Mammoth Real Estate Buyer & Seller Standoff
How did we get here?
When we review the past few years and where we are today, it is incredible how much things have changed on so many levels. The real estate market and how people view real estate holdings is the most noticeable change post-pandemic. Who would have thought when the country was under lockdown beginning March of 2020 that real estate values would end up doubling or tripling over the next few years? In an effort to combat an inevitable slump in the economy, the Federal Funds rate was lowered to 0% to 0.25% on March 16, 2020. This brought interest rates down to historically low levels which helped a much larger buyer pool to qualify for a second home purchase. In Mammoth, the noticeable level of buying interest began in May and June of 2020, with unprecedented demand in 2021 when seemingly every new listing had multiple offers that drove prices way over the asking. People just decided that they had to have a second, third, fourth or fifth home and with Mammoth being only a 5-hour relatively easy drive from Los Angeles, “the Mountains were calling” more than ever. The need to get out of the city and the very strict lockdowns put Mammoth on everyone’s radar. Although Mammoth started becoming popular with the advent of the Ikon pass, the pandemic put Mammoth on the map, which has undeniably changed the area forever. It appears that people have to have a piece of the mountains in their real estate holdings now more than ever. The pandemic buying frenzy continued through summer of 2022, which coincided with the interest rate hikes.