HARRY'S BI-WEEKLY UPDATE
April 22, 2013
HARRY’S BI-WEEKLY UPDATE
A Current Look at the Colorado Springs Residential real estate Market
“OH GIVE ME A HOME….”
One month, or even one quarter, doesn’t re-create market direction. However, as I’ve been saying for some time now…..”we’re back”….and doing better than even I might have predicted.
Yes, the Pikes Peak Regional Market is moving in a very positive direction. This is great news for sellers who are looking to recoup market losses sustained during the recession as market value has increased about 11% in the past year. For buyers who are looking to trade up or invest, this is also a good time. While you may pay more than you would have last year for that same home, the upward trend will allow you to see appreciation that hasn’t been seen for some time now.
With mortgage rates staying close to historic lows, now is a great time for first time buyers to consider their options, too. Rental properties are scarce and rental prices are escalating so it certainly makes sense to find out how to capitalize on the current home market situation.
FIRST QUARTER 2013 INDICATORS SHOW LOCAL MARKET RECOVERY IN FULL SWING
Data provided by the Pikes Peak Realtor Services Corp, from Pikes Peak MLS
Well, the data is out and our Local real estate Market is booming. In fact, the comparison of Local to State data is also very positive, as you will see below. This is good news for those of us in the Pikes Peak Area. The Colorado Springs economy is improving and several hundred jobs have been added in the first few months of the year, giving confidence and motivation to homebuyers. With things continuing to improve, I would expect the housing numbers to continue on their upward rise.
Whether you are actively looking, or simply curious as to how your home is doing in comparison to others, take a look at the recently published local real estate statistics for homes in the Pikes Peak Area.
ACTIVITY SNAPSHOT/ Comparison of State of Colorado to El Paso/Teller Counties
(change in year-over-year statistics)
State El Paso/Teller Counties
Sold Listings: +16.1% +21.5%
New Listings: -7.2% +2.2%
Median Sales Price: +14.8% +12.6%
Local Market Overview:
New Listings +10.0%
Sold Listings +21.5%
Median Sales Price +12.6%
Average Sales Price +7.9%
% of Sold to List Price +.07%
Days on Market -17.3%
Active Listings +2.2%
Months Supply -9.1%
For a complete overview of the local first quarter 2013, please click here.
Along with this general information, also included are statistics for each individual area of the Pikes Peak region. Now you can compare different areas in our community to any other, if you desire, or simply see how your specific area is doing.
1st QTR. 2013 YEAR-OVER-YEAR STATISTICS FOR THE PIKES PEAK AREA*:
Median Sales Price Average Sales Price
Black Forest: -4.7% -18.5%
Briargate: +24.1% +20.3%
Central: +9.8% +5.3%
Divide: +29.4% +15.4%
East: +13.1% +1.3%
Falcon North: +1.9% +4.3%
Florissant: +25.0% +0.1%
Fountain Valley: +20.0% +17.4%
Manitou Springs: +10.5% -0.8%
Marksheffel: +19.7% +19.1%
Northeast: +10.5% +9.3%
Northgate: +10.5% +5.5%
Northwest: +6.8% +8.3%
Old Colo.City: +15.8% +13.6%
Powers: +9.9% +15.1%
Southeast: +1.7% +3.2%
Southwest: +2.9% +1.6%
Tri-Lakes: +18.5% +6.5%
West: -4.7% +0.4%
Woodland Pk: +8.6% +18.5%
*Statistics from the Pikes Peak MLS, provided by the Pikes Peak REALTORS Services Corp.
As you can see, things are continuing to move rather quickly and we are now experiencing a market resurgence that’s here for the foreseeable future. To see the complete breakdown on any area listed, click here. As always, I am here to answer any questions you may have about these reports or any real estate concerns you may have.
And, as I mentioned earlier, if you’re in the market for a new home, NOW is the time. With very limited inventory and percent of days on the market quickly going down, there are multiple buyers for fewer properties. To be certain you can get exactly what you are looking for at a price that fits your budget, call me today at 719.598.3200 or email me at harry@HarrySalzman.com and let’s start talking.
WHAT THE EXPERTS ARE SAYING ABOUT THE ECONOMY AND housing market
REALTOR.Mag:
“Fannie Mae economists say that ‘the broadening housing recovery could very well be more robust’ than they anticipated, according to the mortgage giant’s latest monthly economic outlook report.
