Realistic Sellers Sell Their Houses
January 25th, 2012 categories: Selling Strategies
A few days ago, I showed a house to a motivated couple who want to find their next Denver home before Valentine’s Day.
They liked it, and decided they might make an offer. Being savvy buyers, they asked me to give them an analysis of other properties that had recently sold around the listing they were considering.
I also pulled the history of the listing, and we found that the house had been on the market for 10 months, with two different real estate brokers. I called the current broker and asked him a few of the usual questions, when do the sellers want to close, is there anything we need to know, etc.
Then came the shocker. The broker said, “I’d suggest your buyers not low ball the price, these sellers don’t have to sell.”
Wow! They’ve endured showings for 10 months, kept the house in show-ready condition, and expected their broker(s) to work hard on the marketing. You almost wonder if that For Sale sign means anything?
I’ve heard sellers tell me this same thing in listing appointments, “I don’t have to sell, so I won’t take anything less than my price.”
Sellers Beware! You may not sell your house if this is your attitude. Don’t expect a professional broker to come in armed with her analysis and years of experience, only to tell her you’ll decide the price. Pricing is not an exact science, and it’s definitely a collaborative effort with sellers’ motivation factored in, but don’t throw out the baby with the bath water. Pay attention to the data if you really DO want to sell your house.
There are times when the initial analysis needs adjustment based on the ever moving barometer of closed sales, and the broker doesn’t always nail it the first time. In certain instances an initial market analysis might actually be a little high, and downward adjustments are warranted. If the seller and the broker can collaborate based on a new analysis, it will be a much better working relationship than one based on a seller dictating the price without credence to the market. If the price is low, you’ll know by the bidding war that ensues. If the price is right, you’ll sell quickly without a lot of drama.
Buyers won’t offer you what you need. They won’t offer you what you put into it. They won’t offer you what you owe. They’ll offer you what their own analysis suggests is a realistic price – less some negotiating factor. Buyers don’t walk in and over pay because you have your house on the market and you’re a nice, deserving person. In fact, you’re reinforcing their decision to go make an offer on the competition.
Sellers – if you don’t have to sell, then your house isn’t really “on the market.” Save yourself months of grief and frustration. Save me and my buyers some time, please. Thank you.
Gretchen Faber works with buyers and sellers in Metro Denver’s luxury home market, as well as in-town neighborhoods, new construction and corporate relocations. Check out all the Metro Denver listings at www.GretchensDenver.com.
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Denver is THE Top Real Estate City for 2012
January 15th, 2012 categories: Real Estate News
Have you seen this recent news report about Denver real estate?
Denver is cited as the number one city to invest in real estate by Greg Rand of Own America.
Watch the clip as Greg covers the metrics that influenced his decision:
- Lifestyle and livability
- Relatively low unemployment as compared with the national average
- In-migration of people relocating to Denver
- A foreclosure rate that is half the national average
- A young population
- Low cost of living
- Fresh air
- 9 Fortune 500 companies and growing
Denver isn’t a secret any longer. The city is no longer a “cow town,” although you can attend the National Western Stock Show once a year to see cows and wear your boots.
We have a world famous art scene, great restaurants, bike trails and parks. Oh, and the mountains out back.
Come visit, and plan to stay. You’ll want to make your home in Denver!
Are you relocating to Denver? Check out area homes for sale on my GretchensDenver real estate web site. Contact me if you’re visiting and want to look for your next home.
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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’s Economic Growth Strong by Some Measures
November 27th, 2011 categories: Market Trends
The Denver Post published a story this morning based upon research comparing Denver to 9 other U.S. cities.
According to their study, Denver continues to outpace most other regional cities for Economic Power, Earning Power, Brain Power and Innovation Attractiveness.
It’s been our hope, here in Denver, that the Innovation Attractiveness will help fuel employment, but apparently we’re lagging in jobs creation. We rank 6th out of the 10 for job creation and 5th for housing affordability.
I spent two days last week with a lovely family who are being moved to Denver from Houston with the oil and gas industry. They were a little glassy eyed with sticker shock in terms of housing affordability. However, one plus in Denver’s column is our relatively low property taxes.
A close friend also works in oil and gas, and she predicts that the Niobrara oil field could hasten job creation in the metro area. And Denver’s housing affordability rankings have actually improved during the recession. The housing decline and foreclosure crisis hit Denver earlier than most of the U.S., meaning we’ve come down to settle along the bottom.
One very interesting statistic in the Post’s article is the productivity of Denver’s workforce. Our GDP per-capita is $56,706 and ranks second behind only Seattle with a per-capita GDP of $60,859. This should attract businesses looking to relocate or expand. The average U.S. per-capita GDP is $11,149, meaning we have a highly productive workforce in metro Denver.
Jobs and employment are key, and they appear to be lagging based on the Post’s study. With such strong fundamentals in place, jobs should surely follow.
Gretchen Faber, LifeStyle Denver author, is a local Denver real estate broker. Contact Gretchen for information on Denver area real estate. She can’t find you a job, but she can definitely find you a house!
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Denver Among Top 10 Healthiest Housing Markets
November 21st, 2011 categories: Real Estate News
Recently, Builder Magazine listed Denver as among the top 10 healthiest housing markets in their “Healthiest Housing Markets: Mid-2011 Update.”
