HARRY'S BI-WEEKLY UPDATE 9.10.19
September 10, 2019
HARRY’S BI-WEEKLY UPDATE
A Current Look at the Colorado Springs Residential real estate Market
As part of my Unique Brand of 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.
LOTS OF REASONS TO BE HAPPY THIS MONTH…
Home values are up, mortgage rates are down, and Colorado Springs is one of the “cheapest” places to live. How’s that for an interesting lead-in?
We will get to prices in a moment, but I wanted to share with you the front-page story from the Colorado Springs real estate Journal on August 26th. A new study by Move.org ranked cities based on the average monthly cost of living. Out of the USA’s top 75 cities, Colorado Springs was ranked 26thmost affordable with an average monthly cost of living listed as $1,719.15. Lower utility costs helped the city in the rankings and only three cities in the top 25 had lower utility costs than Colorado Springs. That’s just one more reason why companies and their employees are choosing to relocate here.
The four months of record-setting home price increases was stalled in August. However, prices continue to rise, although at a more sustainable pace. Traditionally, August is a slower month in real estate as families with children are already settled into their new homes prior to the start of the school year, so the slight slowdown in sales was anticipated.
Median sales prices on all home types continued to rise, while active listings were down 9.2 percent for single family/patio homes and up only 1.1 percent for condo/townhomes. This shortage of available listings is certainly playing a role in keeping sales down. If there were more available homes, especially at the lower end of the market, I believe the market would be hopping no matter what time of year. As I’ve been telling you for some time, the Colorado Springs housing market is one of the strongest in the country and I don’t see an end in sight.
Add the still historically low interest rates to the mix and you can understand why folks are wanting to sell and trade up. We are seeing activity in all price ranges and in new home construction, too.
If you have even considered a move, or just want to check out the possibilities for your individual situation, NOW is the time. Those looking for investment properties should be considering time a priority, too. Simply give me a call at 593.1000 or email me at Harry@HarrySalzman.com and let’s see how we together can make all your residential real estate dreams come true.
AUGUST 2019 BROUGHT SMALLER GAINS IN HOME VALUES AND A LOW NUMBER OF SALES
Statistics provided by the Pikes Peak REALTORS Service Corp., or it’s PPMLS
Here are some highlights from the August 2019 PPAR report. Remember that the new format of this report no longer provides monthly statistics for each individual neighborhood. However, if you are interested in what’s happening in your neighborhood, I can provide you with this information through other means.
In El Paso County, the average days on the market for single family/patio homes was 21. For condo/townhomes is was 15.
The sales price/list price for single family/patio homes was 99.6% and for condo/townhomes was 100.1%.
You can see from those statistics alone that buying a home in today’s seller’s market is not as easy as in the past, but with me on your side you’ve got a considerably better than average shot at it.
Please click here to view the detailed 9-page report, including charts. If you have any questions about the report or to find out how it relates to your individual situation, just give me a call.
In comparing August 2019 to August 2018 for All Homes in PPAR:
Single Family/Patio Homes:
· New Listings are 1,842, Up 3.1%
· Number of Sales are 1,542, Up 0.9%
· Average Sales Price is $371,552, Up 4.0%
· Median Sales Price is $330,000, Up 4.8%
· Total Active Listings are 2,194, Down 9.2%
· Months Supply is 1.4
Condo/Townhomes:
· New Listings are 250, Down 4.6%
· Number of Sales are 207, Down 9.2%
· Average Sales Price is $262,877, Up 14.4%
· Median Sales Price is $242,000, Up 15.2%
· Total Active Listings are 187 Up 1.1%
· Months Supply is 0.9
Now a look at more statistics…
AUGUST 2019 LOCAL MARKET UPDATE AND MONTHLY INDICATORS ILLUSTRATE OUR LOCAL TRENDS IN DETAIL
Colorado Association of REALTORS® ,Pikes Peak REALTORS Service Corp, or it’s PPMLS
Providing greater detail than the above report, this contains information on both Colorado Springs and Teller counties for residential real estate.
It is broken down by geographical areas and you can look to see how your neighborhood is doing in terms of sales, prices, and more.
The “Activity Snapshot”for all residential properties in El Paso and Teller counties shows the Year to Date one-year change:
- Sold Listings for All Properties were Down 1.6%
- Median Sales Price for All Properties was Up 6.7%
- Active Listings on All Properties were Down 19.6%
You can click here to read the 16-page Monthly Indicators or click here to get specific information on the geographical area of your choice from the 18-page Local Market Update. I recommend that you check out your own area or one that you are considering, to get a good idea of the local pulse. As an example, here is a detailed report on the Colorado Springs area:
MORTGAGE RATES DROP TO ANOTHER 3-YEAR LOW LAST WEEK
HousingWire, 9.5.19
Last week, once again, the U.S. rate for a 30-year, fixed-rate mortgage fell to another three-year low, according to the latest Freddie Mac Primary Mortgage Market Survey.
According to the data, the 30-year fixed-rate mortgage was 3.49% for the week ending September 5, 2019, down from the previous week’s 3.58%. This average is nearly an entire percentage point lower than its 2018 rate of 4.54%.
Freddie Mac Chief Economist Sam Khater said, “While economic growth is clearly slowing due to rising manufacturing and trade headwinds, economic fundamentals are still solid for U.S. consumers. The unemployment rate is low, housing affordability is improving, buyer demand is rising and home price growth is stable.”
The 15-year FRM averaged 3% last week, falling from the previous week’s 3.06%. This time last year it came in at 3.99%.
The image below highlights last week’s changes:
Bottom Line? What are you waiting for? These rates mean you can get more for your money even with homes values increasing. Run…don’t walk…to your nearest phone and give me a holler today!
DECLINING MORTGAGE RATES PROPEL NATION’S HOME BUYING OUTLOOK TO A NEW HIGH
HousingWire, 9.9.19
Last month, American housing confidence increased slightly as more consumers expressed optimism regarding the nation’s falling mortgage loan rates, according to Fannie Mae’s Home Purchase Sentiment Index.
The sentiment was up by 0.1 point to 93.8 in August. Not only is this up 5.8 points from last year’s rate, but it also is a new survey high. The survey is constructed from six questions, gauging the current views and forward-looking expectations of consumers navigating the housing market.
According to Doug Duncan, Fannie Mae senior vice president and chief economist, “Growing expectations that mortgage rates will remain flat or decline are reflected in (this report) which is now at a survey high even though other indicators of economic and housing market sentiment are flat to negative.”
So…one more time…what are you waiting for? Give me a call today and let’s see how we can put these low rates to work for you.