Low inventories of homes for sale are contributing to rapid price increases all across the country, which are expected to continue throughout this year.
As home prices rise, Fannie economists say they expect that will encourage banks to ease up on the tight lending conditions, which have been one of the major barriers in returning to a more ‘normal’ housing market.”
“The housing recovery was a key factor in the moderate economic growth seen in late February and March, the Federal Reserve reports.”
RISMedia.com:
“Recent data indicate that economic growth in the first quarter has accelerated to an above-trend—but likely unsustainable—pace of 3.2 percent, according to Fannie Mae’s Economic & Strategic Research Group.
‘The April forecast reflects the growing realization that 2013 is off to a good start from a GDP perspective, but we expect the stronger-than-expected first quarter pace to slow somewhat in the second quarter,’ said Fannie Mae Chief Economist Doug Duncan. ‘However, the housing recovery continues to broaden and may be more robust than we anticipate, helping to offset fiscal headwinds’.
More optimism in the housing market adds an additional dimension to the spring buying season. Beyond other factors, 80% of prospective buyers are looking for a good value this spring and are open to exploring neighborhoods they hadn’t previously considered to achieve that objective.
‘Our survey data shows that people are feeling better about their personal siuations and the U.S. economy,’ says Stephen Phillips, chief operating officer for HSF Affiliates. ‘At the same time, respondents’ views of residential real estate have grown increasingly favorable. We believe more consumers will enter the market this year to capitalize on mortgage and pricing opportunities and to secure their part of the American dream’.”
inmanNEWS:
“Housing starts have hit the highest level in five years in March, rising 7.0% month-over-month and 46.7% from a year ago in March, according to a monthly report from the U.S. Census Bureau released on April 16, 2013.
With tight inventory in many parts of the country, housing starts are critical to the housing market turnaround, according to Lawrence Yun, chief economist of the National Association of Realtors. There have to be homes available for those who sell their homes, he has said.”
USAToday:
“Lenders loosen up on home loans.”
The number of lenders quoting non-Federal Housing Administration loans with 5% to 10% down payments on Zillow Mortgage Marketplace is almost double what it was two years ago, Zillow says.
The articles goes on to explain that the “industry is still a long way from the easy-lending standards that caused the housing bust. Borrowers now must show a strong credit history and documented income to get loans.”
“While the FHA requires just 3.5% down, its annual insurance premiums have more than doubled in the past two years. The last increase was April 1 and the higher costs are ‘causing a shift back toward conventional loans,’ says Cameron Findlay, chief economist at Discover Home Loans.”
Following the April 1 increase, “FHA applications for home loans fell by almost 14% for the week ended April 5 while applications for conventional loans rose more than 5%, the Mortgage Bankers Association says.
Rising home prices have also helped lenders get more comfortable with low-down-payment loans.”
WHAT DOES ALL THIS MEAN TO YOU?
I’m going to say it one more time. NOW is the time to start considering your home buying, selling to trade up or investment options. With home values and prices on the rise, inventories tumbling, mortgage rates still low and lower down payments becoming a reality, it’s worth looking at all the options available to you. I’m just a phone call or email away and it would be my privilege and pleasure to help you obtain information to make an informed personal financial decision.
SKY SOX UP AND RUNNING…
Baseball season is underway and with balmier weather on the horizon, I want to remind you that I have four front row season tickets to the AAA Sky Sox available at no charge to you on a first come-first served basis to any home game. Just give me a call at 598.3200 to request the date of your choice. We’ve got a great roster of players this season so call soon as the tickets go quickly. Just another way I like to say “thank you” to clients and friends.
JOKE OF THE DAY
If My Body Were A Car!
If my body were a car, this time I would be thinking about trading it in for a newer model. I’ve got bumps and dents and scratches in my finish and my paint job is getting a little dull. But that’s not the worst of it.
My headlights are out of focus and it’s especially hard to see things up close.
My traction is not as graceful as it once was. I slip and slide and skid and bump into things even in the best of weather.
My whitewalls are stained with varicose veins.
It takes me hours to reach my maximum speed. My fuel rate burns inefficiently.
But here’s the worst of it.
Almost every time I sneeze, cough or sputter,
Either my radiator leaks or my exhaust backfires!
FEATURED LISTING
