It seems that what Breckenridge Colorado and Summit County are currently experiencing is a wide separation in price between sellers & buyers in regards to the market value of real estate.  The majority of sellers in the Breckenridge and Summit county area don’t have to sell and the majority of buyers don’t have to buy.  This puts buyers and sellers at an odd impasse when trying to negotiate a transaction.  Sellers are beginning to realize and accept that selling their property in this market means having to negotiate on their bottom price (something they have not had to do in years). But the sellers’ idea of negotiating and the buyers’ idea that we are in a Florida market price is just not matching up.  Breckenridge Realtors are trying to prepare their sellers for low-offers but sellers have been pretty clear that although they will negotiate, they will not “give” their property away.  This still leaves buyers in a good position.  All in all they are getting a good discount.

Inventory has started to climbed second quarter. There have been about half the numbers of buyers in the market our first quarter, but buyers seem to be coming out of the woodwork. With our market inventory high, investors have a great choice of fine ski area properties to choose from and have the buyer’s market for negotiating.  There really are some great deals out there—these are some of the best deals our market has seen in years.  After experiencing this type of market over the  past 30 years, it has been my experience that buyers aren’t sure they want to purchase a second home—  In a couple of years they will be saying “I should have bought something in 2009.”  I realize some buyers are trying to wait for the bottom of the market but how do you determine where and when that is? You may miss it. I believe with all types of investments it is about time in the market instead of timing the market. With prices down, and interest rates at a fantastic rate (all time low) my opinion is if you are searching for a second home purchase for your family…NOW IS THE TIME TO CONSIDER A PURCHASE IN BRECKENRIDGE OR THE SUMMIT COUNTY AREA.

Please contact:  An experienced real estate professional, Jonna Beardsley 970-390-2533 “I am only a phone call away.”jonna@breckenridgeassociates.com

There is no place like Breckenridge homes, especially the Festival of Film event in Breckenridge Co. aka Breckenridge Ski Resort in the Colorado Rocky Mountains!  The Breckenridge Co Festival of Film was established in 1981, making it one of the oldest film festivals in the country. The Festival has hosted such guests as Alan Arkin, Sydney Pollack, Mary Steenburgen, and Donald Sutherland. Our four Summit County theaters hosts’ premier features, and Breckenridge friends and volunteers, help make this a splendid mountain event.

The Breckenridge Film Festival has a great web site connecting visitors with lodging for beautiful Breckenridge homes and Breckenridge condominiums offering off season favorable nightly rates. Be sure to check out all of the parties and events and festival schedule. It is a great time to interact with the stars. SEE: (breckfilmfest.COM)

The Breckenridge Festival of Film is proud to announce that Breckenridge Associates (Jonna Beardsley- partner) is honored to receive the “Sponsor of the Decade” award for their continued support.  Director Dawna Foxx, stated that our Breckenridge Real Estate Hometown team has truly lived up to their name with the support of the Film Festival.  Also, stating our donations sponsorship dollars and numerous volunteer hours. Our hat is off to this non-profit organization.  They work hard with fundraising events, and are known for the many private and local contributions.  The revenue from tickets and merchandise sales help provide funding.

Breckenridge was established in 1859 and boast much of the look and historic charm of its prior fame as a late 1800’s mining town. In a spectacular setting 9,600 feet above sea level, summer and fall visitors enjoy many recreational opportunities from fishing, golf, tennis and horseback riding, to biking, hiking, sailing and rafting. Hockey players and family members will enjoy the two ice rinks, as well as a full recreation center with a climbing wall and skate park.
Breckenridge is located approximately 90 miles west of Denver via interstate highway 70. The town offers historical tours, art galleries, many shops and fine dining.

If you have an interest in Breckenridge Colorado real estate contact Jonna Beardsley, Broker/Owner. I can help you with a tour around town or sign up to receive my  by-annual real estate magazine called “The Source” or news letter update for the Breckenridge real estate economy, homes of interest, and inter active online magazine.

I am only a phone call away. “Serving the Breckenridge community for close to 3 decades.” 970-390-2533 or e-mail jonna@breckenridgeassociates.com

The market for our Summit County real estate in these communities, as well as in Silverthorne, Dillon, Frisco, Copper Mountain, and Montezuma, and recreational real estate in Park County has slowed down over the last two years.  According to the National Association of Realtors® (NAR), this local trend is in line with research about national statistics for the sales of vacation and investment homes in 2008. 

In the U.S., 30 percent of all existing- and new-home transactions in 2008 involved vacation and investment properties.  Twenty-one percent of sales in 2008 were investments and 9 percent were vacation homes.

However, that is a significant drop from the previous year.  In 2007, 740,000 vacation homes sold.  By 2008, the number of vacation homes sold dropped 30.8 percent to 512,000.  These sales had peaked in 2005 when second homes comprised 40 percent of sales.  In a recent news release, NAR chief economist Lawrence Yun addressed the issue.  “We expected vacation-home sales to fall given the impact of a declining economy on discretionary purchases.” 

Investment home sales dropped 17.2 percent, from 1.35M in 2007 to 1.12M in 2008.  Yun explained that investment-home sales are more stable as buyers are taking advantage of deeply discounted prices in some areas.

Interestingly, with people shifting their portfolios around trying to adjust to the throes of the national economy, a substantial number of sales are cash transactions.  Thirty percent of vacation-home buyers paid cash and 40 percent of investment-home buyers paid cash.

Yun explained that in the long term, with almost 40M potential buyers in the 50-to-59 age bracket on track to buy second homes and 45M more in their forties, middle-aged buyers will most likely lead the second home market into many successful years ahead.

