As median home prices have risen in the Denver area (and beyond) over the past year, rent is on the rise as well. Nationally, rental rates have risen 5.1% year over year from October 2011 until last month. In Denver, rental rates have increased a whopping 9.4% over the past year! A 3 bedroom 2 bath home available for rent last year on the South end of town might’ve gone for $1250 – this year the same place will cost closer to $1400 bucks.
What does this mean for Buyers? Higher rent means less extra money to save toward a down payment on your planned home purchase. If you are planning a purchase, think about cutting back on monthly expenses now in order to save more toward your down payment. Home prices will likely continue to increase, especially as we move into the busy spring sales season. Call me – I’m happy to refer you to a mortgage professional who can prequalify you for your upcoming purchase.
What does this mean for Investors? Don’t wait! Let’s talk about your investment goals and start looking for great deals in your desired neighborhoods. Rental income is a lucrative option, and this type of passive income makes a great investment in a rising market like ours. Home prices are on the rise, but there are still deals to be had if you know where to look.
What about Sellers? Today’s lucky sellers are seeing Denver-area price increases of 10.1% over last year! Now is a great time to sell, and there is no reason to wait. November-December-January is a fantastic time to capture serious buyers. There is typically less inventory available, and fewer looky-loos than we see during warmer months. You may be considering listing your property next year. Call me to find out what your home is worth, and to discuss strategic timing to get the most money for your home sale.
I’m just a phone call or email away. If you have questions about your home, your neighborhood, or your ability to successfully buy or sell a home, give me a ring.
“When you are grateful fear disappears and abundance appears.” – Anthony Robbins
The first day of winter, December 21, seems ages away. We are in the crisp season of autumn – a time of apple cider, falling leaves, 70 degree temperatures (!), and that most fantastic of seasonal sentiments – gratitude. There are many reasons to be grateful for the current state of the Real Estate market in Denver, and I’d like to share a few with you.
- The total US for-sale inventory of single family homes, condos, townhomes and co-ops remained at historic lows, with 1.8 million units for sale in September 2012, down -17.77% compared to a year ago. <source: Realtor.com> This means less competition for you in the eyes of buyers, and potentially a faster sale!
- The median home price in the Denver Metro area (September) is $269,700, up 6.03% from the previous year.
- Average Home Values are GREAT in Metro Denver! The national median home price (September) is $191,500, compared to our median home price (mentioned above) of $269,700. The median home price in Denver trumps the national median by nearly $80k!
- The median age of inventory (in laymen’s terms, the number of days a property has been on the market) is down nearly 18% to 38 days. Nationally this number is a whopping 95 days. What does this mean for your sale? While the average home for sale in the US is taking 3+ months to sell, the average listing in the Denver area is selling in a little over a month. This is something to be grateful for!
- Year over year improvement in housing statistics is valuable, and it’s also important to note that September statistics for the Denver Real Estate market are also up over August statistics. Despite moving from summer (prime Real Estate season) into fall, our positive stats not only held, but improved for the month: average home prices rose a little over 1% from August to September in Denver.
I am personally grateful for friends, family and the privilege of being your valued partner in Real Estate. If I can be of service in any way, please let me know.