For more information, contact Amy Nakos at Landmark Real Estate Group, LLC at
(970)-668-1430- office
(970)-389-8388- cell
111 Main Street PO Box 630 Frisco, CO 80443
Showing posts with label Fractional Ownership of Resort Real Estate - an Affordable Solution. Show all posts
Showing posts with label Fractional Ownership of Resort Real Estate - an Affordable Solution. Show all posts
Tuesday, March 25, 2008
Tuesday, February 12, 2008
"How is 'the market' doing!?"
I am often asked, "How is 'the market' doing!?" with the questioner wondering whether they should be ready for a barrage of complaints to stream out of my mouth. However, I always respond: "Great!" -- and I'm being honest. The media has represented, in very broad strokes, a nationwide real estate market crisis. Luckily, it has not applied to us.
How is it that Summit County and other ski resort real estate markets like Vail and Steamboat, have remained virtually immune from the real estate problems facing most of the rest of the country? I have a few theories:
First, almost 70% of home owners in Summit County are second homeowners. Second (or subsequent) homeowners' purchases of real estate are discretionary, which means that they normally have the financial resources to complete the sale. We have not seen the volume of sub-prime loans that other communities have experienced given the demographics of our buyers. Therefore, we have very few foreclosures compared to areas where sub-prime loans were more prevalent.
Second, land is at a minimum. In most ski resort communities, the terrain is heavily forested with steep mountain pitches. What is buildable is often already built out or owned by government agencies like the Forest Service. Further, mountain planning commissions are very careful as to what is allowed to be built. So, developers cannot come into mountain communities, buy up land, and build numerous huge condo developments, as happened in Florida, for example. During the housing boom, development units were purchased heavily by speculators who wanted to "flip" the units when the project was complete. After the real estate market slowed, there were not enough buyers to absorb the speculators' purchases. Consequently, developments have stopped and speculators purchased units for more money than they are worth today.
Finally, our inventory is low compared to the number of units available in Summit County. From a simple supply and demand approach, we have more than enough buyers who want a piece of paradise to consume the available properties for sale.
So, in closing, if you are thinking of buying a first or second home in Summit County, don't be afraid of "the market." But, also don't expect to get a bargain because of "the market."
Amy Nakos, JD, CLHMS
How is it that Summit County and other ski resort real estate markets like Vail and Steamboat, have remained virtually immune from the real estate problems facing most of the rest of the country? I have a few theories:
First, almost 70% of home owners in Summit County are second homeowners. Second (or subsequent) homeowners' purchases of real estate are discretionary, which means that they normally have the financial resources to complete the sale. We have not seen the volume of sub-prime loans that other communities have experienced given the demographics of our buyers. Therefore, we have very few foreclosures compared to areas where sub-prime loans were more prevalent.
Second, land is at a minimum. In most ski resort communities, the terrain is heavily forested with steep mountain pitches. What is buildable is often already built out or owned by government agencies like the Forest Service. Further, mountain planning commissions are very careful as to what is allowed to be built. So, developers cannot come into mountain communities, buy up land, and build numerous huge condo developments, as happened in Florida, for example. During the housing boom, development units were purchased heavily by speculators who wanted to "flip" the units when the project was complete. After the real estate market slowed, there were not enough buyers to absorb the speculators' purchases. Consequently, developments have stopped and speculators purchased units for more money than they are worth today.
Finally, our inventory is low compared to the number of units available in Summit County. From a simple supply and demand approach, we have more than enough buyers who want a piece of paradise to consume the available properties for sale.
So, in closing, if you are thinking of buying a first or second home in Summit County, don't be afraid of "the market." But, also don't expect to get a bargain because of "the market."
Amy Nakos, JD, CLHMS
Friday, February 8, 2008
What Can I Get for My Money in Summit County?
Summit County is a ski resort community that draws around 4 million visitors a year. Often, we are asked "How much does it cost to buy a place here?". So, we created this document called "What Can I Get For My Money?". We thought you might find this interesting and perhaps useful.
What can I get for my Money?
Breckenridge
-1 Bedroom Condo
561 Sq. Ft.
1140 Ski Hill Dr. Bldg D Unit #27
$299,900
-2 Bedroom Condo
1,242 Sq. Ft.
