March 2008

What a terrific season this has been! From looking at the snowbanks around town it seems like it snowed every day in December, January, and February. The companies that shovel roofs have been extremely busy keeping up with the daily snowfall. This is the first year that I have ever had to have my roof shoveled, as the snow was over five feet deep on the rooftop. All around town it is a winter wonderland with many streets reduced to one lane. At the ski resorts we’re able to ski tree shots in places we have not been able to ski in years, as even on the south-facing slopes the snow is deeper than it has been for many years. Deer Valley reached a base of over 100 inches by mid-February, which is very rare. While the snow is terrific for the water table and the reservoirs, we’re not sure when we’ll see the golf courses. Last year on closing day, I skied in the morning and played golf on the Park City course in the afternoon. This year, if the course is open in mid-May we’ll be lucky.

In real estate news, the dour news from the stock market, economy, and housing market from around the country has definitely had an effect on us. While we are not seeing prices dropping below last year’s prices, we are seeing an increase in inventory and buyers being more cautious and slower to act than they have in the past. This translates to an excellent time to buy, as we know that all cycles run their course. Because development in the mountain towns is constrained by the topography our available building space is limited. This is particularly true at the resorts, where buildable land is scarce. Buyers looking for bargains should be looking now when they have choices and are in a much stronger position than they will most likely be in a few years when the market has turned around again. Too often buyers make the mistake of feeling that the market will continue to go down and miss opportunities.