Denver market is shifting

It’s true! As temps drop, so do prices!

The Denver market is seeing it’s typical seasonal slow down a little earlier this year. This is thanks in part to the 1,000’s of buyers that were extremely frustrated this summer and for the past 3 years with rising prices, bidding wars and lack of homes to buy. Usually Denver sees a slow down in home purchases in mid to late November, but this year, the slow down started in July! After dealing with bidding wars and waived contingencies, buyers were so frustrated that a lot of them decided to stay put and possibly remodel or improve their current residence. Craigs Menear, chairman, CEO and president of Home Depot stated, “We were pleased with our results this (2nd) quarter as our customers rewarded us with the highest quarterly sales in company history.” A lot of my buyers contributed as they hung up their “house buying” hat and put on their “house updating” hat. Sellers, of course, reaped the benefits by getting higher prices for their homes, buyers waiving contingencies, and being flexible on the closing date so the sellers could make their moving plans. That historic market has definitely affected today’s real estate in Denver.

For the past 3 weeks, the Denver Metro MLS has shown 1100-1500 price reductions on available properties for sale! This means that sellers (and their agents) have not gotten the message yet about the cooler market. They are listing their homes with summer prices and expecting a bidding war in a very short time, and that is simply not happening. Sellers are also counting on desperate buyers that will do anything just to buy their house, such as waiving their rights to inspection, covering low appraisal values and letting the sellers stay in the house rent-free after closing! Those times are on hold for the moment!

Don’t get me wrong, prices are still going up and all signs point to continuing price increases for the next couple of years. Denver still has a super-low unemployment rate with several companies moving their businesses to Denver and the Front Range in the coming years. We also have an insane amount of activities, concerts and sporting events as well as an awesome view of the Rockies. Our weather is super desirable by those that love sunshine while still experiencing all 4 seasons (sometimes all in one day!).

So what does all this mean to home buyers and sellers? Now is an awesome time to move up in house value! Properties priced under $400,000 are still in pretty high demand, but overall around Denver, buyers can expect to purchase a home at or slightly under the list price. There are always exceptions: for instance, if it is in a highly desirable neighborhood or priced lower than market value. Since their are still some buyers out there trying to get into their first home, selling your home and buying a home at a higher price point where there is less competition, means you can maximize the value of your home and the bargain you can get on a more-expensive home! People looking to downsize will experience the opposite effect and so I don’t recommend doing that this winter! The other factor driving buyers to act now instead of waiting until next spring/summer is the fact that the FED is going to slow down their purchases of mortgage backed securities thus making the interest rates finally start rising as promised.

Historically, Denver has always seen an increase in prices on average. Waiting until next year to purchase your home only means you will have to pay more and may not be able to afford the house that you want to buy this year. This fall and winter will be the ideal time to sell your starter home and buy a more expensive home! If you are thinking about building a home, lock in the price now so that you will close when the market is hot and gain instant equity! I personally have done that and it is a great feeling when you close on a house and know that it is worth more than you are paying! Check out my YouTube Channel to find out more about building a home as that is my speciality!

If you want to get in touch with me to run some numbers, fill out the form below and I will get in touch with you ASAP!

New listing in Morrison – Open House Saturday

Even though the weather has turned cold and cloudy for a day, this property is bright and sunny! Boasting one of the biggest and best lots of the entire neighborhood, this 2236 square feet house backs open space and has a 1/4 acre of landscaped yard and open decks and views of the mountains! Inside you will find new hardwood veneered floors, a remodeled kitchen, and a newer master bedroom addition that will leave you wanting to move right in! Tomorrow (Saturday, March 25th) is supposed to be sunny and in the 60’s, which makes for great weather to come check out the open house in the afternoon! Come and enjoy some fresh-baked cookies, the beautiful scenery and the custom finishes on this beautiful house in Morrison! You can call me directly for your own private tour before or after the open house. Just call Justin Phillips at 303-514-7889 for more information! The address is 12765 W Temple Dr, Morrison, CO 80465.

Virtual tour of 12765 W Temple Dr, Morrison, CO 80465

Upcoming Denver Listing

I have been contacted by the owners that have inherited this little house in Denver to possibly sell it in the near future. It is a very small 1-bedroom, 1-bathroom ranch house located on the edge of the College View Neighborhood just south west of downtown Denver. There is a ton of potential in this house for whoever fixes it up and then re-sells it. Please subscribe to this blog and send me a message if you want to be kept in the loop about this one!

Find me something to buy!

I get that a lot these days! Right now the amount of properties for sale in Littleton is at a crazy low level. According to the graph below, the amount of properties available has dropped 30% in the past 3 years! While there are still homes available, it is slim pickings! I have been able to get my clients under contract using a variety of strategies to make their offer package stand out from the rest. I also make sure to contact the listing agent so that I can establish a great line of communication to help alleviate any questions or concerns they may have about my clients.

Low amount of homes for sale

On another note, if you have been on the fence considering whether you should sell your home, now is definitely the time. Make sure you pair up with a broker that can find you a home before you list your house for sale, otherwise you might end up homeless with an agent that doesn’t really care. I’m sorry to tell you, but with 50,000 agents in Colorado, there are some agents out there that do not consider this job their passion like I do. I also just recently moved our family and so I have recent, first-hand experience on how difficult a move can be and what I can do to help things go as smoothly as possible! Check out this video below and then call me to help you!

Open house at new listing – 11314 Jersey Way – Thornton, CO

Open House this Saturday – May 3, 2014

 
This home will be under contract by the end of the weekend! Every room has been updated with new floors and new trim! The newer appliances, counter top and light fixtures in the large kitchen make this an entertainer’s dream! When everyone isn’t in the kitchen, they can enjoy the vaulted ceiling and custom fireplace in the living room. The open floor plan in this home situated on the biggest lot in the neighborhood (almost 1/4 of an acre) make this home seem a lot bigger than it really is. Please come out to see for yourself at the open house this weekend from 12:00 to 4:00 pm on Saturday, May 3rd. The seller is not allowing any showings before the open house, so don’t miss this opportunity! The list of upgrades is too long to list here!

 


 

For more information, please fill out the form below:

New Featured Listing in Lakewood!

674 South Youngfield Court

Come and check out this remodeled town home! This home is move in ready! The great neighborhood is quiet with great views of the mountains! This home also has it’s own detached 2-car garage and maintenance-free living! The HOA covers the water/sewer, building and grounds maintenance and removal of trash and snow! With a smaller comp right around the corner at a similar price, this one has great value!

 

 

For more information or to set up a private showing, please fill out the form below: