Sleepy mountain town taking on glitzy Aspen as new ski hotspot, where real estate is much cheaper

A sleepy Colorado mountain town could soon be a serious rival to the more glamorous Aspen — and real estate is considerably cheaper.

Located just under ten miles from its famous neighbor in western Colorado, Snowmass Village has been home to the Snowmass Ski Area since 1967.

But it is currently undergoing a dramatic transformation thanks to a massive $1 billion development project. Wall Street Journal reported.

The phased development of Snowmass Base Village, led by developers East West Partners, Aspen Skiing Company and KSL Capital Partners, is boosting the area with new upscale restaurants, retail establishments, hotels and residences.

With real estate in Aspen being so expensive, some buyers may now be tempted to invest in Snowmass. Real estate in Aspen used to be about 35 percent more expensive, but prices are now about 50 percent higher, according to the outlet.

Snowmass Village, a ski town overshadowed by its famous neighbor Aspen, is undergoing a major transformation

A $1 billion development project, Snowmass Base Village, brings new luxury shops, restaurants, hotels and homes to the area

Since acquiring Base Village in 2016, the developers have sold more than $700 million in residential real estate across seven projects, with a final residential complex currently under construction and expected to generate another $500 million in sales, Wall Street reports Journal.

“Most of the homes in Snowmass are older,” Will Burggraf, a real estate agent with Aspen Snowmass Sotheby’s International Realty, told the outlet.

‘There wasn’t a high-end residential product that attracted the high-end customer base. But if you build it, they will come,” he added.

According to Realtor.com, key statistics show how Snowmass has developed into a hot real estate market.

Although prices are high, they are falling, according to the researchers Realtor.com. In 2022, the average sales price for a home was $6.7 million. In 2023, that dropped to $6.3 million, and as of now it’s hovering around $6.25 million.

The city’s population of approximately 3,000 year-round residents is mainly supplemented by second-home owners, while a smaller number of buyers purchase property for full-time residence or for investment purposes.

Snowmass attracts buyers from all over the US, as well as international interest.

Among the most sought-after properties are the new homes at Snowmass Base Village. Currently, nearly 60 condos are awaiting sale, with prices ranging from $3 million to $12 million, according to the Wall Street Journal.

Pictured: Aspen, where prices are 50 percent higher than Snowmass

In addition, both mountain and mountain single-family homes are available.

Homes on the mountain offer easy access to the ski slopes and are of modern construction, although many homes lose sunlight earlier in the day because they face north.

Non-mountain neighborhoods offer options with longer sun exposure, though they don’t have the ski-in/ski-out appeal.

As the luxury real estate market grows, Snowmass has also faced home insurance challenges.

Tim Morgan, president of Aspen-based Roaring Fork Insurance, noted that obtaining home insurance has become more difficult in recent months.

“Wildfires are the biggest concern in the area,” he said, emphasizing that properties within a five-minute response time of a fire station are much easier to insure.

In 2022, the average sales price for a home in Snowmass was $6.7 million. In 2023, that dropped to $6.3 million, and as of now it’s hovering around $6.25 million

Highest annual sales in Snowmass have also skyrocketed, reaching a high of $22.43 million. Currently, nearly 60 apartments are awaiting sale, with prices ranging from $3 million to $12 million

Developers have sold more than $700 million worth of homes

He also pointed out that condo insurance is currently simpler than insurance for single-family homes, although condo association policies have increased significantly.

“The fact that many homes are older pushes people toward newer or renovated homes, and they sell at a premium compared to older homes that may need work or renovation,” Burggraf said.

However, he also noted the potential benefit for buyers willing to invest in renovating older homes in Snowmass, suggesting there could be value in sweat equity for those willing to take on the challenge.