update

Loooooooong time since our last blog! Our sincerest apologies! After a few rough years (starting in mid 2006) of dropping prices and uncertainty in the market, the Mammoth real estate market finally picked up in about the spring of 2009 and we’ve been quite busy since then! (Unlike our blog, we have been updating our REO website almost daily.)

Although prices may not be finished with their downward trend in some segments of the market, it does seem as though the “plummeting” is over. We have seen some price stabilization in certain segments of the market. Activity has been fairly consistent for the past couple of years, other than a few lulls here and there.

Supposedly, we have a couple more years of foreclosures coming our way, but the good news for Mammoth is that our foreclosures are selling as quickly as they’re listed in most cases. We’re definitely not seeing a glut of foreclosures. The foreclosures are, however, still the driving force as far as prices go.

If you’re still thinking about buying in Mammoth, it sure does seem like a good time to buy. The inventory selection is decent, interest rates are still low and prices are quite reasonable as compared with those at the peak in late 2005 and early 2006. Across the board, most of the prices that we’re seeing are back down to 2002/2003 levels, in some cases, lower.

Financing has been tough to get on many condo complexes in Mammoth because of how they look like ‘condo-hotels’ to most lenders (i.e. they have a front desk that handles nightly rentals). But our local Wells Fargo team has been approving more and more of these complexes over the last few months. So while cash had been king for the last few years, lending does seem to be getting more available.

As far as being a seller in this market, it’s all about price and presentation…buyers want it all right now. If you can price your property aggressively based on sales comps and can offer the property as turn-key as possible, then you usually have a good chance of selling.

As a very significant side note, Mammoth is in the midst of its biggest snowfall season ever recorded! The way it was dumping this past week, you would have thought it was a January/February storm! Plenty of fresh powder for all those up here already or on their way up.

Feel free to call us or email any questions you might have about the Mammoth real estate market!

Tara Peterson & Dennis Cox

Mammoth Realty Group

sierraTLC@earthlink.net & Dennis@DennisCoxRealEstate.com