Are We Heading into a Buyer’s Market in 2022?
As of today, January 25, 2022, the Mammoth Lakes real estate market has a total of 19 condos with an average list price of $1,003,315.00, 6 homes with an average list price of $3,847,316.00, and 10 lots with an average list price of $1,113,200.00 on the market. Is the bubble about to burst?? Nothing lasts forever as we all know… To put it in perspective, prior to the pandemic, looking at the end of 2019 (a normal year), we had roughly 61 condos, 62 homes and 42 vacant land listings on the market. In May of 2020, we had roughly 85 condos, 27 homes and 30 vacant land listings. This goes to show just how low the inventory has gotten, which has driven the prices sky-high with unprecedented demand and almost no selection.
The very recent and sudden increase in inventory mainly applies to the condo sector of the market that was quickly approaching “zero” inventory a couple of weeks ago. This increase in inventory seems to coincide with uncertainty in the financial markets and the looming talk of an inevitable rise in interest rates to combat inflation. For the first time in months, the spot price of gold has risen dramatically from the $1,700 per ounce range to the mid $1,800 price today, and is expected to go higher. This indicates consumer apprehension about the economy, rising inflation, and geo-political uncertainty. Even though consumer sentiment still remains very high, the recent...
As of today, January 6, 2021, the Mammoth Lakes Real Estate Market has a total of 4 condos, 6 homes and 8 lots for sale. These are historically the lowest inventory numbers Mammoth has ever seen. Typical inventory levels prior to the pandemic in a “normal” market for this time of year would include approximately 50 to 60 condos, 40-50 homes and around 45 lots. Out of the 4 condos currently on the market, there are offers on three, which means we could actually drop to nothing for sale within the next few days. 
In May of 2020, during the lockdowns, Mammoth Lakes had roughly a total of 85 condos, 27 homes and 30 lots on the market. Going back to end of November 2019, there was a total of 61 condos, 62 homes and 42 vacant land listings. Clearly the pandemic has created very strong demand to own real estate in resort areas such as Mammoth Lakes, which is only 4-square miles with limited supply in a normal market. When the pandemic hit, it seemed that most buyers were looking to substitute travel, dining and entertainment with a second home. Only a few hours from L.A. and San Diego, Mammoth has become the perfect “drive to” getaway. People could work remotely, while enjoying the outdoor recreational opportunities. Initially, condos were in high demand, which could provide a second home with the opportunity to generate rental income once things would return...