HARRY'S BI-WEEKLY UPDAATE 10.14.14
October 14, 2014
HARRY’S BI-WEEKLY UPDATE
A Current Look at the Colorado Springs Residential real estate Market
As part of my Personal Service, it is my desire to share current real estate issues that will help to make you a more successful and profitable buyer or seller.
SEPTEMBER LOCAL STATISTICS LOOKING GOOD
Statistics provided by the Pikes Peak REALTORS Service Corp, or it’s PPMLS
Local homeowners should be happy with the recently released housing statistics. While the month-over-month averages are not increasing as quickly as they did several years ago, the slow, steady growth we are seeing is a good sign that the housing market is stabilizing and continuing to provide increased equity for homeowners.
In general, September is a slower sales month. People with children still at home and in school want to make certain they are settled in prior to the start of the school year, therefore more sales usually happen prior to Labor Day.
As you will see, September sales in El Paso County show that the relationship of selling price to listing price is 98.4%. And the average days on the market is 80. This means that if you are planning to Sell and you price your home realistically, it’s going to happen. If you are in the market to Buy, it’s also a good time because prices are not increasing at too fast of a pace and interest rates are still historically low. There are fewer homes available, though, and that’s possibly due to the higher price of rentals. A number of renters are looking to become first-time homeowners, figuring that if they are going to pay someone’s mortgage it might as well be their own!
Here are some highlights from the report. Please click here to view the detailed 10-pages . If you have any questions about the report or anything else to do with Residential real estate, please call me at 598.3200 or email me at Harry@HarrySalzman.com.
In comparing September 2014 to September 2013 in PPAR:
Single Family/Patio Homes:
- New Listings are 1,249, Up 8.0%
- Number of Sales are 1,026, Up 23.8%
- Average Sales Price is $253,218 Up 3.3%
- Median Sales Price is $225,000, Up 5.6%
- Total Active Listings are 3,831, Down 5.9%
Condo/Townhomes:
- New Listings are 172, Up 19.4%
- Number of Sales are 153, Up 51.5%
- Average Sales Price is $162,458, Down 6.6%
- Median Sales Price is $150,000, Up 7.9%
- Total Active Listings are 405, Down 11.2%
COLORADO SPRINGS AREA MONTHLY SINGLE FAMILY/PATIO HOME SALES ANALYSIS*
Median Sales Price Average Sales Price
Black Forest $393,500 $380,587
Briargate $272,750 $312,731
Central $176,500 $215,121
East $175,250 $185,264
Fountain Valley: $190,950 $199,041
Manitou Springs: $275,250 $294,493
Marksheffel: $258,000 $277,047
Northeast: $220,000 $243,386
Northgate: $350,000 $377,733
Northwest: $307,250 $336,629
Old Colorado City: $174,450 $195,653
Powers: $222,000 $223,671
Southwest: $240,500 $317,226
Tri-Lakes: $349,625 $360,214
West: $242,500 $295,602
*Statistics provided by the Pikes Peak REALTORS Services Corp,or its PPMLS.
WORLDWIDE relocation COUNCIL MEETING FOCUS WAS “ENJOY LIFE”
I just returned from a week in Chicago where I attended meeting with Realtors from all over the world who specialize in relocation—either around the world, around the country, or simply around the corner. It’s always energizing to share stories and gather new information that I can use to help turn what can be a stressful experience for my clients into one that is as stress-free as possible.
Easing stress during relocation for the entire family is of prime importance to me. There are so many stress triggers that need to be dealt with, such as:
- Possible Negative Equity in the current home and its subsequent listing for sale
- Loss of spousal income and spousal job search
- Unfamiliarity of new town or neighborhood
- Schools
- Disclosure/Inspection issues
- Household goods move
- Mortgage qualifications
These stress triggers, and more, are just another reason why it’s important to deal with a competent real estate Broker who can assist you in all the above areas and help you find solutions to potential problems even before they surface.
A Broker familiar with relocation will be acquainted with Brokers all over the world who can help with getting a current home listed when the move entails a cross-country or cross-the-world situation. My many years of involvement with the Worldwide Relocation Council (WRC) has given me the pleasure of meeting Brokers who have the same “customer service” orientation as I do. Knowing this, I can make certain that my clients will receive the same good advice that I give on a local level.
The “Enjoy Life” theme also concentrated on the “retirement journey” that many of us will travel, either soon, or one day in the future. There are so many questions involved in setting goals and objectives for Retirement and many of them need to be answered long in advance of the actual act of retiring.
Some of the Goals and Objectives might include:
- Where do I want to live? City, State, Country, Home, Condo, Retirement Community?
- What do I want to be able to do with my time?
- How is my health now and expectations for future?
