April 4, 2023
Mammoth Lakes Real Estate Market Update for April 2023
As we enter the 2nd quarter of 2023, we continue with the trend set in the last few months of 2022 – low inventory, stable prices and longer days on the market. The Mammoth Lakes real estate market can be summed up in a few key points.
Inventory continues to be low for both condos (30) and single-family homes (12). Historically there is an increase in inventory in the spring and the record-breaking snowfall appears to be delaying the influx of new listings. However, we expect that to change soon based on the volume of potential seller inquiries we have received.
It all comes down to supply and demand. Prices will continue to hold if inventory remains low.
The conforming rate for a 30-year fixed mortgage is 6.44%, while a 30-year jumbo is 5.95%. This is an average rate with no adjustment for occupancy, credit score, down payment or type of property. These rates are down slightly from earlier this year.
The record-breaking snowfall has created two very different groups. Many long-time property owners are simply tired of all the snow. It has been a tough winter for some and this is pushing some towards selling sooner than anticipated. For buyers, many are excited about the snow and are planning on achieving their dream of owning in Mammoth Lakes sooner than planned. The outstanding question is whether these two groups will actually intersect – will the properties being listed match the criteria of those who want to buy?
In the short-term, the supply of homes for sale will remain below the averages for the last 10 years. We expect listing activity to loosen up in the next several weeks. Depending on the amount of inventory will determine whether there will be any price adjustment. If the supply remains below the level of demand, the prices will hold. As for sale prices, we believe that the median home price this year will be consistent with the second half of 2022 and there will be a significant drop in the volume of sales. The median prices reflected in this report are for only 3 months and do not define a trend.
It is helpful to look at the current market in two different segments: single-family homes and condos/ townhomes. With only three months of activity for 2023, we will look at the activity so far this year as well as 2022 as it compares to 2021. This data is through March 31, 2023.
Single-Family Homes (SFH)
It is important to have realistic expectations when selling your property. Mammoth Lakes is a different market than other areas in California, which are mainly focused on full-time owner-occupied properties. This is primarily a second home / discretionary income market, and as the market continues to normalize after the crazy "COVID era," sellers should not expect multiple over-asking price offers. While properties are still selling, most are taking longer than they did in the last 24 months. If you are even remotely thinking about selling, contact our team to schedule a no-obligation Property Playbook & Strategy session. With the right strategy and patience, we will get your property sold.
As long as inventory remains low, most sellers are firm on their asking price. This is a market for astute buyers and this is where our experience can help you with a successful offer and closing. If you are not a cash buyer, contact a lender in advance to get pre-approved and make sure you understand the different options available as the interest rates continue to increase. We can connect you with lenders with a proven track record of success in our area and creative options (i.e., possible seller buy-down of your rate for the first 2-3 years). Lending rules have changed on many condo projects in Mammoth. Many buyers do not know that not all lenders can lend in specific projects in Mammoth Lakes. We can help you increase your chances of securing the property of your dreams in this challenging market, so reach out to me for a free consultation to set you on the right path to achieving your goal of owning property in Mammoth Lakes.
Whether you are a seller or a buyer, there is no doubt you will benefit from teaming with an educated and experienced Realtor® to help you navigate the current market. We have tools, resources and expertise to make buying and/or selling as hassle free as possible.
Stay up to date on the latest real estate trends.
November 13, 2023
November 13, 2023
October 22, 2023
October 16, 2023
October 11, 2023
October 9, 2023
October 7, 2023
October 1, 2023
September 11, 2023
You’ve got questions and we can’t wait to answer them.