T
he luxury real estate market in Telluride, Durango, and Crested Butte is undergoing a significant shift. After years of a sellers' market, inventory levels are rising as buyers and sellers adjust to a more cautious economic outlook and higher interest rates.

    George Harvey, a 40-year veteran of the Telluride real estate market, describes this period as a "transition." The luxury segment, particularly homes priced between $5 million and $10 million, is experiencing a downturn due to affluent buyers' growing concerns about the economy. This sentiment is reflected in daily price reductions, typically ranging from 5% to 10%.

    In contrast, condo sales in Telluride are up 10% in both dollar amount and number of sales, indicating a continued desire for the area's lifestyle but with buyers opting for slightly less expensive homes. In Crested Butte and Gunnison, Molly Edlridge reports a similar trend of low historical inventory increasing as summer approaches, with prices stabilizing rather than drastically rising.

    Durango's real estate market is also navigating a complex landscape, with a significant increase in inventory, particularly in rural Bayfield and the Purgatory Resort area. Heather Erb notes that when La Plata County's market slows down, it first affects outlying areas and resorts. The resort area has seen its single-family inventory jump from four to 11 months year-over-year, while condos have increased from eight to 10 months.

    Across all three mountain towns, the consensus is clear: the market is shifting away from rapid, over-asking sales. Sellers are making price adjustments, and buyers are taking a more deliberate approach with more choices available.

    In Brief:

    Luxury home sales slow in Telluride, Crested Butte and Durango

    Inventory rises as economic concerns reshape buyer behavior

    Condo sales grow in Telluride amid price sensitivity

    Rural areas like Bayfield show signs of a buyers' market