Aspen’s 2024 Real Estate Transfer Tax (RETT) Collection Revenue: A Year in Review
Stephanie Kroll
Stephanie Kroll
Aspen’s real estate market generated nearly $24 million in real estate transfer taxes (RETT) from 638 free-market transactions in 2024, according to a recently released report. This figure represents a 4% increase from the $22.9 million collected on 603 transactions in 2023.
The city imposes a 1.5% RETT on most free-market real estate sales within its limits, with certain exceptions. These funds are allocated to support key initiatives: approximately two-thirds go toward municipal housing programs, while the remaining third funds the city’s cultural institutions, including the Wheeler Opera House and the Red Brick Center for the Arts.
For 2024, RETT collections exceeded expectations, bringing in $23.9 million compared to the budgeted $19.4 million. Of this total, $15.8 million will be allocated to housing initiatives, and $8.1 million will support arts and cultural programming, according to Aspen Finance Director Pete Strecker.
The revenue generated in 2024 outpaced pre-pandemic levels significantly. For example, Aspen collected $12.8 million in RETT revenue in 2019 and $13.5 million in 2018. During the pandemic-fueled real estate boom, annual collections soared to $27.1 million in 2020, $31.9 million in 2021, and $25.9 million in 2022. While 2024 collections did not set new records, they underscored the continued strength of Aspen’s real estate market.
The overall property sales data in Pitkin County aligns with the city’s RETT trends. According to Land Title Guarantee, total real estate sales across all categories (residential, commercial, agricultural, etc.) reached $3.1 billion in 2024, up from $3 billion in 2023 but below the $3.4 billion recorded in 2022. The record year of 2021 saw total sales volume peak at $4.5 billion.
Andrew Ernemann, president of Aspen Snowmass Sotheby’s International Realty, highlighted the continued resilience of the market in his 2024 annual report. “The Aspen real estate market remains strong overall,” Ernemann noted. He also pointed out that activity slowed slightly in the second half of the year, driven by historically low inventory levels that continue to push prices higher.
In 2024, the average price of a single-family home in Aspen climbed to $18.4 million, a 16% increase from the 2023 average of $15.8 million. Notably, there were 31 sales of single-family homes exceeding $20 million in 2024, compared to only 2-3 such sales per year before 2020.
Recognizing the challenges posed by rising property values, Aspen voters have supported RETT measures to address housing affordability and cultural programming. A 1% RETT dedicated to housing initiatives was approved in 1989 and will remain in effect until December 2040. Similarly, the 0.5% RETT supporting the Wheeler Opera House, which voters extended through December 2039, was expanded in 2021 to include arts programming at the Red Brick Center for the Arts.
Among the year’s most notable sales was the $108 million purchase of a single-family home on Willoughby Way in April, marking the highest-value transaction within city limits. However, some high-profile sales, such as the $77 million Ranch at Owl Creek, fell outside Aspen city boundaries and did not contribute to RETT collections.
Aspen’s real estate market continues to evolve, with high-value transactions and limited inventory shaping the landscape. As the city navigates these dynamics, the RETT remains a vital tool for funding essential housing and cultural programs, ensuring that Aspen thrives as both a community and a destination.
Contact the real estate team at Avant Garde Aspen to sell your property, buy luxury ski property, and browse resort homes for sale in Aspen, Basalt, Carbondale, and the rest of the Roaring Fork Valley.