227 Fuller Placer Dr Bldg 1 Unit #6
$369,900
-3 Bedroom Town Home
1,604 Sq. Ft.
1128 Baldy Rd.
$429,000
-4 Bedroom Single Family Home
3,818 Sq. Ft.
26 Forest Circle
$1,450,000
Copper Mountain
-Studio
484 Sq. Ft.
Telemark Lodge Condo Unit #212
$225,000
-2 Bedroom Condo
900 Sq. Ft.
Passage Point Unit# 602
$509,000
-3 Bedroom Town Home
1,516 Sq. Ft.
78 Golf Course Rd. Unit #17
$795,000
-4 Bedroom Town Home
2,667 Sq. Ft
39 Union Creek Rd. Bldg 2 Unit #39
Union Creek Townhomes West Condo
$1,436,900
Dillon
-2 Bedroom Condo
762 Sq. Ft.
923 Straight Creek Dr. Bldg T Unit # T102
$215,000
-2 Bedroom Condo
1017 Sq. Ft.
103 La Bonte Bldg E Unit #304
Lake Cliff Condo
$427,000
-3 Bedroom Town Home
1,914 Sq. Ft
1759 Skyline Dr.
Lookout Ridge Townhomes
$539,000
-4 Bedroom Single Family Home
3,471 Sq. Ft.
24 Brushwood Dr.
Whispering Pines Ranch
$950,000
Data obtained from www.summit.mlxchange.com
Listings may not be current
For more information: Landmark Real Estate Group,LLC
111 Main St. PO Box 630
Frisco, CO 80443
(970)-668-1430 www.landmarkregroup.com
What can I get for my Money?
Breckenridge
-1 Bedroom Condo
561 Sq. Ft.
1140 Ski Hill Dr. Bldg D Unit #27
$299,900
-2 Bedroom Condo
1,242 Sq. Ft.
227 Fuller Placer Dr Bldg 1 Unit #6
$369,900
-3 Bedroom Town Home
1,604 Sq. Ft.
1128 Baldy Rd.
$429,000
-4 Bedroom Single Family Home
3,818 Sq. Ft.
26 Forest Circle
$1,450,000
Copper Mountain
-Studio
484 Sq. Ft.
Telemark Lodge Condo Unit #212
$225,000
-2 Bedroom Condo
900 Sq. Ft.
Passage Point Unit# 602
$509,000
-3 Bedroom Town Home
1,516 Sq. Ft.
78 Golf Course Rd. Unit #17
$795,000
-4 Bedroom Town Home
2,667 Sq. Ft
39 Union Creek Rd. Bldg 2 Unit #39
Union Creek Townhomes West Condo
$1,436,900
Dillon
-2 Bedroom Condo
762 Sq. Ft.
923 Straight Creek Dr. Bldg T Unit # T102
$215,000
-2 Bedroom Condo
1017 Sq. Ft.
103 La Bonte Bldg E Unit #304
Lake Cliff Condo
$427,000
-3 Bedroom Town Home
1,914 Sq. Ft
1759 Skyline Dr.
Lookout Ridge Townhomes
$539,000
-4 Bedroom Single Family Home
3,471 Sq. Ft.
24 Brushwood Dr.
Whispering Pines Ranch
$950,000
Data obtained from www.summit.mlxchange.com
Listings may not be current
For more information: Landmark Real Estate Group,LLC
111 Main St. PO Box 630
Frisco, CO 80443
(970)-668-1430 www.landmarkregroup.com
Wednesday, February 6, 2008
Frisco Addresses the Need for Affordable Housing
Frisco Addresses the Need for Affordable Housing
A few months ago, I was asked to participate in a citizens’ discussion group about the future of a parcel of land in Frisco. This triangular parcel is 12.8 acres and is named the Peak One Parcel. It is located along the bike path in Frisco and bordered by Fifth Avenue and Belford Streets.
The Town of Frisco has engaged Perry-Rose, a Denver planning, development and advisory firm, to work with the town and its citizens to create a socially and environmentally responsible mixed income housing community on this parcel. The Town of Frisco is sensitive to the fact that housing prices in Frisco have made home ownership for its local workers almost impossible.
