Average home price in Durango reaches a record $285,000
While prices are cooling off in many other parts of the state, housing prices are rising in Durango with the median cost reaching a record $285,000. Thats a 19 percent increase from a year ago.
Real estate agents attribute the higher prices to the decline of the stock market, lingering fears of terrorist attacks and nearby wildfires.
Paula Schaefer said she often shows homes and writes offers within two days, only to find someone else has beat her buyers.
Data from the Durango Area Association of Real Estate Agents shows a big jump not only in prices compared with a year ago, but also in the number of homes sold, and the total value of these homes. The number of houses sold in the city was up 50 percent.
Prices are rising most for high-end homes, Schaefer said. The associations statistics show the most expensive home sold during the fourth quarter was $825,000, up from $560,000 a year ago.
Robyn Wille, owner of Timberline Real Estate, said prices jumped because after the Missionary Ridge Fire people who lived in threatened outlying areas wanted to live in town.
When the fires were raging people wanted to feel safe, she said. I saw the price of in-town homes shoot straight up, with homes selling for $225,000 before the fire suddenly selling for $245,000 right after.
Wille said prices in Durango are also increasing because many retirement investment portfolios have been decimated by stock market losses.
People, including me, are taking a huge hit in our retirement funds, she said. Buyers see real estate as a getting back to the basics, a view that has become more common since the 9-11 terrorist attacks, Wille said.
Schaefer said the warm winter was also benefiting real estate sales because homes are easier to show. The warm weather may be bad for the community in terms of moisture, but it is good for Realtors, she said.
