October 2011 Case Shiller Shows Strength in Denver Home Values
December 28th, 2011 categories: Real Estate News
The S & P Case Shiller Home Price Indices were published yesterday for the period ending October 2011.
Seasonally adjusted home prices, from September to October were up .5%. Denver lagged only Phoenix in terms of non-seasonally adjusted figures at a drop of .2%. Phoenix was the single city in positive territory, non-seasonally adjusted September to October.
Overall, the national market was down 1.2% for the 20 City composite used by Case Shiller. Denver continues to outpace the country, and the gap is closing on price decreases.
The city-wide inventory continues to be at record lows, meaning there are currently buyers competing for properties. This will result in price increases, however slight the average may be, in the first half of 2012. Real estate is neighborhood specific, so some areas could increase quite a bit while others lag.
Denver is considered one of the healthier U.S. housing markets. We don’t have a history of trending up in rapid fashion, or crashing spectacularly. This newest Case Shiller report reflects the typical pacing of our Denver housing market.
Have a wonderful 2012! If it includes buying or selling a home in Denver, check out www.GretchensDenver.com. Gretchen Faber’s real estate web site for property searches and relocation information.
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S & P Case Shiller Report Ranks Denver Real Estate Market in Top 5
November 30th, 2011 categories: Market Trends
The S & P Case Shiller Report was issued yesterday and Denver was ranked in the top 5 housing markets at number 5.
This report reflects September 2011 housing sales. Year over year prices in Denver were down, with a 1.5% decline. September 2011 prices were also down a little over August. The Case Shiller Report lags by 2 months, and this is a snapshot of where we were 60 days ago.
Denver has been consistently ranked in the top 5 housing markets, and with our low inventory that should remain the case in future months.
The decline in prices is most likely a combination of the typical seasonal slow down, a market rush on homes priced around $200,000 and a continued ongoing adjustment to market conditions.
The MLS figures for November sales will be issued in about a week. It will be interesting to see how the MLS – with more relevant Denver numbers – reports the November sales. That will be an indicator of where Case Shiller will be ranking the city in about 60 days.
Gretchen Faber, LifeStyle Denver author, is a local Denver real estate broker. Contact Gretchen for information on Denver area real estate.
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Denver Colorado Real Estate Statistics | May 2011
June 9th, 2011 categories: Market Trends
We’re finally comparing Denver real estate sales this year with the time after the tax credit ended last year (for under contract properties.)
The number of homes under contract jumped 23% from May of 2010. This is the first month in 2011 where we’re not comparing under contract data to the tax credit time of 2010.
The average sale price for both single family and condo are up over 3%, reflecting stability in the market. While the recent Case Shiller numbers for March indicated a potential “double dip” housing recession, the Denver real estate market is truly hanging in there.
Sellers are realistically pricing their homes, Buyers are taking advantage of the drop in interest rates to incredible lows, and more investors are entering the market and snapping up properties for their portfolios.
Inventory continues to fall, which is one reason prices are steady, even rising. Buyers aren’t finding as many homes to choose from, so the great ones are going fast. The number of days on market fell nearly 3% from April. Days on market were dramatically less a year ago, perhaps an overhang from the tax credit frenzy that was wrapping up at the end of April 2010.
The Denver real estate market may be contracting in terms of number of available listings, it’s not contracting based on the buyers making offers on homes. With a 23% increase in under contract properties, we should see the number of June closings rise considerably. Stay tuned!
Consider an investment property. With prices and rates at an all time low, it’s a great time to buy a rental. Search Gretchen Faber’s web site at www.GretchensDenver.com.
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Denver Real Estate – Double Dip, Single Dip?
May 31st, 2011 categories: Real Estate News
Today’s S & P Case Shiller Report proved interesting to more than just real estate junkies. The highly-watched, monthly index of housing prices showed a double dip housing recession in many U.S. housing markets.
Denver bucked the trend. Barely. We’re not in a double dip – this month. At least not with this most recent report (showing data from March 2011.) Denver prices were down 3.8% over March of 2010. In February 2009, our low point, prices had fallen 5.7% over the prior year.