In meetings and discussions with town planners and Perry-Rose, most comments and concerns were about density, ensuring that the design of the housing compliments the location, preserving the trails and wetlands, and building environmentally responsibly. In October, an open town meeting was held where citizens met with Perry Rose to further discuss visions for this parcel of land. On November 29, another meeting was held where citizens provided comments on alternate site plan concepts designed by Perry-Rose.
Regardless of your opinion on attainable housing, these facts may come as a surprise to you.
65 percent of Frisco residences are second homes.
Between 1990 and 2000, Frisco saw a decrease in residents of ages 0-4 and 35-39. The 5-9 and 30-34 age-groups stayed about the same, but the 50-64 group more than doubled. And the 65-79 age-group more than quadrupled.
In the 2006 Frisco Community Survey, only 27 percent of business owners surveyed reported that they have employees who live in Frisco.
Frisco Elementary School has seen a decline in enrollment by Frisco children. In 2006 the school’s total enrollment was almost 10 percent lower than it was the previous year. Many Frisco students do not live in town.
In the 2006 Frisco Community Survey, 67% of Frisco businesses indicated that employee retention/recruitment and lack of affordable housing were the great challenges they faced.
In 1990 the gap between median home price and one person median income was three times higher than income, and in 2007 the gap is 14 times higher than income.
A January 2005 study commissioned by the Summit County Housing Authority concluded that about 3,150 affordable homes will be needed county wide by 2010.
A 2005 study by the Rural Resort Region evaluated the cost of housing in Colorado’s mountain counties. Compared to the U.S. Standard for a family with median household income, the study found Summit County housing to be 283 percent higher than the national average.
For more information on the Peak One Parcel, please visit www.townoffrisco.com.
A few months ago, I was asked to participate in a citizens’ discussion group about the future of a parcel of land in Frisco. This triangular parcel is 12.8 acres and is named the Peak One Parcel. It is located along the bike path in Frisco and bordered by Fifth Avenue and Belford Streets.
The Town of Frisco has engaged Perry-Rose, a Denver planning, development and advisory firm, to work with the town and its citizens to create a socially and environmentally responsible mixed income housing community on this parcel. The Town of Frisco is sensitive to the fact that housing prices in Frisco have made home ownership for its local workers almost impossible.
In meetings and discussions with town planners and Perry-Rose, most comments and concerns were about density, ensuring that the design of the housing compliments the location, preserving the trails and wetlands, and building environmentally responsibly. In October, an open town meeting was held where citizens met with Perry Rose to further discuss visions for this parcel of land. On November 29, another meeting was held where citizens provided comments on alternate site plan concepts designed by Perry-Rose.
Regardless of your opinion on attainable housing, these facts may come as a surprise to you.
65 percent of Frisco residences are second homes.
Between 1990 and 2000, Frisco saw a decrease in residents of ages 0-4 and 35-39. The 5-9 and 30-34 age-groups stayed about the same, but the 50-64 group more than doubled. And the 65-79 age-group more than quadrupled.
In the 2006 Frisco Community Survey, only 27 percent of business owners surveyed reported that they have employees who live in Frisco.
Frisco Elementary School has seen a decline in enrollment by Frisco children. In 2006 the school’s total enrollment was almost 10 percent lower than it was the previous year. Many Frisco students do not live in town.
In the 2006 Frisco Community Survey, 67% of Frisco businesses indicated that employee retention/recruitment and lack of affordable housing were the great challenges they faced.
In 1990 the gap between median home price and one person median income was three times higher than income, and in 2007 the gap is 14 times higher than income.
A January 2005 study commissioned by the Summit County Housing Authority concluded that about 3,150 affordable homes will be needed county wide by 2010.
A 2005 study by the Rural Resort Region evaluated the cost of housing in Colorado’s mountain counties. Compared to the U.S. Standard for a family with median household income, the study found Summit County housing to be 283 percent higher than the national average.
For more information on the Peak One Parcel, please visit www.townoffrisco.com.
