No Drop

by Heather Patel

The numbers are in and it turns out that not even 8% rates could make prices drop in 2023.

When mortgage rates jumped this last year, many people believed that home values would fall as a result.

The fact that prices stayed flat in 2023 even though interest rates doubled between March 2022 and October 2023, shows that values along the Front Range are incredibly resilient.

Here are the 2023 average prices along the Front Range and their change compared to 2022:

Larimer County: $621,538 / 1%

Weld County: $527,600 / 1%

Metro Denver: $679,710 / 0%

Colorado Housing • Housing Trends • Market News • Market Trends • February 17, 2024

Out of the Gates

by Heather Patel

How is the year starting? All of us in the real estate industry are especially curious to see how 2024 is starting off after the first slow real estate year in a long time.

Rates have settled down and are trending down.

Prices have shown resilience and continue to go up.

But, how about transactions? Are they picking up after a year that saw an 18% decline in the number of closed residential properties?

It turns out the year is starting off strong but not unusually strong.

Pending transactions are up in Larimer County 7% year over year and up 3% in Weld County.

So, we are already seeing signs that 2024 will be a year of growth compared to last year.

Buyers & Sellers • Fun Facts • Market Trends • February 15, 2024

More Normal Range

by Heather Patel

The length of time that it takes for a property to sell is settling into a more normal range.

“Days on Market” is an insightful statistic that counts how long it takes for a property to go from live on the market to sold.

Today measurement stands at 72 days in Larimer County and 74 days in Weld County.

From January 2021 to November 2022, Days on Market never went above 60. This time period was defined by incredibly high demand and drastically low supply.

The time frame of January 2018 to December 2020, which was more ‘normal,’ had Days on Market between 60 and 90 days.

Colorado Housing • Housing Trends • Market News • Mortgage • February 13, 2024

Above Water

by Heather Patel

A dynamic that gives us even more confidence about the housing market is the amount of equity that homeowners have in their property.

Equity is of course the difference between the value of the property and the amount that is owed against it.

In Larimer County, 53% of homeowners have at least 50% equity in their homes. In Weld County, the number is 38%.

It is interesting to note that Nationally, only 1.8% of homeowners are ‘underwater,’ meaning that the value is lower than what is owed against the property.

In 2009, 26% of homeowners were underwater.

Buyers & Sellers • Colorado Housing • Economics 101 • Housing Trends • Market News • Market Trends • Windermere Real Estate • February 2, 2024

Forecast Takeaways

by Heather Patel

Here are some of the big takeaways from our annual Market Forecast with Economist Matthew Gardner:

Interest rates will continue to trend down during the year and reach 6.08% by the end of 2024.
Home prices will have another year of modest gains increasing 2.0% to 2.5% in Northern Colorado
53% of homeowners in Larimer County and 38% of homeowners in Weld County are “Equity Rich” meaning that they have at least 50% equity in their homes.
Inventory levels will increase in 2024 but will remain below normal which protects prices from any sort of major decline

To receive a copy of the full slide deck from the Forecast, feel free to reach out to us!

Loveland Real Estate • Virtual Tours • February 1, 2024

Spacious and Well-Maintained Loveland Townhome

by Heather Patel

Nestled in the scenic landscape of Loveland, this meticulously cared for 2-bedroom, 3-bathroom Townhome lives spaciously among its three levels. Upon entry, be greeted by a bright open layout, leading into your recently updated kitchen. The kitchen showcases Blue Pearl granite countertops, stainless steel appliances, and two pantries. Retreat to the master suite, complete with not one but two closets and a large en-suite bathroom with a soaking tub and a separate shower. The upper level is finished off with an additional bedroom, full bathroom and loft space that would make a great home office, playroom, or library – whatever caters to your unique lifestyle. An attached and OVERSIZED 2-car garage ensures your cars are protected and storage or hobby needs are well met. Ceiling fans have thoughtfully been installed in each room to provide efficient cooling and comfort. The main level received a fresh coat of paint in December 2022, while the upper level was treated to a new paint job in September 2023, ensuring a pristine and welcoming environment. The exterior of the home was freshly painted in the summer of 2023, enhancing curb appeal, and protecting your investment. Don’t miss this opportunity to reside in a community that is both serene and vibrant. The nearby park, walking trails, and frequent community events ensure there’s always something to look forward to. 3230 Springfield Dr. is more than just a house; it’s a place to craft lasting memories. Call (970) 214-9479 to schedule your personalized tour today or click here for more information.

Buyers • Home Pricing • Market News • Market Trends • Sellers • Windermere Real Estate • November 21, 2023

Highly Active

by Heather Patel

In addition to tracking the average price for sold properties, it is also interesting to track the average price for active properties.

Asking prices are up across all markets when compared to the same time last year.

Here are the average list prices for residential properties along the Front Range:

Larimer County = $893,000 (8% higher than last year)
Weld County = $702,000 (6% higher than last year)
Metro Denver = $847,000 (5% higher than last year)

These asking prices are higher than average sales prices by approximately 30%. This is because there are many high-end properties on the market which take longer to sell and which pull up the average.

Fun Facts • Mortgage • Sellers • Windermere Real Estate • November 17, 2023

Net Worth Surge

by Heather Patel

Net worth surged for American families during the pandemic era, largely because of increased home values based on the Federal Reserve’s Survey of Consumer Finances.

Net worth is a measure of household assets after accounting for liabilities. After accounting for inflation, median net worth jumped to $192,900, a 37% increase from 2019-22, the Fed found.

That percentage growth was the largest since the Fed started its modern survey in 1989. It was also more than double the next-largest increase on record. Between 2004 and 2007 real median net worth rose 18%.

Colorado Housing • Fun Facts • Market Trends • November 14, 2023

Holding Steady

by Heather Patel

Despite a significant increase in the supply of apartments, rental rates are holding steady.

New research from Realtor.com shows that lease rates in the largest U.S. cities are down just 0.7% even though completions of apartment buildings are up 15% since 2022.

Denver’s average apartment lease rate decreased only 1.0% year over year and now stands at $1957 per month.

Buyers & Sellers • Fun Facts • Mortgage • Windermere Real Estate • November 10, 2023

A Rate-Induced Pop

by Heather Patel

The recent drop in mortgage rates triggered a measurable uptick in sales activity.

So far through the first 10 days of November, pending activity in Northern Colorado is up versus the same 10 days last year.

This is despite interest rates being higher than they were last year.

Mortgage rates just had their biggest one-week drop in over a year and buyers clearly responded.

Pending sales through November so far are up versus last year:

48% in Larimer County

20% in Weld County