Where To Find A Deal On Real Estate For Sale In Colorado: Is The Market Overpriced?
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Are real estate agents hiding all the good deals in Colorado? Contrary to belief this is not the case. Homes are not overpriced. Values are pushed by a lack of inventory and pent-up demand. Homes are expensive but they are not overpriced. Price is correct on homes for sale in Colorado. Where are the best places for a good deal in Colorado? What our real estate agents are seeing in Colorado
The Colorado Real Estate Market trends
The real estate market in Colorado is booming. The economy is recovering and population growth is on the rise. The housing market is seasonal. From April through August, sales tend to be sluggish. From October through March, sales are strong. Demand in Colorado does not change. Colorado is out of housing inventory. The number of homes for sale in Colorado dropped to a low of 102,000 in June. The few homes for sale in Colorado sit on the market for a median of 146 days before they are sold. Listing prices tend to be inflated. The average price of a home sold in June was $347,400. The median price of homes sold in Colorado in June was $345,000. The number of days the average home is on the market in Colorado is 13. Only 26 percent of homes were sold above list price in June.
Is the Colorado Real Estate Market Overpriced?
There is an assumption that the Colorado real estate market is overpriced. Homes are on the market longer and there is more inventory than what is needed to satisfy the demand. Many factors play into the home buying and selling process and it is not fair to blame the homebuyer for price increases. Yet, just because the trend seems to say so does not mean that is true. Most homes are priced to move. The demand exceeds the supply and is pushing prices up. That is great for buyers, but challenging for sellers. Many homeowners are convinced the market is overpriced. There are other factors to consider: Properties are typically priced to sell rather than to rent. Properties for sale in Colorado come in multiple price ranges with prices that do not accurately reflect what a home is worth.
Establishing a price point for a home in Colorado
Local real estate agents often recommend a value based on estimated future income. You can calculate your own price point by considering a number of factors, such as: 2 months of rent or a 3-year mortgage amount. Interest rates on your home loan. Cost of your home insurance. The value of a house in your neighborhood. #4 What Does The Market Look Like? Real estate agents call this the ‘potential sales period’ and this is the period of time that should be reviewed before buying or selling. As an example, you are about to go to bed. You have lived in your current home for 3 years and you are about to sell it. During this time the market could be on the upswing. Or you are about to go to bed and the market could be on the downswing. The market is constantly fluctuating in Colorado.
What our real estate agents are seeing
This time of year, the spring months, often is a good time to buy. Many people make spring plans. Vacations, new homes, new land, new jobs, and new housing are all on the minds of people. There are good deals to be had on real estate in Colorado. Homes are priced appropriately for the market at this time. To find these great deals our real estate agents in Colorado are seeing we asked our real estate agents what they are seeing. This is what they had to say: Denver Home Prices Continue To Rise Colorado’s urban area also is experiencing good sales for homes. Prices are still trending up. List prices are pushing up to $400,000 or $500,000, but there are still deals to be found. Homes are priced lower in some places in Colorado than in other areas.
Is now a good time to buy a home in Colorado?
Colorado is the affordable choice for many. The demand is there with an active economy. There are still a few options on the market, just not enough to meet the growing demand. This is why the median home price is increasing. As a rule of thumb, I do not predict prices. But based on trends I believe we are going to see price increases in the next year or two. Inventory is being kept low by a lack of supply. We have an upward trend in demand which makes the job of the real estate agent a bit harder. We are finding fewer homes to sell. Fewer choices for our buyers. Because of this, prices will increase. The easiest thing for the buyer to do is wait. Buyers should not be concerned about this. If you’re planning to buy in Colorado, you can do so at a price you like.