- Estimate how much you will need—one rule of thumb is that you will need 70% of your annual pre-retirement income to live comfortably
- Create an overall plan, including financial lifestyle, family, long-term care, insurance, will
Looking at these areas are important to do BEFORE you decide to retire as the answers to many of these questions will determine where, when and IF you are ready to retire.
A MetLife Study of Baby Boomers (1946-1964) done in April 2012 showed:
- 2011--- oldest Baby Boomers reached new milestone—Age 65
- 45% of Boomers age 65 are now fully retired
- 14% are retired, but are working part-time or seasonally
- 37% of those who retired earlier than planned cited health-related reasons and 16% cited job loss
- 27% of those working said they needed income for daily living and 13% cited desire to stay active
- On average, Boomers not retired yet plan to do so by age 68.5
- 71% are married or in a domestic partnership, 12% divorced or separated, 10% widowed and 7% single
- 83% have children, 84% have grandchildren and 24% caring for at least 1 parent
- 93% currently own their own homes, valued at $255,000
Lots to think about. It’s always a good idea to make plans earlier than necessary and I’d certainly recommend you talk to your financial, tax and other advisors for help for your individual situation. One thing you might ask them about is the possibility of owning investment property, which can help grow equity while providing you with a monthly income, probably more then the mortgage payment. If that’s something that you are considering, give me a call and I can help you define your investment property goals.
As an aside…I did manage some personal time in Chicago and lo and behold, I couldn’t escape my profession even while taking a leisurely walk. The first building I saw was “The Realtor Building”, home to the National Association of Realtors, on Michigan Avenue. There was a wooden-horse decorating contest going on and here is a picture of me with the one designed by the Realtors—entitled “The A-MARE-ICAN Dream of Property Ownership.”
A FEW MISTAKES THAT CAN SABOTAGE YOUR HOME SALE
RISMedia, 10.3.14 & The Wall Street Journal, 10.2.14
I’ve been asked over and over what I think needs to be done in order to get a home in “Selling Condition”. My answer will differ from home to home and some will need more updating than others. I wanted to share some information I recently read. Not all of it will apply to all Sellers, but it’s certainly a good place to start.
According to the real estate Staging Institute, a “staged” home sells 70% faster than a non-staged home. Below is a list of common staging mistakes to avoid:
- Mistake: Not creating space. Clutter robs a home of space. Make sure everything is cleared from the countertops and remove at least two-thirds of books on the shelves. Closets should be half full. If a Buyer sees a jam-packed closet they will think it’s too small for them.
- Mistake: Excessive furniture. Too much, or over-sized furniture can ruin a home sale. Swap out a king sized bed for a queen in order to create more space unless the room is large. Pull furniture two or three inches from the walls throughout the house and allow the corners of the room to be visible.
- Mistake: Household smells. The only thing as important as decluttering is having an immaculate house. A house that smells odd to a prospective Buyer, whether because of a cat’s litter box, a dog or exotic food smells, can easily be a deal breaker. Don’t try to mask smells with room freshener. Simply open windows a few minutes before your home is being shown.
- Mistake: Failure to edit. Too many personal items can increase clutter. Remove as much as possible to allow the potential Buyers to picture the home as one they want for themselves.
- Mistake: Having more than one focal point in a room. Every room needs a focal point but more than one is overkill.
- Mistake: Color Faux Pas. It’s important to maintain a continuum of a neutral paint color throughout the main areas of the house to provide a sense of openness and flow. This also helps make a room look bigger.
- Mistake: Covering up the light. Lighten up! You want as much light to come in as possible. Remove unneeded blinds. Pull drapery aside. You want a Buyer to think: “I could live here, it’s nice and bright.”
- Mistake: Skipping the walk-though. Make a trip through your home and test all the cupboards, cabinets and drawers for proper opening and closing. Squeaky cupboards or jammed drawers will make the Buyers think they will need to fix them. Replacing hinges and greasing drawer tracks is inexpensive and quick.
- Mistake: Neglecting the exterior. The front porch is the home’s first impression. Painting the front door and placing seasonal planters on each side improve the look. Keep lawns freshly mowed and pressure-wash outdoor decks and aluminum siding. This can do wonders for a home’s first impression and boost its value.
So there you have it. Just some common sense suggestions that can help get a home ready for sale. This is a great time to pare down and get rid of things you have been saving but really don’t want to move to your next home. And, as always, I’m here to help with suggestions for your individual property to make certain the “first impression” is a good one.
HARRY’S PHILOSOPHY OF THE DAY
(some other words of wisdom I picked up at the Chicago conference..)
“Never get so busy making a living that you forget to make a life.” –Dolly Parton
“”Don’t be afraid to give up the good to go for the great.” --John D. Rockefeller
“”Things work out best for those who make the best of how things work out.” --John Wooden
“We make a living by what we get, but we make a life by what we give.” --Winston Churchill
“Choose a job you love and you will never have to work another day.” --Confucius