We’ve been experiencing such low vacancy rates for rentals, that much of what’s driving home sales is investor interest. Investors are willing to take a risk on our market and are snapping up good rentals. With investors getting back in, more buyers will feel confident in the coming months.
Builder Magazine says permits for new construction look to double in 2012 and Denver has added 20,000 jobs this year. Our foreclosure crisis hit much earlier than much of the nation, and we’ve seen a large decline in foreclosure numbers.
Add to that, several large corporations have chosen to locate their headquarters in the Denver Metro area, including, DaVita, Arrow Electronics and Vestas. The announcement last week that the Niobrara Oil Field could contain 1.5 billion barrels of oil fueled speculation that growth will continue in our oil and gas industry (no pun intended).
The Denver real estate market is humming, and will continue to gain steam in 2012.
Gretchen Faber, LifeStyle Denver author, is a local Denver real estate broker. Contact Gretchen about listing your Denver area home for sale or looking for that perfect Denver home.
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Mother-In-Law Suites Gaining Favor
November 18th, 2011 categories: Market Trends
While showing homes this year to several of my clients, one new trend seemed to stand out.
Several people mentioned a need to have an accessible second master suite for their parents. Bloomberg News confirmed this trend today in their online post “Homebuilders Target In-Laws, Dogs as Extended Families Grow.” We joke about our 20-somethings moving home and whether we could live with our mothers-in-law, but the reality is that many families are consolidating and cohabiting.
That’s a great trend for families. Maybe not so good for unique household formations, which drive real estate sales. Some people look at it as a temporary solution to a financial situation, but others view it as supportive and an opportunity for bonding or free childcare.
Regardless, this trend hasn’t gone unnoticed by home builders. They are sensitive to market demands, and building to suit the needs of buyers.
Gretchen Faber, LifeStyle Denver author, is a local Denver real estate broker who has sold many new construction homes over the years. Contact Gretchen for information on local builders.
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What the Press Has to Say About Real Estate
November 13th, 2011 categories: Market Trends
10/15/11. The Wall Street Journal. “It’s time to buy that house.”
10/21/11. Business Week. “Crazy deals await.”
10/03. Market Watch. “Now could be the best time in history to buy a home.”
US News & World Report. “Many buyers who waited for rock bottom are finding now is the time to buy.”
Denver’s inventory is low and buyers are searching for great properties. If you’re thinking of selling your home, get it on the market soon!
These headlines should begin to foster the consumer confidence in real estate that’s been lacking the past few years – even though we sold nearly 5 million properties in the US in the past year. It’s not the heyday, but if you’re looking to buy or sell a home in Denver, at least you won’t be fighting scary headlines.
Search for your new Denver home at www.GretchensDenver.com. Gretchen Faber is the Broker Manager at The Kentwood Company at Cherry Creek, one of Denver’s premier residential real estate companies.
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HouseLogic Answers Your Home Maintenence & Renovation Questions
November 12th, 2011 categories: Real Estate News
Have you ever wondered how often you need to clean your gutters? Or how to winterize sprinklers?
The HouseLogic site provides a terrific resource for home maintenance questions. You’ll find resources for calculating the net benefit of some home improvement projects, for going green at home and for landscaping and gardening.
Create a profile, and you can build a home improvement plan for the future, get ideas from professionals and share pictures of your projects. If you’re house obsessed, or just in the middle of a renovation, you should check out this site.
Today on the site there are articles about the costs of adding a fireplace, with pretty pictures of different styles and assessments of cost efficiency. It’s fireplace season in Denver, and adding a fireplace can add value as well as enjoyment on cold, winter days.
HouseLogic just celebrated its 2 year birthday. If you haven’t stopped by the site in those two years, you should! 19 million people are actively using the site. It’s house logical!
Improving your Denver home definitely adds value. Denver buyers prefer tasteful updates, and pay attention to decorating trends that lean to the more conservative. Check out photos of Denver homes for sale at GretchensDenver.com. Compare those to what you find on HouseLogic, and then let me know if you’re interested in hunting for your next Denver home.
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Denver Real Estate Statistics | October 2011
November 8th, 2011 categories: Market Trends, Real Estate News
Sellers – this is not the winter you want to take your house off the market for the holidays.
The Denver metro area inventory is the lowest it’s been this entire millennium. Buyers are searching for homes and sellers are holding back. This level of inventory is about half what it was in the busy times.
If you’re getting your house ready to sell, get it ready now. And get it on the market. The weekly sales rate of 5.62 percent in October, was almost 44 percent higher than the weekly sales rate in October 2010.
Sales were up 12% from October 2010. Days on Market were down from September and year over year, reflecting the buyer demand for good properties.
And finally, prices are down too. Counter intuitive when there are such low interest rates and correspondingly low inventory. The reason prices show a decrease is the trend toward lower priced home sales. The “mix” of properties that are closing are bulking up around $200,000-$400,000. Mid-priced homes and high end homes are still taking longer to sell, and those sellers are still finding themselves reducing prices.
This is shaping up to be a “not normal” winter in Denver. Let’s hope the snow is in the mountains, the sun is in the city and real estate is hot.
Look at pretty pictures of homes for sale at www.gretchensdenver.com.
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