Friday, February 1, 2008
Copper Mountain Offers Ski-In, Ski-Out Living
Copper Mountain/Frisco, Amy Nakos
In this month’s column, I wanted to focus on real estate opportunities and proposals for change at Copper Mountain. As Summit County Brokers, I urge you to consider showing Copper Mountain to your buyers who are looking for a resort experience along with a great ski mountain.
Real Estate Opportunities
Do you have clients in the luxury market who are looking for ski-in, ski-out living? Then you should take a look at Lewis Ranch. Lewis Ranch, a gated community, is located on the west side of Copper Mountain, just past the Union Creek ski areas. The homes are located on the ski run, or so close that it hardly feels like an inconvenience to walk a few steps to the runs. Currently there are three single family homes listed from $3,995,000 to $4,100,000, and are all over 5,000 square feet. One is available for occupancy; the other two are planned for or under construction.
A number of ski-in, ski-out duplexes are also available in Lewis Ranch, ranging in price from $1,895,000 to $3,097,000. They range in size from 2,700 square feet to over 4,200 square feet.
Maybe your client wants to build? There are 12 lots available for purchase in the Lewis Ranch neighborhood ranging in price from $989,000 to $1,350,000.
Copper Mountain also has a wide variety of condos to choose from located in the East and Center Villages ranging in price from $295,000 to $1,199,000.
Proposed Changes at Copper Mountain
For the past few years, Copper Mountain has been working on getting a Planned Unit Development approved through the Ten Mile Planning Commission and The Board of County Commissioners. The last work session was December 4, 2007 and another work session is planned for December 18, 2007.
At the December 4 work session, Copper Mountain proposed concentrating density in the core of the resort including preliminary plans for a 10-story hotel on the site of the existing Chapel parking lot. Copper is also proposing a new neighborhood near the Alpine (“A-lift”) area and added density near the Copper Valley Condo.For more information on the Summit County planning department and about Copper's PUD application go to http://www.co.summit.co.us/Planning - under current projects.
In this month’s column, I wanted to focus on real estate opportunities and proposals for change at Copper Mountain. As Summit County Brokers, I urge you to consider showing Copper Mountain to your buyers who are looking for a resort experience along with a great ski mountain.
Real Estate Opportunities
Do you have clients in the luxury market who are looking for ski-in, ski-out living? Then you should take a look at Lewis Ranch. Lewis Ranch, a gated community, is located on the west side of Copper Mountain, just past the Union Creek ski areas. The homes are located on the ski run, or so close that it hardly feels like an inconvenience to walk a few steps to the runs. Currently there are three single family homes listed from $3,995,000 to $4,100,000, and are all over 5,000 square feet. One is available for occupancy; the other two are planned for or under construction.
A number of ski-in, ski-out duplexes are also available in Lewis Ranch, ranging in price from $1,895,000 to $3,097,000. They range in size from 2,700 square feet to over 4,200 square feet.
Maybe your client wants to build? There are 12 lots available for purchase in the Lewis Ranch neighborhood ranging in price from $989,000 to $1,350,000.
Copper Mountain also has a wide variety of condos to choose from located in the East and Center Villages ranging in price from $295,000 to $1,199,000.
Proposed Changes at Copper Mountain
For the past few years, Copper Mountain has been working on getting a Planned Unit Development approved through the Ten Mile Planning Commission and The Board of County Commissioners. The last work session was December 4, 2007 and another work session is planned for December 18, 2007.
At the December 4 work session, Copper Mountain proposed concentrating density in the core of the resort including preliminary plans for a 10-story hotel on the site of the existing Chapel parking lot. Copper is also proposing a new neighborhood near the Alpine (“A-lift”) area and added density near the Copper Valley Condo.For more information on the Summit County planning department and about Copper's PUD application go to http://www.co.summit.co.us/Planning - under current projects.
Friday, March 9, 2007
Shared or Fractional Ownership – Getting a Luxury Vacation Home at a Fraction of the Cost
What is shared or fractional ownership?
Shared or fractional ownership is exactly what the name entails: owning a fraction of a piece of real property. Most often this type of ownership is used in resort markets for vacation homes. The percentage of ownership depends on the property. I have seen ½, ¼, and 1/6 ownership opportunities here in Summit County. This form of real estate ownership falls between full ownership of an individual vacation home, and a time-share, which typically is one to two weeks of a year. With fractional ownership, owners get the use of the property more often than with a time-share, at a fraction of the cost of purchasing full ownership of a property.
