We have the stability in home prices predicted! The PMI Mortgage Insurance Company, located in Northern California, issued their quarterly “Market Risk Index” this week.
Denver, Colorado is listed among 10 U.S. cities as those posing minimal risk of housing prices being lower in two years than they are today. This report doesn’t make assertions as to whether housing prices will rise, but it’s a good bet that stable or rising prices are more likely in our future than lower prices are.
Combine this news with historically low mortgage rates, and you see what a great time is is to get off the fence if you want to buy property in Denver. Denver housing is picking up steam in a massive way. Our office’s showings are way up. Just on my own listings (click LifeStyle Listings to see them all) I’ve had more showings in the past week than in the prior three months.
If you’re waiting for home prices to fall, just consider that a 1% change in rates (from the 6’s we had a few months ago to the 4’s and 5’s now) can drastically reduce your payment, more than if prices were to drop a little further in the coming months.
My childhood home of Riverside, California didn’t fare so well in the report. They are among the top 3 areas where prices are most likely to drop. I’m glad I live in Denver now.
Denver real estate appears to be a better investment than nearly everything else besides gold. Maybe it will turn into gold if you hold onto it long enough. Stay tuned here to find out more!