This just in…
For the month of April, the average price of a home in the city of Boulder was $1,247,000. This is according to the latest from our IRES MLS system.
If you want to own a home about an hour down the road in another really nice college town and get a 66% discount, you may want to check out Fort Collins 🙂
Yes, despite the recent uptick in prices here locally, we are still a bargain compared to Boulder. Here are median single-family prices for our markets and their relative price to Boulder:
- Fort Collins = $414,237 (66.8% off)
- Loveland = $360,150 (71.1% off)
- Greeley = $290,000 (76.7% off)
- Windsor = $306,450 (75.4% off)
Grab a copy of our Investment Kit so you can see the simple steps to get started without stress or complication. Email us at email@example.com and I will send you a video which clarifies the process and our Investment Checklist so you can see what to do first.
If a real estate buyer walks into one of our offices in Northern Colorado and tells us they are looking for a single-family home under $300,000, unfortunately there will not be many properties to choose from. Depending on where they are looking the choices may be very limited.
Here is a list of the number of single-family homes currently for sale (excluding manufactured homes) in Northern Colorado:
- Fort Collins = 0
- Loveland = 7
- Windsor = 0
- Wellington = 0
- Timnath = 0
- Greeley = 27
- Evans = 8
- Milliken = 2
If our active market has you thinking about investing in real estate in Northern Colorado. Check this out…
Grab a copy of our Investment Kit so you can see the simple steps to get started without stress or complication. Email me at firstname.lastname@example.org and I will send you a video which clarifies the process and our Investment Checklist so you can see what to do first.
Clients often have short-term questions like…
How much will prices go up next year? Should I sell my house this Fall or next Spring? Will interest rates go up next week?
We encourage our clients to evaluate those questions in the context of the long-term. There are decades of data on the Northern Colorado market which reveal certain patterns.
When we show our clients these patterns they feel confident and secure in the investment they have made into their home and their rental properties.
For example, the long-term appreciation rates based on up to 41 years of research are as follows:
- Larimer County = 5.36%
- Weld County = 4.25%
- Metro Denver = 5.56%
So over the course of a year prices may go up a lot or go up a little, but in the long term they will stay true to these long term averages.
To see an update as to what is happening in the Northern Colorado market, contact me to receive our quarterly “Scoop” report.
Homes, aren’t priced by the pound of course. But they are priced by the foot.
An interesting way to examine an entire real estate market or a specific home is to look at the price per square foot.
For example, right now our company has a 2,470 square foot home right on the water in Seattle listed at $4,995,000. That comes to $2,022 per square foot.
Meanwhile, we also have a 2,549 square foot home for sale in Timnath priced at $445,000 which is $175 per square foot.
Price per foot is driven by many factors the most important ones being location and finishes.
Here is the average price per foot for our main markets across Northern Colorado:
- Fort Collins = $181
- Loveland = $160
- Greeley = $126
- Windsor = $136
If you would like to know what your home is worth, per square foot, contact me and I will get that information into your hands right away.
Today we will take a fun trip down memory lane.
Did you know that it was the fall of 1981 when mortgage interest rates hit their all time peak? Yes it was this time 36 years ago when 30-year mortgage rates hit 18.39%
It’s important to note that in those days, not many home buyers were opting for a 30-fixed loan because rates were so high. There were a lot of people looking at adjustable rate products as a way to reduce the monthly payment.
Just for fun, let’s look at what a monthly payment would look like if those same rates from 1981 existed today.
If rates were 18.39% today, a $350,000 home with a 20% down payment would have a monthly principal and interest payment of…
Thank goodness rates aren’t that high today. They are actually about 15% lower!
Today’s 30-year rate sits at 3.83% (which by the way is roughly half of the long term average).
A monthly principal and interest payment on a $350,000 home with 20% down is…
$1,309. Three thousand dollars lower than it would be using 1981 ‘s rates.
For a detailed look at what’s happening across Colorado, request our quarterly market report called “The Scoop.”
The Greeley market is about to hit a major milestone.
We project that in the first quarter of 2018, the average price for a single family home in Greeley will surpass $300,000.
Just a year ago it was $262,828.
Guess when Greeley broke the $200,000 barrier? It was only about 3 years ago in June 2014.
So what ‘s going on?
Double-digit price appreciation is being fueled by a healthy Northern Colorado economy, low interest rates and local affordability. Greeley prices can look really attractive compared to Fort Collins.
We don’t see anything on the horizon that will significantly change the trajectory of the Greeley market. It is a fundamentally a very strong place to own real estate.
