The Scoop – 3rd Quarter 2019

WELCOME TO “THE SCOOP”

Everything You Need to Know About the Northern Colorado Real Estate Market – Produced Quarterly by Windermere Real Estate in Northern Colorado

The 10-Year Rhythm

As we study 40 years of price appreciation data for Larimer County, an interesting pattern emerges.  We call this pattern the 10-Year Rhythm.  It shows that price appreciation in ten-year segments tends to closely mirror the 40-year average of 5.42%.  This demonstrates that our market grows in a steady, predictable way instead of taking wild swings like other markets.

Long Term Home Prices

A trusted resource is the Federal Housing Finance Authority (FHFA) which tracks nearly 300 markets across the country and produces a quarterly price appreciation index.

Larimer County

Weld County

State Ranking

According to the Federal Housing Finance Authority, these are the top 5 states for home price appreciation over the last 5 years:

A Mile High

Did you know our state grows by a Mile-High Stadium’s-worth of people each year?  That’s right, we’ve been growing by about 75,000 people each year, and we will keep growing.  The State Demography office estimates we will have 7.5 million people living here by 2040.

Market Speedometer

Each quarter. our Chief Economist Matthew Gardner produces his economic report for Metro Denver and Northern Colorado. Inside you will find his market speedometer. This speedometer reflects the state of the region’s real estate market using housing inventory, price gains, home sales, interest rates, and larger economic factors.

According to Gardner, “I have moved the needle very slightly towards buyers as a few Front Range counties saw home inventories rise. However, while I expect to see listings increase in the coming months, for now, the housing market continues to heavily favor sellers.”

Rental Numbers

What’s Up With Down Rates

It was only a few months ago when experts predicted that 30-year mortgage rates would hit five percent by the end of 2019. For many, it was a foregone conclusion. At the end of 2018, they were already in the high fours. It appeared as if the low interest rate party was over. Then along came mid-2019 and rates kept going lower and lower. Now they are in the high threes and back to where they were in the fall of 2016. What gives? It turns out that trade tensions between the

U.S. and China have caused concerns about a global economic slowdown which, in turn, have pushed rates lower. Lower rates are of course great news for buyers and people thinking about refinancing.

A Unique Solution

Windermere Listings

 

Posted on July 25, 2019 at 7:29 pm
Paul Hunter | Category: Buyer Tips, Evans Real Estate, Fort Collins Real Estate, Johnstown Real Estae, Johnstown Real Estate, Longmont Real Estate, Loveland Real Estate, Real Estate, Seller Tips, Wellington Real Estate, Windsor Real Estate

Compound Effect

If you have driven on I-25 lately you may have noticed that the Front Range is a popular place.

The projections show that it will only get more popular in the future.

Today, 4.8 million people live along the Front Range from Fort Collins down to Pueblo.

In 2030, just 11 short years from now, 5.7 million people will live here.  Yes, that’s almost 1 million more than today.

This is all according to the Colorado State Demographers Office.

While this seems like a big increase, keep in mind that this assumes that population growth occurs at a fairly modest 1.7% per year.

It seems that our state will continue to grow and there will continue to be a demand for housing.

Posted on July 19, 2019 at 3:28 pm
Paul Hunter | Category: About the area, Fort Collins Real Estate

Great Income Property in Fort Collins!

2 bedroom 2 bath town home at 3024 Ross Dr #B15 in Fort Collins that backs to a greenbelt. Easy access to Horsetooth Reservoir, trails, and just minutes to CSU. Extensive updates include new doors, carpet, furnace, ac, refrigerator, and washer/dryer. French doors added to the fenced backyard area. Currently leased through summer of 2020. Call for your private showing at  (970) 673-7285 for more information or click the link below for more details.

http://windermerenoco.com/listing/97933246

Posted on July 18, 2019 at 5:09 pm
Paul Hunter | Category: Fort Collins Real Estate, Virtual Tours | Tagged , , , , , , , , , , , , , , ,

Two Unit Duplex near Old Town in Fort Collins!

Over/under duplex at 1730 Whedbee Street in Fort Collins just minutes to Old Town, I-25, and Spring Creek Park! Off street parking, good sized backyard, and amazing location have kept this property rented for the owners. This property has a Certificate of Occupancy from the city as an approved duplex! Call for your private showing at (970) 673-7285 for more information or click the link below for more details.

http://windermerenoco.com/listing/97654164

Posted on July 15, 2019 at 4:15 pm
Paul Hunter | Category: Fort Collins Real Estate, Virtual Tours | Tagged , , , , , , , , , ,

Country Charm with Wonderful Views!

Want to live minutes to Old Town but in the country with beautiful views all around you? Come see this ranch home at 2816 Terry Lake Road in Fort Collins with a walkout basement on a half-acre! The owners recently added a detached garage with living space above making this unique property even more attractive. The beautiful landscaping is for those who enjoy indoor/outdoor living which is accented by the garage door wall walking out to your patio and backyard with a pizza oven and fire pit. Remodeled kitchen, wood floors, and a great layout! Call for your private showing at (970) 673-7285 for more information or click the link below for more details.

http://windermerenoco.com/listing/96646272

Posted on June 18, 2019 at 9:31 pm
Paul Hunter | Category: Fort Collins Real Estate, Virtual Tours | Tagged , , , , , , , , , , ,

Wonderfully Cared for Home in Loveland!

This wonderfully cared for home at 3100 Sweet Gum Court in Loveland has an open floor plan featuring vaulted ceilings on the main level. Upper level has master suite with 5 piece bath and 2 additional bedrooms with shared remodeled bath. Finished basement includes rec room and 2 additional bedrooms! Beautifully landscaped backyard with lots of mature trees and perennials. Large deck and patio make for great entertaining. Large over-sized 3 car garage and RV parking allowed. Home has new A/C, furnace, exterior paint, and new privacy fence. Call for your private showing at (970) 673-7285 for more information or click the link below for more details.

http://windermerenoco.com/listing/96280474

Posted on June 10, 2019 at 8:56 pm
Paul Hunter | Category: Fort Collins Real Estate, Virtual Tours | Tagged , , , , , , , , , , , , , , , , , , , ,

New Gardner Report!

 

The following analysis of the Metro Denver & Northern Colorado real estate market (which now includes Clear Creek, Gilpin, and Park counties) is provided by Windermere Real Estate Chief Economist Matthew Gardner. We hope that this information may assist you with making better-informed real estate decisions. For further information about the housing market in your area, please don’t hesitate to contact your Windermere agent.

 

ECONOMIC OVERVIEW

Colorado’s economy continues to grow with the addition of 44,800 new non-agricultural jobs over the past 12 months. This represents a reasonable growth rate of 1.7%. As stated in last quarter’s Gardner Report, we continue to see a modest slowdown in employment gains, but that’s to be expected at this stage of the business cycle. I predict that employment growth in Colorado will pick back up as we move through the year, adding a total of 70,000 new jobs in 2019, which represents a growth rate of 2.6%.

In February, the state unemployment rate was 3.7%, up from 2.9% a year ago. The increase is essentially due to labor force growth, which rose by more than 84,000 people over the past year. On a seasonally adjusted basis, unemployment rates in all the markets contained in this report haven’t moved much in the past year, but Boulder saw a modest drop (2.7%), and the balance of the state either remained at the same level as a year ago or rose very modestly.

 

HOME SALES

  • In the first quarter of 2019, 11,164 homes sold — a drop of 3% compared to the first quarter of 2018 and down 13.5% from the fourth quarter of last year. Pending sales in the quarter were a mixed bag. Five counties saw an increase, but five showed signs of slowing.
  • The only market that had sales growth was Adams, which rose 4.9%. The rest of the counties contained in this report saw sales decline, with a significant drop in the small Park County area.
  • I believe the drop in the number of home sales is partially due to the significant increase in listings (+45.6%), which has given would-be home buyers more choice and less need to act quickly.
  • As mentioned above, inventory growth in the quarter was significant, but I continue to believe that the market will see sales rise. I expect the second half of the year to perform better than the first.

 

 

HOME PRICES

  • Home prices continue to trend higher, but the rate of growth is tapering. The average home price in the region rose just 2.1% year-over-year to $456,243. Home prices were .3% higher than in the fourth quarter of 2018.
  • I anticipate that the drop in interest rates early in the year will likely get more buyers off the fence and this will allow prices to rise.
  • Appreciation was again strongest in Park County, where prices rose 21.9%. We still attribute this rapid increase to it being a small market. Only Clear Creek County experienced a drop in average home price. Similar to Park County, this is due to it being a very small market, making it more prone to significant swings.
  • Affordability remains an issue in many Colorado markets but that may be offset by the drop in interest rates.

