Stat of the Month

Wooden Bridge Through Autumn Woods

We just completed a review of the September numbers in our market.

Here is the one number that is standing out to us – average price.

Prices are way up over last year.  Here are the specific average price increases in each of our markets compared to September 2019:

  • Metro Denver = 13.2%
  • Larimer County = 16.9%
  • Weld County = 7.4%

This change in prices has of course generated questions from our clients.

To help our clients answer questions about prices and other real estate topics, we have set up a private online event with our Chief Economist Matthew Gardner.

The event is set for Tuesday from 9:00 to 10:00.

Simply reach out to any Windermere broker to receive your registration link.

Matthew will be addressing these questions as well as many others:

  • What effect will the election have on the economy and on real estate?
  • How long can interest rates stay this low?
  • Can prices keep appreciating at their current pace?

This online event is for the clients and friends of Windermere.  If you would like to register, please connect with your Windermere broker.

Posted on October 2, 2020 at 7:40 pm
Meaghan Nicholl | Category: Colorado Housing, Economics 101, Fun Facts | Tagged , , , , , , , , , , , , , , , ,

Rebound

The Case-Shiller Home Price Index tracks appreciation in the 20 largest real estate markets across the U.S.

Their most recent quarterly report was just released this week.

Metro Denver prices are up over last year by 3.89% which is just slightly higher than the average of the 20 markets.

It is interesting to see how the 20 locations have performed since the pre-Great Recession housing peak.

Turns out that Denver has done the best out of all the markets.

Since 2008, Denver home prices have appreciated 64.9%.  Second-best is Dallas at 55.5% and Seattle is third at 41.2%.

Believe it or not, there are markets where average home prices have still not returned to their 2008 levels.

Las Vegas is 14.5% below 2008 and Chicago is 12.8% below.

These numbers are another indicator of the long-term health and performance of the Front Range market.

Basketball

At Windermere Real Estate we are taking Safer at Home and Social Distancing very seriously.  Our people are following our Safe Showings protocol, staying connected to their clients, and providing help wherever needed.

Posted on September 3, 2020 at 7:47 pm
Meaghan Nicholl | Category: Blog, Fun Facts, Windsor Real Estate | Tagged , , , , , , , ,

Lovely Stats

  • Prices are up 3.5% compared to last year
  • Inventory is up 10% which means there is more selection for buyers
  • We just had the most active January in terms of closings in over 10 years
  • Well over 13,000 residential properties representing $5.4 Billion of volume has sold in the last 12 months

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

Posted on February 14, 2020 at 5:32 pm
Meaghan Nicholl | Category: Economy, Fun Facts, Market News, Northern Colorado Real Estate, Windermere Real Estate | Tagged , , , ,

“How’s The Market?”

Have you found yourself thinking “How’s the Market?”

If you are curious to know the current stats, trends, and dynamics in our market, this online workshop is for you!

See exactly what is happening in our real estate market today so you are clear about where it is going. The questions we will answer for you:

– Are prices still going up?
– Is there a housing bubble?
– Will interest rates ever go up?
– Is now a good time to buy or sell?
– Where are all these people coming from?

Please reach out if you have any additional questions or wish to receive a complimentary home pricing analysis.

Posted on September 17, 2019 at 3:28 am
Meaghan Nicholl | Category: Blog, Buyers & Sellers, Economics 101, Market News | Tagged , , , , ,

Colorado Real Estate Market Update

The following analysis of the Metro Denver & Northern Colorado real estate market (which now includes Clear Creek, Gilpin, and Park Counties) is provided by Windermere Real Estate Chief Economist Matthew Gardner. We hope that this information may assist you with making better-informed real estate decisions. For further information about the housing market in your area, please don’t hesitate to contact your Windermere agent.

 

ECONOMIC OVERVIEW

The Colorado economy continues to grow, adding 69,100 new non-agricultural jobs over the past 12 months, which represents a solid growth rate of 2.6%. That said, we are continuing to see a modest slowdown in employment gains, but that is to be expected at this stage of the business cycle. My latest forecast suggests that Colorado will add a total of 65,000 new jobs in 2019, representing a growth rate of 2.3%.
In November, the state unemployment rate was 3.3%, up from 3% a year ago. The increase is essentially due to an increase in the labor force, which rose by 77,279 people. On an un-seasonally adjusted basis, unemployment rates in all the markets contained in this report dropped between November 2017 and November 2018. The highest rate was in Grand Junction, but that was still a very respectable 4%. Fort Collins and Boulder had the lowest unemployment rate of 2.9%. All the regions contained in this report are essentially at full employment.