Each property will have different governing documents specifying which owners own which weeks, usually on a rotating basis. The property will be managed similar to a homeowner’s association where fees are assessed to owners based on their percentage of ownership.
What are the benefits of fractional ownership?
With fractional ownership, your investment dollar will buy a higher quality piece of real estate than if you were purchasing a full ownership property. For example, you will be able to own a more luxurious vacation property, with a better location, more space and nicer amenities than if you spent the same amount of money on a full ownership property.
Prices in the resort market real estate sector have increased steadily in recent years. These markets have not seen any slowdown in real estate sales or prices. Because of this, vacation homes are becoming too expensive for many people to afford. However, fractional ownership offers an opportunity for people to own a luxurious and enjoyable vacation home at reasonable prices.
What is the downside of fractional ownership?
Fractional ownership may not be the right choice for every buyer. First, you may want to use your property on a holiday week, but it is not your week. For example, with ¼ ownership, you will get to use the property every fourth Christmas and every fourth Spring Break. If you think you would use the property for every vacation, shared ownership may not be right for you.
Second, a property management company will be necessary to keep the property clean, maintained, and ready for the next owner to use. Without one, owners may be disappointed at the way the place was left from the previous owners. This will incur additional costs for all the homeowners.
What is the future of fractional ownership?
Fractional ownership is a relatively new concept in real estate ownership created because of rising resort real estate prices. The resale market for fractional ownership is still being developed as fractional ownership continues to take hold in resort markets. I anticipate that as fractional ownership becomes prevalent, the resale market will grow.
Where do I get more information?
If are interested in learning more about fractional ownership, please email me at anakos@landmarkregroup.com, or call me at (970) 389-8388. I look forward to speaking with you.
Amy Nakos
What is shared or fractional ownership?
Shared or fractional ownership is exactly what the name entails: owning a fraction of a piece of real property. Most often this type of ownership is used in resort markets for vacation homes. The percentage of ownership depends on the property. I have seen ½, ¼, and 1/6 ownership opportunities here in Summit County. This form of real estate ownership falls between full ownership of an individual vacation home, and a time-share, which typically is one to two weeks of a year. With fractional ownership, owners get the use of the property more often than with a time-share, at a fraction of the cost of purchasing full ownership of a property.
Each property will have different governing documents specifying which owners own which weeks, usually on a rotating basis. The property will be managed similar to a homeowner’s association where fees are assessed to owners based on their percentage of ownership.
What are the benefits of fractional ownership?
With fractional ownership, your investment dollar will buy a higher quality piece of real estate than if you were purchasing a full ownership property. For example, you will be able to own a more luxurious vacation property, with a better location, more space and nicer amenities than if you spent the same amount of money on a full ownership property.
Prices in the resort market real estate sector have increased steadily in recent years. These markets have not seen any slowdown in real estate sales or prices. Because of this, vacation homes are becoming too expensive for many people to afford. However, fractional ownership offers an opportunity for people to own a luxurious and enjoyable vacation home at reasonable prices.
What is the downside of fractional ownership?
Fractional ownership may not be the right choice for every buyer. First, you may want to use your property on a holiday week, but it is not your week. For example, with ¼ ownership, you will get to use the property every fourth Christmas and every fourth Spring Break. If you think you would use the property for every vacation, shared ownership may not be right for you.
Second, a property management company will be necessary to keep the property clean, maintained, and ready for the next owner to use. Without one, owners may be disappointed at the way the place was left from the previous owners. This will incur additional costs for all the homeowners.
What is the future of fractional ownership?
Fractional ownership is a relatively new concept in real estate ownership created because of rising resort real estate prices. The resale market for fractional ownership is still being developed as fractional ownership continues to take hold in resort markets. I anticipate that as fractional ownership becomes prevalent, the resale market will grow.
Where do I get more information?
If are interested in learning more about fractional ownership, please email me at anakos@landmarkregroup.com, or call me at (970) 389-8388. I look forward to speaking with you.
Amy Nakos
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