 

 

DAYS ON MARKET

  • The average number of days it took to sell a home in Colorado rose five days compared to the first quarter of 2018.
  • The amount of time it took to sell a home dropped in two counties — Gilpin and Park — compared to the first quarter of 2018. The rest of the counties in this report saw days-on-market rise modestly with the exception of the small Clear Creek market, which rose by 26 days.
  • In the first quarter of 2019, it took an average of 42 days to sell a home in the region, an increase of four days compared to the final quarter of 2018.
  • Job growth drives housing demand, but buyers are faced with more choice and are far less frantic than they were over the past few years. That said, I anticipate the late spring will bring more activity and sales.

 

 

CONCLUSIONS

This speedometer reflects the state of the region’s real estate market using housing inventory, price gains, home sales, interest rates, and larger economic factors.

For the first quarter of 2019, I have moved the needle a little more in favor of buyers. I am watching listing activity closely to see if we get any major bumps above the traditional increase because that may further slow home price growth; however, the trend for 2019 will continue towards a more balanced market.

 

 

As Chief Economist for Windermere Real Estate, Matthew Gardner is responsible for analyzing and interpreting economic data and its impact on the real estate market on both a local and national level. Matthew has over 30 years of professional experience both in the U.S. and U.K.

In addition to his day-to-day responsibilities, Matthew sits on the Washington State Governors Council of Economic Advisors; chairs the Board of Trustees at the Washington Center for Real Estate Research at the University of Washington; and is an Advisory Board Member at the Runstad Center for Real Estate Studies at the University of Washington where he also lectures in real estate economics.

Posted on May 2, 2019 at 3:13 pm
Paul Hunter | Category: About the area, Buyer Tips, Evans Real Estate, Fort Collins Real Estate, Homes for Sale, Investment, Johnstown Real Estae, Longmont Real Estate, Loveland Real Estate, Real Estate, Seller Tips, Wellington Real Estate, Windsor Real Estate | Tagged , , , , ,

Modern Luxury Living Near Old Town!

Would you like to live near the Spring Creek Trail, in a modern home, with 2 decks, minutes to Old Town, with beautiful finishes? You have found it! 1663 Sprocket Drive in Fort Collins offers an open kitchen and living area, a fully finished basement, and a gorgeous master suite make this a wonderful place to call home. Lower maintenance living with great access to all of Fort Collins, see this today! Call for your private showing at (970) 673-7283 for more information or click the link below for more details.

http://windermerenoco.com/listing/93630468

Posted on April 8, 2019 at 4:35 pm
Paul Hunter | Category: Fort Collins Real Estate, Virtual Tours | Tagged , , , , , , , , , ,

Tax Time!

It’s Tax Time

You probably don’t need a reminder that this is tax season.

Not only because tax returns are due in two weeks but also because you will soon receive your property tax notification in the mail.

Every two years your County re-assesses the value of your property and then sends that new value to you.

When this happens, many of my clients:

  • Don’t agree with the new assessed value
  • Aren’t sure what to do
  • Are confused by the process
  • Want to save money on property taxes

Good news!  I have a webinar that will help you.  On the webinar we will show you:

  • How to read the information from the County
  • What it means for you
  • How to protest the valuation if you want
  • How to get an accurate estimate of your property’s value

You can listen to the webinar live or get the recording.  In any case, you can sign up at www.WindermereWorkshop.com  

The webinar is April 17th at 10:00.  If you can’t join live, go ahead and register so you can automatically receive the recording.

This is a complimentary online workshop for all of my clients.  I hope you can join!

Posted on April 2, 2019 at 1:08 pm
Paul Hunter | Category: About the area, Buyer Tips, Evans Real Estate, Fort Collins Real Estate, Homes for Sale, Investment, Johnstown Real Estae, Loveland Real Estate, Real Estate, Seller Tips, Wellington Real Estate, Windsor Real Estate | Tagged , , , , ,

Condominium in the Center of Fort Collins!

Central Fort Collins for $200,000! 2717 Harvard Street unit B4 offers quick access to the Max, Foothills Mall, Old Town, and the Harmony corridor. Need to be within 10 minutes of CSU? This would be perfect. Investment potential abounds because of the location and convenient layout or live in a well-maintained town home style condo with a wonderful location! Call for your private showing at (970) 673-7285 for more information or click the link below for more details.

http://windermerenoco.com/listing/92319943

Posted on March 11, 2019 at 8:03 pm
Paul Hunter | Category: Fort Collins Real Estate, Virtual Tours | Tagged , , , , , , , , , , , , , , ,