The perception is that Spring is the busy time for home sales and that a Seller would be better served waiting to sell their home.
The reality is the numbers show that your odds of selling your home in the fall (and even the Winter) are just as good as the Spring. The reason is that the competition from other sellers is much lower in the Fall and Winter.
Let’s see what the numbers say…
We did an analysis of the number of homes that sold last year in each month versus the homes for sale that month and then looked at the ratio. For example, if 500 homes were for sale and 250 of them sold, the ratio would be 50%.
Here are the ratios for certain months in our 3 major Northern Colorado markets:
- March = 38%
- October = 38%
- December = 55%
- March = 39%
- October = 43%
- December = 46%
- March = 48%
- October = 49%
- December = 82%
So the numbers tell us that there is no advantage of waiting until the Spring.
Also, all of our clients who are listing their home now see the advantage of dealing with the “known” versus the “unknown” when it comes to interest rates, demand levels and other market factors.
If you would like to see the odds of selling in your particular neighborhood and your particular price range, contact me today.
The new rankings are out from the Federal Housing Finance Authority which ranks all 50 states plus close to 300 individual metropolitan markets for home price appreciation.
We trust this source because they track actual sales of individual homes versus simply looking at average prices. Their home price index is one of the key pieces of research that we follow closely.
There are a few significant items in their latest report (which is hot off the press).
- Colorado is ranked 2nd for one-year appreciation, 5th for five-year appreciation and 1st for twenty five-year appreciation. Prices across Colorado have increased 324% since the end of 1991.
- Fort Collins/Loveland is ranked 10th out of all the metro areas for one-year appreciation with a 12.1% increase.
- Greeley is in at 21st with 10.73% appreciation
In case you are curious, the hottest market in the country is Mount Vernon, Washington with 15.1% yearly appreciation. Atlantic City is ranked last with a 0.8% price decrease.
It’s clearly “good to be us” as we are one of the highest-performing markets over the long-haul.
Check out the FHFA recap video here:
Here is the data straight from FHFA’s report:
U.S. house prices rose 1.6 percent in the second quarter of 2017 according to the Federal Housing Finance Agency (FHFA) House Price Index (HPI). House prices rose 6.6 percent from the second quarter of 2016 to the second quarter of 2017. FHFA’s seasonally adjusted monthly index for June was up 0.1 percent from May.
The HPI is calculated using home sales price information from mortgages sold to, or guaranteed by, Fannie Mae and Freddie Mac. FHFA has produced a video of highlights for this quarter.
- Home prices rose in 48 states and the District of Columbia between the second quarter of 2016 and the second quarter of 2017. The top five states in annual appreciation were: 1) Washington 12.4 percent; 2) Colorado 10.4 percent; 3) Idaho 10.3 percent; 4) Florida 9.4 percent; and 5) Utah 9.2 percent.
- Among the 100 largest metropolitan areas in the U.S., annual price increases were greatest in the Seattle-Bellevue-Everett, WA (MSAD), where prices increased by 15.7 percent. Prices were weakest in New Haven-Milford, CT, where they rose by 0.1 percent.
- Of the nine census divisions, the Pacific division experienced the strongest increase in the second quarter, posting a 2.6 percent quarterly increase and a 8.9 percent increase since the second quarter of last year. House price appreciation was weakest in the Middle Atlantic division, where prices rose 0.8 percent from the last quarter.
The housing market is remarkably tight across the U.S., and you may be wondering if you should wait for home prices to slow before making your move. Windermere’s Chief Economist, Matthew Gardner, shares why waiting could end up costing you more money in the long run.
The housing market is remarkably tight across the U.S., and you may be wondering if you should wait for home prices to slow before making your move. Windermere's Chief Economist, Matthew Gardner, shares why waiting could end up costing you more money in the long run.
Posted by Windermere Real Estate on Friday, August 18, 2017
Same goes in our Northern Colorado market. We see a major difference between certain price ranges and certain locations right here in our little neck of the woods.
Just like two kids from the same parents are different, two price ranges in the same place are very different.
To make this point, let’s look at months of inventory. This statistic simply measures how long it would take to sell the current inventory of homes at the current pace of sales.
Across all price ranges, months of inventory in Larimer County = 2.0. Meaning it would take two months to sell all the homes currently for sale. But this is misleading, because months of inventory…
So, the $1,000,000 seller who hears that the market is “hot” is actually faced with a year’s inventory currently on the market!
This is a very high-level look at the differences in our market. I am happy to give you a detailed look at your exact neighborhood in your exact price range. Let us know if we can help!