Colorado Real Estate – Condo Cyclone

 

While the “Bomb Cyclone” closed roads and schools over the last two days, the “Condo Cyclone” is opening new opportunities for first-time buyers.

What’s the “Condo Cyclone” you ask. It’s the proliferation of multi-family inventory that has come on the market up and down the Front Range.

Compared to last year, multi-family inventory which includes townhomes and condominiums, has increased…

79% in Metro Denver
34% in Larimer County
45% in Weld County

This is terrific news for the market overall, as inventory has been unusually low for several months. It’s especially terrific news for first-time buyers who need this type of product as a stepping stone to home ownership.

What we notice is a $170,000 to $130,000 difference in average price between a single-family home and a multi-family home in Front Range markets.

Specifically, here’s the spread between multi-family and single-family average price:

$349,801 vs. $512,312 in Metro Denver
$312,493 vs. $469,294 in Larimer County
$237,645 vs. $370,027 in Weld County

So as we dig out from the “Bomb Cyclone” we can be happy for the “Condo Cyclone” which brings more affordability and opportunity to our markets!

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Just Released (a new resource site just for you…)
• Want to see the latest market trends? 
• Curious to see the process of buying or selling a home? 
• Interested in what it takes to own investment property? 
• Be sure to visit www.ColoradoLivingBlog.com

Posted on March 15, 2019 at 6:04 pm
Meagan Griesel | Category: Colorado Real Estate, Fun Facts | Tagged , , ,

Office Real Estate in Northern Colorado

As you travel around the Front Range you will notice the following under construction:

  • New Homes
  • New Apartments
  • New Medical Facilities

However, you will not notice new office buildings under construction.

What gives?  I thought we had a booming economy.  Why no new office buildings?

There are a couple of reasons.  First, construction costs have sky rocketed.  In ten years, construction costs have gone from about $200 per square foot to over $300 per square foot.

Rental rates have not increased at the same pace as construction costs so speculative investors can’t make their numbers work.

It’s too expensive to build compared to the rents that can be charged.

One reason why rental rates haven’t increased at high rate is property taxes.  Property taxes on Class A office buildings have basically doubled in the last 10 years in many cases.

So, until rental rates catch up with construction costs, we won’t see many new office buildings under construction.

Posted on March 11, 2019 at 2:47 pm
Meagan Griesel | Category: Blog, Colorado Real Estate, Fun Facts | Tagged , ,

Real Estate Rankings by City… #1 is Vegas

Vegas Baby!

The results are in from FHFA.gov’s latest ranking of the top performing markets in the U.S.

Each quarter they track 245 cities across the country and rank their real estate markets by home price appreciation.

 

What’s the highest performing city the the U.S.

Vegas!  Their prices have gone up 17.63% in the last year.

 

How about the worst?

Bloomington, Illinois sits in dead last where prices went down 3.58%

 

Here’s how Colorado cities are ranked:

• #10 Colo. Springs = 11.41%
• #16 Greeley = 10.68%
• #59 Fort Collins = 8.29%
• #64 Denver = 8.15%
• #97 Boulder = 6.85%

Posted on March 1, 2019 at 5:18 pm
Meagan Griesel | Category: Colorado Real Estate, Fun Facts, Northern Colorado Real Estate | Tagged ,

Home prices rarely go negative in Larimer County

Did you know, according to FHFA, home prices in Larimer County have dropped more than 1% only 4 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 4 times in those 40 years where prices decreased more than 1%
Here’s what happened those 4 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 25, 2019 at 3:46 pm
Meagan Griesel | Category: Fort Collins Real Estate, Fun Facts, Loveland Real Estate, Northern Colorado Real Estate | Tagged , ,

Why we are not in a Real Estate Bubble…

There are several reasons why our Chief Economist does not believe there is a housing bubble today in the U.S.

Below is a slide he shared at our recent market Forecast events.

It shows U.S. Home ownership rate, which is simply the percentage of the population who own their home (versus renting).

The long-term average is 65% represented by the red line.

In the graph you can clearly see the bubble forming. Starting in the mid-90’s, driven by several political and economic factors, more people than ever before became homeowners.

 

 

Then, starting in, 2008, the bubble burst and the percentage tumbled back down.

Now, as you can see, we are back at a “normal” level that resembles the long-term average.

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If you would like a copy of the entire Forecast presentation, go ahead and reach out to me. I would be happy to put it in your hands.

Posted on February 1, 2019 at 4:21 pm
Meagan Griesel | Category: Colorado Real Estate, Fun Facts, Northern Colorado Real Estate

2019 Real Estate Market Forecast

Our Forecast

This past Wednesday and Thursday evenings we had the pleasure of hosting our annual Market Forecast events in Denver and Fort Collins.

