Free Credit Score is Good Karma
January 22nd, 2012 categories: Real Estate News
If you’re interested in knowing your credit score, get your once-yearly credit score free from the three major credit-rating agencies.
Trans Union, Equifax and Experian will provide you a free credit score through the Annual Credit Report site. I’ve found the site to be a bit clunky, but if you have some time, you can work your way through it.
When you’re getting ready to buy your next house, a good credit score is vital. Not only a good score, but an excellent one. If you’ve already received your free reports from the ratings agencies, or if you’d like an easier way to access your score more frequently, then sign up for your free credit score at CreditKarma.com.
Credit Karma offers free credit reports and free credit monitoring. Most banks and other web sites charge a monthly fee for this service, but the cost of using Credit Karma is enduring a few ads on their page. Warning, some of those ads will be targeted to you based on your score and other information you provide.
Keep track of your credit and credit score. It’s a valuable commodity when you need to borrow money. Just remember that there is good borrowing (real estate) and bad borrowing (credit cards) and your score will definitely reflect what type of borrower you are.
Gretchen Faber is a Denver real estate broker with over 16 years of local real estate knowledge and experience. Contact Gretchen to discuss local real estate questions, or check out GretchensDenver.com to search for local homes for sale.
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Denver Colorado Real Estate Statistics | November 2011
December 13th, 2011 categories: Market Trends
Imagine you want to move from your city, small town, or suburb to a new location.
This new city isn’t as large as NYC or LA, but it’s big enough to offer you the company of over 2 million residents metro-wide, all the major professional sports, plenty of arts and culture and great restaurants for foodies. Added to that, a fun outdoorsy lifestyle.
Now imagine that you begin your home search in this city, only to learn that there are a little over 12,000 properties to choose from. That’s the entire inventory – from suburban ranches to downtown highrise condos. That’s it. 12,634 homes in every price point, neighborhood and housing style.
Here’s how this phenomenon is currently affecting people in Denver:
- Buyers feel like they’re circling around the same old inventory over and over. When something new comes on the market, if it’s in tip top showing condition and priced well, it’s gone in a matter of days.
- Sellers are feeling the tide turning and aren’t as willing to negotiate as they once were. This is understandable when the Seller has a new listing just on the market, Pottery Barn cute and priced aggressively. But Sellers who won’t look at offers when their house has been on the market for many months or who have had more than one offer and keep waiting for them to go up isn’t facing the reality of their particular piece of property. With inventory and prices this low, Sellers need to understand that Buyers will wait for new properties to come on the market rather that do what they perceive as anathema – overpay.
- Many buyers are deciding to push their price range up a little at their high end. They can’t find what they want and reason that with rates remaining incredibly low, they may as well push at the edges of their comfort level.
- This seems to signal a change in consumer confidence. If Buyers are willing to push a bit toward the top of their price range, they must have a sense that prices will not dramatically fall any further.
Denver’s residential real estate inventory is over 36% below where it was last year, and close to 11% below last month. some of this is seasonal, but that’s not all of it. The Sellers who don’t have to sell have decided to take themselves out of the market. For sure, there will be an increase in inventory after January 1st. But thinking back to the days when we had over 28,000 properties on the market in Metro Denver illustrates just how remarkable this is.
The sold prices have a floor under them now, and are even up about 3% since last month. The days on market are coming down, close to 10% below last year. So houses are selling faster than they have been the past three years.
This month has been a busy one. It will be interesting to see if more buyers come out of the woodwork when the new listings hit the market next month.
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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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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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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Denver Real Estate Statistics | September 2011
October 31st, 2011 categories: Market Trends
Real estate in Denver has picked up steam during September and October. The summer was hot and dry, the fall has been brisk. Under contracts are up over last year.
Inventory is still extremely low, and buyers are finding it difficult to get into the house of their dreams without making some concessions. But sellers with any sort of perceived flaw in their home are nonetheless finding themselves waiting for an elusive offer. The perceived flaws that hold today’s buyers back are location issues, lack of updates and price.
Those are just a few of the reasons why such a profound lack of inventory still isn’t translating into higher prices. We have 7,347 fewer homes on the market from the same time last year, yet prices are still down 2.63%.
Another factor is that showings are bulking up at the $200,000 to $400,000 price point. A reflection of investors buying up rental properties. With vacancy rates hovering at only about 1%, it’s a crazy good time to own rentals.
If you’re a seller, don’t even think about taking your house off the market for the holidays. The shortage of inventory plays to your favor, particularly if your house is priced between $200,000 and $400,000.
Buyers can use this time of year to negotiate. Just make sure you do your research. Not every listed home is over priced. And if you’re not finding what you’re looking for, you’ll see an increase in your choices by mid-January.
Search homes in all neighborhoods and research sales statistics at www.GretchensDenver.com. Gretchen Faber’s real estate web site.
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Denver Colorado Real Estate Statistics | August 2011
September 18th, 2011 categories: Market Trends
Predictions are difficult, and the only certain thing in real estate is that it’s always interesting.
Some homes come on the market and get offers within days. Others are seemingly well-priced and well-presented and still languish for months. The average number of days on the market is up slightly from last year, but not dramatically so.
Prices are down for single family and up for condos, and that’s not a surprise if you’ve listened to any economic news recently. Anything that could make a good rental is being snapped up by investors.
Denver’s unemployment rate, while not stellar, is about a full percentage point below the national rate. And Denver’s inventory of available homes is so low, that buyers have to compete for a very few homes. That would theoretically push prices up, except for the fact that buyers are competing for a fraction of the available homes, and letting the rest languish.