Nationwide in 2008, 70 percent of vacation homes were single-family homes, 18 percent condos, 5 percent townhouses. Similarly, 64 percent of the investment homes purchased were single-family homes, 22 percent condos, and 8 percent townhouses.

Jonna Beardsley of Breckenridge Associates offers a wealth of information about real estate in the Rocky Mountains.  Call Jonna at (970) 453-2200 for friendly, professional assistance.

Investment real estate can be folded into a special IRA or 401(k) vehicle.  For some people, this can be a valuable option for retirement savings.  And Breckenridge, Keystone, and Copper Mountain real estate in Summit County is presently poised to offer a jumpstart on these savings.  As local residents use the current climate to upsize, better deals are becoming available for investors. 

How does the real-estate investment work into a retirement plan?  The option to purchase real estate in a retirement plan has been around since IRAs were developed in the 1970s.  It allows the purchaser to buy real estate and without paying taxes on the profits and gains until retirement age.  It can be woven into an IRA or in a 401(k).  The type of IRA used determines whether the profits are tax deferred or tax free.

There are several intricate guidelines for retirement plans.  Retirement investments are structured by rules that must be followed precisely.  The buyer may not personally use or benefit from the real estate being purchased by the IRA or 401(k).  It must be owned solely as an investment and the owner and his/her family may not vacation on the premises.  In order to avoid any potential issues in the future, it is best for each investor to consult a tax attorney or CPA for tax, legal, and financial advice.

While our recent market has been going through a typical correction, prices have been leveling out allowing buyers to lock in 2007 prices during 2008 and into 2009.  Nonetheless, our resort market values have been steadily increasing over the past 25 years with the exception of a similar plateau in 2001. 

These good prices coupled with great rental potential make Summit County a perfect place to purchase a retirement investment.  As a world-class destination for skiers, snowboarders, and for year-round recreation, rental-property owners and property management companies continue to thrive. 

Jonna Beardsley of Breckenridge Associates offers a wealth of information about real estate in the Rocky Mountains.  Call Jonna at (970) 453-2200 for friendly, professional assistance.

A reverse mortgage offers immediate money to homeowners 62 year old and over based on the equity built up on their homes.  Payments are deferred until the owner dies or sells the home or permanently moves on.  That means extra cash to pick up a parcel or fractional portion of Summit County real estate.  Putting money into Breckenridge Colorado real estate, seniors will now that if circumstances warrant pulling out the equity, the reverse mortgage is a better tool today than it was 2 months ago. 

The complicated Housing and Economic Recovery Act of 2008 includes a cap on the amount of origination fees that lenders can charge for reverse mortgages.  The new cap goes like this.  Pay only 2 percent on the first $200,000 of your home’s value and 1 percent on the remaining balance.  There are limits to these loans, albeit that amount is not yet determined because of some ambiguity in the legislation.

Traditionally, reverse mortgage lenders heaped on hefty upfront fees.  Some contracts were even flawed and contained huge appreciation shares for the lender.  Even so, the use of reverse mortgages has been on the rise.  The Home Equity Conversion Mortgages (HSCM) handles 85 percent of the reverse mortgage market.  HECM says that in 2005, they handled 43,131 reverse mortgages and by 2007 the number had more than doubled to 107,367.

Why not?  Owners who use this vehicle to pull equity out of their homes do not have to prove income or credit worthiness and do not have to move, give up title, or make monthly payments.  If a retired homeowner sees that his or her social security, IRAs, pensions, investments, and savings are not providing sufficient income to cover their current needs, the reverse mortgage provides the plus factor.  Monies can taken is a lump sum, fixed monthly payments, a line of credit, or a combination. 

The money can be used however you’d like:  for medical bills, to retire an old mortgage, or to invest in a fractional in our beautiful mountain resort to be visited by family and friends for years.  Contact Jonna Beardsley at (970) 453-2200 at Breckenridge Associates for friendly and professional real-estate assistance in the area.

There is a domino effect of sorts that affects luxury real estate in Breckenridge.  Some buyers of Breckenridge CO homes pay cash—about a third.  Other buyers in the Summit County market may have funds tied up in real estate investments in cities that have been majorly affected by the housing crisis.  According to comments made by Lawrence Yun, National Association of Realtors chief economist to Realty Times Staff, “What we’re seeing is the momentum of people taking advantage of low home prices, with pending home sales up strongly in California, Nevada, Arizona, Florida, Rhode Island, and the Washington D.C. region.” 

NAR reported that in August 2008 pending U.S. home sales surged 7.4 percent.  Across the nation, according to Realtor.org, there was a 7 percent decrease in total housing inventory.  At the end of August, 4.26 million existing homes or a 10.4 month supply, were available.  A 6.2 percent decline in total new construction starts is helping to lower inventory. In the western part of the country, single-family homes closed at the rate of 18.4 percent.  The national median existing-home price fell to $203,100 for all types of units.

This summer, Denver ranked 2nd of 20 metropolitan areas studied in Standard & Poor’s Case-Shiller Home Price Indices.  In August 2008, the median price for single-family homes was $225,000 and the average price was $245,753.  Inventory fell 20 percent over the past year with buyers taking advantage of low interest rates and lower prices.

As owners across the county more easily liquidate real-estate holdings, they are shopping in Summit County for vacation properties.  Baby boomers look to our idyllic setting to retire for family vacations and reunions and the new financially savvy generations of young professionals hunt for second homes and investments.  The time is right to get into more affordable resort properties.

We are definitely looking to ride the lift back up the slopes, though it may not be a Gondola Express like we saw a few years ago.  Contact Jonna Beardsley at (970) 453-2200 or (800) 774-7970 for friendly and professional real-estate assistance in the area.