Thank you to the 700 people who attended.  We appreciate your support!

In case you missed the events, here are some highlights including our forecast for price appreciation in 2019:

  • In 2018 Prices went up:
    • 8% in Fort Collins
    • 8% in Loveland
    • 8.5% in Greeley
    • 8% in Metro Denver
  • Inventory is (finally) showing signs of increasing:
    • Up 25% in Northern Colorado
    • Up 45% in Metro Denver
  • There are distinct differences in months of inventory across different price ranges = opportunity for the move up buyer.
  • There are several reasons why we don’t see a housing bubble forming:
    • New home starts along the Front Range are roughly 60% of pre-bubble highs 14 years ago.
    • Americans have more equity in their homes than ever, $6 Trillion!
    • The average FICO score of home buyers is significantly higher than the long-term average.
    • The homeownership rate is back to the long-term average.
  • Our 2019 Price Appreciation Forecast:
    • 6% in Fort Collins
    • 6% in Loveland
    • 7% in Greeley
    • 6% in Metro Denver

If you would like a copy of the presentation, go ahead and reach out to me.  I would be happy to put it in your hands.


 

Posted on January 18, 2019 at 5:34 pm
Meagan Griesel | Category: Colorado Real Estate, Fort Collins Real Estate, Fun Facts, Loveland Real Estate, Northern Colorado Real Estate

Beautifully Maintained Home in Loveland!

This beautifully maintained home at 5217 Georgetown Dr  is welcoming the second you walk into the open main level w/modern tile fireplace, new plantation shutters, & many upgraded finishes. The lower level features another living area and fireplace, office, guest suite with barn doors. The upper level is a large master suite and 2 more bedrooms. The yard is amazing. The patio has sun shades, built-in grill – all next to a creek water feature & xeriscaping. RV parking with 8ft wide gate. Windermere Certified Listing

http://windermerenoco.com/listing/88131063

Posted on November 1, 2018 at 9:50 pm
Meagan Griesel | Category: Loveland Real Estate, Virtual Tours | Tagged , , , , , , , , , , , , , , , , , ,

Charming Brick Ranch in Loveland!

This adorable brick ranch at 906 Heather Dr offers plenty of space and a large yard with mature trees. The main floor has beautiful original hardwood floors, 3 bedrooms, and a large covered deck right off of the dining area. Both the main floor and the basement have wood burning fireplaces and full bathrooms. The basement has 2 bedrooms, one is non-conforming, and a large family room. Newer roof and ready to move into. Call for your private showing at 970-691-0056 for more information or click the link below for more details.

http://windermerenoco.com/listing/87317866

Posted on October 8, 2018 at 9:51 pm
Meagan Griesel | Category: Loveland Real Estate, Virtual Tours | Tagged , , , , , , , , , ,

How’s the Colorado Real Estate Market?

What’s Starting?

Here are some interesting stats from our friends at Metro Study who study new home activity along the Front Range.

  • New home starts are up 14% compared to last year – this is really good news and is helping to relieve the shortage of housing inventory
  • Every product type saw an increase in starts compared to last year (single family, townhome and condominium)
  • Condominiums saw the largest increase in starts by a long shot, up 112% over last year- this is excellent news for first time buyers and those looking for product in lower price ranges.

If you want to be totally clear on all the stats, facts and trends in Colorado real estate so that you know what the future value of your home looks like, watch this video.

This is a complimentary service for our clients and friends.

See all the latest facts, stats and trends of the Colorado market from the comfort of your own laptop.

Watch the Windermere Workshop video for a mid-year market update.

WATCH HERE

Posted on September 28, 2018 at 2:43 pm
Meagan Griesel | Category: Blog, Colorado Real Estate, Fun Facts | Tagged

Northern Colorado Real Estate Appreciation

How We Rank

Here’s how the largest Colorado cities rank on the most recent Federal Housing Finance Authority’s quarterly report.  They study the appreciation rate in 245 metropolitan areas all over the country.

City                             Rank                 Appreciation

Boulder                        65th                   8.76%

Colorado Springs        15th                    11.54%

Denver                        30th                    10.16%

Fort Collins                  85th                    7.51%

Grand Junction            58th                    9.01%

Greeley                        45th                    9.51%


If you want to be totally clear on all the stats, facts and trends in Colorado real estate so that you know what the future value of your home looks like, watch this video.

This is a complimentary service for our clients and friends.

See all the latest facts, stats and trends of the Colorado market from the comfort of your own laptop.

Watch the Windermere Workshop video for a mid-year market update.

WATCH HERE

Posted on September 21, 2018 at 2:06 pm
Meagan Griesel | Category: Blog, Colorado Real Estate, Fort Collins Real Estate, Fun Facts | Tagged ,