The allure, flexibility and absolute necessity of remote work during the pandemic has led to major shifts in the housing market starting in 2022. Affluent Americans have taken advantage of market conditions to move out of pandemic hotspots ( mainly cities) and flocked to the suburbs and beyond in search of a lower cost of living, larger properties and a slower pace of life.
According to a recent report by red fin, demand from second home and investment property buyers is up 87% from pre-pandemic levels. Demand for second home mortgages exceeds demand for primary homes, which is up 42% from pre-pandemic levels.
The vacation home boom has also affected house prices in seasonal towns with rates rising 20% outpacing non-seasonal towns and is expected to continue through 2022.
Knowing this, ATTOM datacurator of real estate data on a national scale, in partnership with ZRankings.coma website that specializes in analyzing “seemingly immeasurable” amounts of data on North American ski resorts, to find out if finding a second home at a resort is worth the risk.
Combining the ZRankings list of America’s Top Ski Resorts with real estate data from ATTOM, Pitkin County, Colorado (home to Aspen Snowmass Ski Resort) was found to have the highest median sale price in 2021 to $1.69 million, up 39% from 2020. This was followed by Teton County, Wyoming (home to Jackson Hole ski resort) where the median home cost $1 $.28 million, up 34% from 2020; and San Miguel, Colorado (Telluride Ski Resort) where homes cost $1.28 million, up 26% year over year.
Digging deeper into these three locations, it was found that these three counties also ranked first in five-year home price growth─San Miguel County had the strongest growth, gaining 143% since 2016. Teton County followed with gains of 138% and Pitkin County, which has seen housing stock increase 125% since 2016.
When comparing return on investment (ROI) to original purchase price, Teton County again ranked first, achieving an ROI of 105% or a profit of $659,875. This is followed by Routt County, Colorado (home to Steamboat Springs Ski Resort), which recorded an ROI of 92% or $318,500. The average home seller in these two counties more than doubled that of the national return on investment of 45%.