We’re holding our own here, but sellers who are waiting to put their homes on the market until prices come up will be waiting awhile. Prices will firm, but waiting for meaningful appreciation will take patience.
What doesn’t take patience is looking at pretty pictures of houses. Check out the 16,000-plus homes on the market in Denver at www.GretchensDenver.com!
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Denver Colorado Real Estate Statistics | July 2011
August 21st, 2011 categories: Market Trends
A recent trip to India for a real estate conference slowed down my blogging for the past month. It’s great to be back in Denver, where we’ve had a hot and dry summer, after a rainy and cold spring.
Real estate ownership and sales are very different in India, but in some respects there are many similarities. Limited supply and high demand create high prices in areas like Mumbai, and the headlines while I was visiting were all about the high prices leading to issues of lack of affordability.
We visited one 3 bedroom condominium in a nice area of Mumbai that was renting for $20,000 US per month. It was lovely, with slab granite, tile and wood finishes and baths for every bedroom. It wasn’t over-the-top amazing, though, and didn’t have much of a view. And it was less than 3,000 square feet.
Back to Denver reality.
Prices for Denver single family and condos combined are improved by a bit from a year ago, and are up from last month. This time last year, average price was up year over year by more than 6%, so we’re on our way to digging out of the hole in specific neighborhoods and price points.
We’re also up over 17% in number of closed sales from last year. The flurry of market activity in 2010’s first two quarters set the bar for recovery, and Denver’s real estate market continues to incrementally improve. More good news – under contract properties increased nearly 12% from last year.
Month over month shows weakness, with every category except number of active listings and average price taking a tumble.
We’ve been on another economic roller coaster the past two weeks. A time of opportunity for property investors. Rates will continue to be historically low for many months. If you’ve considered buying an investment property, you should do it soon. A trifecta of low rates, home prices still low and rental vacancies at record lows. Investors are shifting into real estate for a good reason.
Look for your next home or an investment property at www.GretchensDenver.com. Gretchen Faber’s home search site.
P.S. did you know that the world’s most expensive single family property is in Mumbai? We drove by it several times, and it’s quite a sight to see. Check it out!
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Denver Colorado Real Estate Statistics | June 2011
July 19th, 2011 categories: Market Trends
June 2011 was the month we were waiting for. Real estate professionals all over the U.S. were predicting that year-over-year sales from June 2010 would rise in June 2011.
In 2010, the Homebuyer Tax Credit ended in April, and at the time all under contract or pending properties were required to close by the end of June to qualify. The closing date was later pushed out to September, but in April everyone thought June 30 was the final date for the credit.
Which makes June and July 2011 interesting months to observe trends. In Denver, Colorado real estate, the trend is that closings are up, Pending and under contract properties are up and inventory is down.
Since May, 2011 our local Denver area residential real estate inventory has increased a little – just shy of 1%. But we’re still seeing a much lower number of homes on the market from this time last year.
Less available inventory theoretically translates to increasing prices. Historically low interest rates also historically work to firm up real estate markets. But since last year, prices are still dramatically down. From May, 2011 prices to see to be firming a little, increasing 3.62%.
The market is stable, sales continue, but prices will not increase as fast as Sellers would like. It will take many months to make back any losses, but if your goal is to buy or sell a home, there could be worse times. Last summer was much slower than this year, and Buyers seem enthusiastic about the prospects of owning a home in Denver!
To search for your next Denver home, go to www.GretchensDenver.com. Gretchen Faber’s real estate and relocation web site.
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Mortgage Modification Help in Denver This Weekend
June 10th, 2011 categories: Real Estate News
From today through Monday, June 13th, the Neighborhood Assistance Corporation of America is at the Colorado Convention Center.
Stop by the convention center between 8 am and 8 pm if you’re a Denver area homeowner and need financial relief by modifying your mortgage. NACA is on a multi-city tour they’re calling the “Save the Dream Tour” in an effort to help troubled homeowners save their dream of owning a home and making their payments. Their web site provides more information.
Meanwhile, blame is being laid on the doorsteps of three of the largest mortgage originators for failure to help enter troubled homeowners in the Federal foreclosure-prevention program. Chase, Wells Fargo and Bank of America have been the hardest to deal with from a real estate perspective in terms of cooperation with short sales. Their response times are getting better, but it’s still a mystifying and frustrating experience to deal with these lenders. It’s not a surprise that they’re being called to the mat for doing little to assist borrowers who are close to losing their homes.
The banks’ systems are terrible, their staff is overworked and not invested in each individual borrower. It seems as if the homeowner isn’t a person in crisis, just another file on the desk. Real estate agents have been howling about the issues in dealing with the banks to get borrower modifications or short sales approved for a couple of years. Now, the Administration is echoing the concerns.
While the banks are no doubt hamstrung by the veiled “investors” in the background (when the loan has been sold, and the bank is only servicing it,) they need to be more transparent about the process. They should also disclose investors’ willingness to negotiate and whether there is insurance on the loan that makes it beneficial for the lender to just let a foreclosure proceed. No doubt, the Federal foreclosure-prevention program is a bureaucratic nightmare for the banks to deal with, but these lending institutions were a large enough lobby to have a voice in the conversation when the program was crafted. Now they need to get out there, like NACA is, and help homeowners stay in their homes. It’s beneficial for cities and neighborhoods – home ownership is an important part of the American lexicon.
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