The S & P Case Shiller is a composite index of 20 MSA’s (Metropolitan Statistical Areas.) There are thousands of cities, towns and neighborhoods that are not factored into this report. Real estate is so specific, that your neighborhood could be up 2-5% from the low, and it could be down 50% from the high. These reports are informative because they give you a gauge of where Denver (or your area) fares against other cities.
The Case Shiller is two months behind, and our MLS usually publishes their data by the 10th day of the following month. That also gives us a good, broad spectrum assessment of the market, but again isn’t specific to your neighborhood.
It will be interesting to see how Denver stacks up in the next Case Shiller. We’ll have to wait until the last Tuesday of June to see if we remain ahead of the “double dip.”
This is a great time to be a Buyer! Don’t miss out on terrific housing affordability. Check out available homes at www.GretchensDenver.com – Gretchen Faber’s Denver housing web site.
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Denver Real Estate Prices Rise 1.5% Since May
July 1st, 2009 categories: Real Estate News
Denver real estate is in recovery. We’re the baby sapling, taking root and growing strong.
The thing is, we never totally crashed and burned like other cities did. Prices went down for sure and according to yesterday’s S & P – Case Shiller Report, we’ve seen depreciation of 4.9% since this time last year. Compare that with Phoenix, down 35.3% year over year.
Since last month, Case Shiller reports that Denver’s prices have appreciated 1.5%. That’s an awesome bounce. Some analysts think this may be a seasonal adjustment, and may not signal a recovery.
I disagree.
Our available inventory hasn’t risen significantly this year. We didn’t experience the typical big bounce in available listings in the Spring. For that reason, we’ve been able to stabilize the market. The ratio of properties available for sale and days on the market is stable. We still have a stratified market, and we need to see high end properties shake out some inventory.
High end sales are increasing slightly too.
I looked up Park Hill and Hilltop sales since April yesterday, several million-plus sales have been recorded. Jumbo rates have become more competitive in recent weeks and there are cash buyers out there looking for a deal on their dream home.
Appreciation follows a reduction in time on the market.
As the days on the market have fallen, as we’ve begun to have multiple offers, as rates have remained competitive we’ve had appreciation re-enter the Denver market. We won’t get back to double digit appreciation very soon. But buyers beware – if you don’t get off that fence soon, you may be looking back over your shoulder in regret.
Margaret Jackson, the Denver Post’s Real Estate Correspondent wrote more about the S & P – Case Shiller Report in this morning’s paper. Read to the end!
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Case Shiller Report Paints a Rosier Picture for Denver Real Estate
May 27th, 2009 categories: Market Trends, Real Estate News
Yesterday, the S & P Case Shiller report on real estate was released.
Denver was cited as one of 3 major metropolitan areas with a slight uptick in home values, in this case .1%. While this may seem like a tiny bump, combine it with the Today Show appearance of Barbara Corcoran who placed Denver as the number 1 recovering city and the fact that houses in low to medium price ranges are getting multiple offers and you’ll begin to see a pattern.
Denver is in the national and local news because our economy tends to be counter cyclical. We hit the skids earlier than most cities and we’re rebounding first. We like to be on the cutting edge. Or maybe we were the canary in the coal mine. In 2007 we led the nation in foreclosure sales, now we’re getting multiple offers and the days on market is shrinking in certain price points. You can see in this chart from Keeping Current Matters, that as months’ supply goes down, appreciation begins to go up.
I was interviewed by Bazi Kanani of 9 News yesterday. She wanted to know what the market fundamentals were that boosted Denver’s real estate market, and what a practicing real estate agent is actually experience at ground zero.
If your home is priced between $150,000 and $500,000, you’re competitively priced compared with the competition and your house is in top showing condition then you should get an offer within 2-3 months at the longest. If you don’t, then the price needs to come down.
Luxury homes and higher priced properties are taking longer to sell, and if you want to sell your luxury home you must be exceedingly well priced and prepared to negotiate. You may also need to factor in regular and aggressive price reductions to get a sale.
Who knows what lies ahead? As Roseanne Roseanna Danna said, “if it’s not one thing, it’s another.” Here’s to a recovering Denver market with out “another.”
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