Lyons Real Estate Market in Review: A Closer Look at 2021 and What Lies Ahead
Topic: Buyer And Seller Resources, Recent, Rural Living Blog, Uncategorized
As we step into the new year, it's an opportune time to reflect on the dynamics of the Lyons real estate market in 2021 and gain insights into what 2022 might have in store for prospective buyers and sellers.
2021: A Year of Surging Prices
In 2021, Lyons witnessed a significant surge in real estate prices, with the median home price soaring to an impressive $832,000. This figure represents a staggering 20% increase over the previous year, defying the pre-pandemic norms of 6-8% appreciation depending on the neighborhood.
It's important to note that Lyons isn't alone in experiencing this rapid price escalation. Nationally, homes appreciated by approximately 18% in 2021, indicating that this phenomenon is not exclusive to our picturesque Colorado town.
High Demand, Low Inventory, and Expectations for 2022
High demand coupled with a shortage of available homes on the market played a pivotal role in driving up prices in Lyons. As we look ahead to 2022, there's an expectation that appreciation will remain robust, possibly reaching double-digit figures once again. However, it's worth noting that another 20% increase is not considered sustainable in the long run.
Currently, there are only 18 active properties listed for sale in the Lyons area in the MLS. Among these, 12 are parcels of vacant land, some of which have languished on the market for over six months, and in some cases, even more than a year. Additionally, there are three commercial properties and just three homes available for purchase:
Big Elk Meadows: Priced at $599,000
Eagle Canyon: Listed at $815,000
Spring Gulch: A stunning property priced at $1,600,000
All three of these homes have only been on the market for a little less than a week and are anticipated to be under contract soon. With the coming of spring, we traditionally see more homes entering the market in March and April, so these numbers are expected to shift rapidly. Our team, along with many other top-producing Realtors, is currently preparing new listings for the upcoming spring market.
Mortgage Interest Rates: A Changing Landscape
Finally, it's crucial to address mortgage interest rates. This time last year, the 30-year interest rate averaged about 2.6%. However, today, rates have surpassed the 4% mark. While these rates are still historically low, experts anticipate a gradual upward trend throughout 2022. Therefore, prospective buyers should be prepared for potential changes in borrowing costs.
The Lyons real estate market experienced unprecedented growth in 2021, fueled by high demand and limited inventory. As we transition into 2022, we can expect robust appreciation to continue, albeit likely at a more sustainable pace. Keep an eye on changing mortgage interest rates, and stay tuned for more updates on the dynamic Lyons real estate market.