Telluride Real Estate Activity Report: Q4 2024

 

Can you believe it's been five years since 2020? And what an incredible five years it has been! Property values have more than doubled in some cases, with annual average appreciation reaching 18%. The average sale price for homes in Mountain Village hit $9.8M, a significant leap from the days when $10M sales were rare. Meanwhile, the average home sale price climbed to $6.5M in the Town of Telluride. The commitment of Four Seasons to this market and Telluride’s rise to becoming a hub for high-end properties, with 38.5% of listings priced above $5M, underscores the area’s transformation.

 

It’s no surprise that top-tier ski resorts in the U.S. have reached ultra-luxury status, similar to their European counterparts. Ski destinations are inherently limited, visually stunning, and in high demand due to their lifestyle and recreational opportunities.

 

This year, Telluride's sales volume exceeded $1 billion, marking a 16% increase over 2023, despite the challenges of an election year when many markets experienced slowdowns. Inventory levels remain tight—approximately 50% of what they were between 2015 and 2019—while demand continues to rise. This dynamic has driven a 7% increase in average sale prices, a trend likely to continue as people prioritize quality of life. With Four Seasons penthouses now trading at $20M-$30M and exceeding $5,000/sq ft, the market’s trajectory appears robust.

 

Zooming in on specifics, downtown Telluride experienced a remarkable 47% increase in average sale prices over last year. Mountain Village saw an 18% overall decline in prices, though properties priced above $5M enjoyed a 5% increase, demonstrating resilience at the upper end of the market. Compared to 2023, residential properties in Telluride experienced 26% more sales, a 59% increase in dollar volume, and an 18% rise in price per square foot, now averaging $2,212/sq ft. Single-family homes in Mountain Village saw sales rise by 4%, dollar volume grow by 19%, and price per square foot inch up 1% to $1,608/sq ft. Condos in Telluride saw modest growth in sales (2%), a 32% jump in dollar volume, and a 15% increase in price per square foot to $2,033. In contrast, Mountain Village condos faced a 41% decline in sales volume, a 52% drop in dollar value, and a slight 1% decrease in price per square foot to $1,371, largely due to limited inventory and fewer high-end transactions. However, pending sales at Highline Residences and Four Seasons signal healthy demand within this segment.

 

Despite these fluctuations, Mountain Village continues to secure significant sales, including transactions up to $20M. Of the two towns, Mountain Village accounted for 27 of the 48 sales above $5M and 10 of the 14 sales above $10M, reinforcing its reputation as the go-to location for buyers seeking spacious, luxurious homes.

 

Despite Telluride becoming a high concentration of ultra-luxury properties, it still tends to fly below the radar and enjoy a very low key, unassuming character. Maybe that is why it is so desirable...everyone wants to live in a postcard with a tremendous community!