Another Real Estate Meltdown?

This week our Chief Economist took a deep dive into the numbers to examine the current health crisis versus the housing crisis of 2008.

The reason why?  People wonder if we are going to have another housing meltdown nationally and going to see foreclosures and short sales dramatically increase.

It turns out that the numbers show that today’s housing environment is quite different than 2007, right before the housing bubble burst.

Specifically, homeowners are in a vastly different situation with their mortgage compared to the pre-Great Recession’s housing meltdown.

In addition to much higher credit scores and much higher amounts of equity compared to 2007, the most significant difference today is in the amount of ARM mortgages.

Back in years leading up to the housing bubble, Adjustable Rate Mortgages were very prevalent.  In 2007 there were just under 13 million active adjustable rate loans, today there are just over 3 million.

The number of those ARMs that would reset within three years was 5 million in 2007 compared to only 320,000 today.

It’s those Adjustable Rate loans resetting to a higher monthly payment that caused such a big part of the housing crisis back in 2008 to 2010.

Back then not only was people’s employment impacted, but many were facing increased monthly mortgage payments.

That’s why there were so many foreclosures and short sales in 2008 to 2010.

That is not the case today and one of many reasons why we don’t foresee a housing meltdown.

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 May 1, 2020 at 3:11 pm
Meagan Griesel | Category: 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 ,

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 ,