Buyers and Sellers may have to play nice in early part of 2019. Home buying and selling trends indicate overall stability. Earlier this week I attended NAR Economic Summit in Denver, Colorado. Key topics covered were affordable housing, low inventory, and disparity and suppression of property values. Colorado Springs still has very attractive home prices compared to Denver metro area. In 2018 and within Pikes Peak region our sweet spot is between $200K and $350K. From $350K to upwards of $450K is our next tier of high volume activity. A further breakdown shows that of the 15576 single family properties sold, over 75% were sold within 30 days. That’s definitely impressive. Conventional financing represented approximately 45% of the loans, followed by VA loans at 28%, Cash and FHA. Homes sales dropped in December along with new listings and days on the market took a slight jump to 40 days – taking days on market back to the same/comparable levels of January and February 2018.
It is projected that low inventory levels will persist, prices will experience a modest adjustment – likely to help sellers attract buyer interest, keeping buyers in the marketplace. You should anticipate days on market to fluctuate between 30 and 60 days. Considering the attractive price points are between $200K and $350K, we can expect homes priced in this range to be “gobbled up”. If you are buyer and this is your budget, your key to success is to get organized and ready so that you can respond quickly to an opportunity. Think about it – you and one or two other parties are interested in the same home and if you are not prepared you can quickly lose out. It is worth it to get your pre-approval in hand – it is worth the effort to have your lender qualify you just short of being ready to fund your loan. Also, have cash on hand to get your inspection done quickly. Have your earnest money set aside specifically for your house hunting. Sellers, I have not forgotten about you. Typically when sellers learn of lower inventory they tend to want to ink out as much money has they can, I don’t blame them at all. The key however is not to price yourself (well your home) out of your local real estate market. If you are seeking a higher offer then know that if a buyer is shopping in that community the buyer is wanting to see finishes, maintenance, updates and such that warrant the higher price point. Also, don’t focus too heavily on the list price. I recommend focusing on the bottom line that you truly need to make your move, add a little gravy and if your home is still priced well within your community you have found your list price. It may look a little weird considering the home down the street is priced $10K more, same floor plan and has been on the market for 87 days. If you can sell, get the money you need/want and avoid 2-3 house payments – you are successful. By the way, the higher priced home is increasing your showings and selling your home.
Any questions please contact me at 719-200-6940 (call or text). Click here to go to my website to set up your email alerts if you are searching for a home or get your estimated home value if you are considering selling your home. Like me on Facebook.