Million Plussing

The luxury market is very active right now.  Buyers in the high-end are taking advantage of low interest rates and the equity they have built in their prior homes.

Closings of million-plus single family homes are up significantly along the Front Range.

When compared to this same time last year, sales of properties in this price range are up:

  • 87% in Metro Denver
  • 150% in Larimer County
  • 67% in Weld County

Windermere Real Estate in Colorado recently hosted a private online event for our clients with our very own Chief Economist Matthew Gardner.  We would be happy to send you the recording if you would like.

Posted on October 16, 2020 at 4:43 pm
Meaghan Nicholl | Category: Blog, For Buyers, Fun Facts, Luxury Real Estate | Tagged , , , , ,

Bubble Burst

Every so often we will hear a concern that another housing bubble is forming.

To help answer that question it’s valuable to look at the reasons that caused the last one.

There were three main drivers of the bubble that burst in 2008:

  1. Easy Credit – loans were very easy to attain
  2. Over-Leverage – people were using their homes at ATM’s
  3. Over-Supply – too many new homes were being built

Now, let’s compare that to today:

  1. Stricter Credit – the average home buyer today has a FICO score of 755
  2. High Equity – collectively, U.S. homeowners have $19 Trillion of equity in their homes and collective mortgage debt has not increased for 13 years
  3. Under-Supply – today we are building only two-thirds of the new homes being built in 2004 yet the population is much higher

Given this healthy information, we don’t see another housing bubble forming today.

If you would like to see a video recap of our annual Market Forecast you can watch that HERE.

Posted on February 21, 2020 at 5:00 pm
Meaghan Nicholl | Category: Economics 101, Fun Facts, Uncategorized | Tagged , , , , , , , ,

Equity Insights

The real estate research firm Core Logic just produced their latest Homeowner Equity Insights report.

 

 

 

 

 

 

 

 

 

 

Some interesting tidbits:

·         63% of all properties nationally have a mortgage

·         Homeowners with mortgages collective realized a $428 billion rise in equity over last year, an increase of 4.8%

·         Only 3.8% of all mortgaged properties have negative equity (where the loan is greater than the value of the home)

·         10 years ago 26% of all mortgaged properties had negative equity

 


If you want to see even more insights about the Colorado market so that you can make really good decisions about your real estate, you are welcome to watch this complimentary webinar, just click HERE.

Posted on October 18, 2019 at 5:53 pm
Meaghan Nicholl | Category: Blog, Fun Facts | Tagged , , , ,