 

HOME SALES ACTIVITY

  • In the fourth quarter of 2018, 12,911 homes sold — a drop of 13.8% compared to the last quarter of 2017 and down 22% from the third quarter.​
  • The only market that saw growth in sales was Clear Creek, which rose by 3.8%. This is a small market, however, and is prone to rapid swings in price as well as sales. There was a significant drop in sales in the Denver market. I will be watching closely to see if this is an anomaly or a longer-term trend. At this time, I believe the former to be true.​
  • Interestingly, this decline in sales in Denver came as inventory levels rose by 37%. For now, I attribute this to seasonality and expect to see sales growth return in the spring.
  • Inventory growth continues to give buyers more choice, allowing them to be far more selective — and patient — before making an offer on a home. That said, well-positioned and well-priced homes are selling relatively quickly.

 

 

HOME PRICES

  • Despite the rapid rise in listings and slowing home sales, prices continue to trend higher, though the rate of growth is slowing. The average home price in the region rose 6% year-over-year to $454,903. Home prices were 2% higher than in the third quarter.
  • In all, the data was not very surprising. As with many markets across the country, affordability is starting to become an issue. However, the recent drop in interest rates likely stimulated buyers at the end of 2018 and I expect to see good price growth in the first quarter of 2019.
  • Appreciation was strongest in Park County, where prices rose 28.2%. We can attribute this rapid increase to it being a small market. Only Gilpin County saw a drop in average home price. Though this, too, is due to it being a very small market, making it more prone to significant swings.
  • As mentioned, affordability is becoming an issue in many Colorado markets and I anticipate that we will see some cooling in home price appreciation as we move through late 2019.

 

 

DAYS ON MARKET

  • The average number of days it took to sell a home in Colorado rose by one day compared to the final quarter of 2017.
  • The amount of time it took to sell a home dropped in four counties: Boulder, Larimer, Gilpin, and Park. The rest of the counties in this report saw days on market rise relatively modestly with the exception of the small Clear Creek market, which rose by 20 days.
  • In the fourth quarter of 2018, it took an average of 38 days to sell a home in the region, but it took less than a month to sell a home in five of the eleven counties contained in this report.
  • Housing demand is still there, but buyers appear to have taken a little breather. I anticipate, however, that the spring will bring more activity and rising sales.

 

 

CONCLUSIONS

The speedometer reflects the state of the region’s real estate market using housing inventory, price gains, home sales, interest rates, and larger economic factors.

For the fourth quarter of 2018, I continue the trend I started last summer and have moved the needle a little more in favor of buyers. I will be closely watching listing activity in the spring to see if we get any major bumps above the traditional increase because that may further slow home price growth — something that would-be buyers appear to be waiting for.

 

As Chief Economist for Windermere Real Estate, Matthew Gardner is responsible for analyzing and interpreting economic data and its impact on the real estate market on both a local and national level. Matthew has over 30 years of professional experience both in the U.S. and U.K.

In addition to his day-to-day responsibilities, Matthew sits on the Washington State Governor’s Council of Economic Advisors; chairs the Board of Trustees at the Washington Center for Real Estate Research at the University of Washington; and is an Advisory Board Member at the Runstad Center for Real Estate Studies at the University of Washington where he also lectures in real estate economics.

Posted on May 8, 2019 at 12:00 pm
Meaghan Nicholl | Category: Blog, Colorado Real Estate, Market News, Real Estate Market Update | Tagged , , , , , , ,

Four in Forty

Did you know, according to FHFA, prices in Larimer County have dropped more than 1% only four times in the last 40 years?

FHFA stands for the Federal Housing Finance Authority. We are one of 261 markets that they track. Since 1978 they have been measuring home price appreciation here.

If you look at the appreciation numbers for each individual year, you will notice that most years the prices go up and some years the prices go down.

But there have only been four times in those 40 years where prices decreased more than 1%.

Here is what happened those four times:

  • 1982 = -3.99%
  • 1987 = -1.86%
  • 2008 = -2.29%
  • 2010 = -1.12%

Sometimes we hear buyers say that they would like to wait for the “prices to come crashing down.” The reality is that the price drops don’t happen all that often and when they do, they don’t drop by that much at all.

If you would like to see a short video with a recap of our annual Market Forecast presentation, watch the video below.

Posted on February 23, 2019 at 12:24 am
Meaghan Nicholl | Category: Colorado Real Estate, Economy, Fun Facts | Tagged , , , , ,

What Our Expert Thinks

Here’s what our Chief Economist, Matthew Gardner, thinks about the 2019 U.S. Housing Market. He is regarded as one of the Country’s experts on real estate and is frequently quoted by leading industry publications.

 

• Existing Home Sales up 1.9% to 5.4 million units
• Home Prices up 4.4%
• New Home Sales up 6.9% to 695,000 (the highest since 2007)

 

If you want to see all of Matthew’s predictions including where interest rates are headed, get signed up for our annual Forecast. Click the link below!

https://www.eventbrite.com/o/windermere-real-estate-12011801121

Posted on January 4, 2019 at 6:46 pm
Meaghan Nicholl | Category: Blog, Economy, Fun Facts, Market News | Tagged , , , , , ,