Coldwell Banker Hickok & Boardman Realty released the Northwest Vermont Market Report: 2014 Year in Review, an analysis of the real estate market and trends for 2015 in Chittenden, Franklin, Grand Isle, and Addison Counties.As the report shows, the past year proved to be a year of ups and downs for the Northwest Vermont real estate market, ending on a positive note.Difficult winter conditions and concerns about the future of IBM’s Essex Junction plant dampened sales in the spring and early summer.The announced purchase by GlobalFounderies of the plant and sustained low interest rates were a few factors that helped strengthen the fall market.
“Despite the slow start in three of the four counties in Northwest Vermont, the fourth quarter saw strong activity. We expect to see that continue into 2015, with single digit increases in volume and modest price increases,” says Leslee MacKenzie, President /Owner of Coldwell Banker Hickok & Boardman Realty.
Historically, first-time purchasers have accounted for about 40 percent of purchases, the importance of this market cannot be underestimated. Although high levels of student debt are discouraging this group, recently accounting for less than one third of the market, increases in household formation, high rental prices and the threat of higher interest rates are all factors encouraging them to get off the fence.
Across the region’s four counties, sales volume fell 0.7 percent in 2014, while median sale pricing rose 0.9 percent.
|
County |
2014 Median Sale Price |
vs 2013 |
|
Chittenden County |
$261,500 |
+2.30% |
|
Franklin County |
$184,900 |
-2.70% |
|
Addison County |
$215,000 |
-2.30% |
|
Grand Isle County |
$234,000 |
+6.70% |
Chittenden County
After sales volume slipped 6.5% during the first nine months of the year, home sales in Chittenden County roared back in the fourth quarter. The almost 20 percent jump in residential sales during the last three months of the year helped the county’s real estate market end the year with only a 0.8 percent decline from 2013. Despite the year’s bumpy transaction levels, the median sales price rose 2.3 percent to $261,500. Some towns saw robust pricing gains, with Shelburne’s median sale price jumping more than 26%, for instance.
Franklin County
was impacted by concern about the future over IBM’s plant in nearby Essex, given that the county is a popular location for employees. Sales volume slipped 2.2 percent last year, while median pricing declined 2.7%. With the future of IBM’s plant more secure and lower gas prices, our Realtors are witnessing renewed market activity in early 2015.
Grand Isle County
Sale volume in Grand Isle slipped 3.6% last year, while median pricing rose 6.7%, helped by buyers seeking waterfront property. It’s important to note that as Grand Isle is Northwest Vermont’s least active county for real estate transactions, a small number of transactions can have a relatively large impact on pricing trends.
Addison County
Addison County was boosted by a surge in buying in the fourth quarter, which lifted overall sales volume by 3.1 percent for the year. Still, median pricing slipped 2.3% to $215,000, which may be a preference from buyers for the county’s lower-priced inventory.
The Coldwell Banker Hickok & Boardman Realty Market Report is based on data collected from internal and external sources such as the Northern New England Real Estate Network and does not represent privately negotiated transactions. A copy of the complete report including results by town and an analysis of the luxury and investment property market segments can be found online atwww.VermontMarketReport.com
Burlington, VT – January 15, 2015 –Coldwell Banker Hickok & Boardman Realty