Breck real estate news

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How’s The Market?

Here’s some information about the real estate market in Breckenridge, Colorado

The above chart shows Breckenridge single family home prices (in blue), for January – October, for the years 2021, 2022, and 2023. It also shows similar information for condos in Breckenridge.

  • Blue is for single family homes in Breckenridge, and home prices have cooled a little – down 3.5% since last year
  • Orange is for condos in Breckenridge, and condo prices are continuing to rise

A Forecast for 2023

Amid higher mortgage rates and inflation, many buyers are presenting lowball offers, assuming that sellers are no longer in control. The buyers reason that the days of sellers asking for whatever they want, and having bidding wars for their properties is over, and so the sellers should be receptive to lower offers. This is partially true, but not entirely. Here are 2 reasons why:

First, this year I’ve had more people paying cash for their second homes here in Breckenridge and surrounding areas. Remember, Breckenridge is a resort market, so interest rates are not as much of a concern here, versus areas where people are struggling to finance their first home purchase. But, the way that it is affecting our investors in Breckenridge, is that they are now figuring “cash is king” and in some cases they are right. A cash transaction can close quickly, around 3 weeks, while a transaction with a loan will typically take 6-8 weeks. A quick closing is usually appealing to a seller.

Second, sellers are seeing more price reductions in their properties for sale and so they see this as a distressed or highly motivated seller. From what we are seeing these price reductions are due to the sellers learning that the crazy run on sales that we saw during the pandemic, where the sellers can demand whatever price they want and get multiple bids, is no longer the case. It takes awhile for both buyers and sellers to learn that this market is different, and more balanced for buyers and sellers. It is a more equal playing field you might say. So in this learning process, you will see price reductions periodically until the market will bear the sellers’ price. The market dictates the price always.
In an ever-changing world our Breckenridge market is no different so keeping educated is the best way to make a good decision. We are always here to discuss what the latest projections are during a specific season. We are your local experts!
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What Do Breck’s New Short-Term Rental Regulations Mean for Vacation Rental Property Owners

regulations for short term rentals in Breck

As the short-term rental market has boomed in recent years, rules and regulations to oversee the industry have not necessarily kept up. The Breckenridge Town Council recently passed new rules to try to balance the interests of rental owners with the concerns of neighbors who live near these properties.

What’s Changing?

The Town of Breckenridge approved a new fee structure for licensing short-term rentals (an annual fee of $25 – $150 based on the number of bedrooms) and a new process for inspections (the town will try to reach owners before inspections unless it’s an emergency). However, a new 24-hotline to report complaints is drawing the most attention from owners.

Who You Gonna Call?

When a complaint is called in, the hotline will contact the “designated agent” listed on the rental license, who will have one hour to resolve the problem. The agent doesn’t need to be the owner or a property management company – a friend, family member or neighbor can serve as an agent, but must be available 24 hours a day, 7 days a week to respond to complaints.

Mixed Reaction to the New Rules

The new rules are intended to be less restrictive than measures in similar resort communities, which is good news for vacation rental owners in Breckenridge. Vail, for example, requires a response within 30 minutes of calls to the complaint hotline. Owners who manage their own short-term rental properties or use a property management company are worried about the burden of responding to complaints within one hour, especially if the call may come in the middle of the night or require a visit to the rental unit.

An Ounce of Prevention

Breckenridge short term vacation rentals regulations

There are things you can do to try to avoid trouble with the new rules. Parking, noise and trash are the most common complaints concerning short-term rental units in mountain communities like Breckenridge. Try to head trouble off at the pass by including your neighborhood rules in your marketing materials and rental agreements and remind guests of the rules when they arrive. Post a friendly reminder near your trash cans about being careful with garbage – think bears! – and ask guests to keep the volume down so everyone – visitors and neighbors – can enjoy everything Breckenridge has to offer.

If you’re looking for a vacation home or investment property in Breckenridge or have questions about the latest trends and topics in our real estate community, please contact The Moen Team. Secondly, follow us on Facebook, Twitter and Instagram to see the latest news.

We’re here to help!

To read the new rules and regulations from the Breckenridge Town Council, go to: https://www.townofbreckenridge.com/home/showdocument?id=16079.