Southwest Colorado Real Estate News & Market Trends

You’ll find our blog to be a wealth of information, covering everything from local market statistics and home values to community happenings. That’s because we care about the community and want to help you find your place in it. Please reach out if you have any questions at all. We’d love to talk with you!

Jan. 22, 2021

Remote Work Encouraging Relocations to the Southwest

 

It is no secret that remote work has, for many, become the new way of the workplace. According to Nicholas Bloom, an Economics Professor at Stanford’s School of Humanities and Sciences, 42 percent of the American workforce is now working from home full-time. He points out that “The stigma associated with working from home prior to COVID-19 has disappeared. And working remotely is now extremely common.”

 

For decades, Southwest Colorado has been a highly attractive place for relocation. With the surrounding natural beauty and smaller communities it has been a draw for adventure seekers as well as those who prefer a slower pace and closer knit communities. Now, as social distancing and quality of life are our minds, these aspects are helping to draw more people to the area.  

 

In fact, the Durango Herald recently reported that the city of Durango is specifically attracting telecommuters for relocation. In an interview with Michael French, the executive director of the La Plata County Economic Development Alliance, he told reporters, “The alliance recognizes that a certain amount of urban flight is occurring, some of it from COVID-19, some of it from other factors, but we’re seeing a number of remote workers flee urban areas to smaller, rural areas, and we want to get ahead of the trend”. French recognizes that many of these workers are highly-paid professionals such as engineers, software developers, architects, scientific researchers and other professionals. 

 

After applying, the city of Durango, La Plata Economic Development Alliance and the Southwest Colorado Accelerator Program for Entrepreneurs were collectively awarded a grant from Colorado’s Rural Economic Development Initiative. The money granted will have various purposes. One of which will be used to develop a recruitment plan that helps target remote workers who are most interested in moving to Southwest Colorado. 

 

Ultimately, the new “working-from-home-economy” will bring more people to the southwest. A Redfin survey found that 67 percent of people would want to move if they could work remotely all of the time. In our area of Colorado, the housing inventory is absolutely being impacted as homes are quickly being bought due to relocations. With demand steadily increasing, we should expect to see real estate prices to also rise.

 

 

 

Jan. 22, 2021

2021 Predictions: A Stronger Housing Market

 

The year 2020 brought a significant boom to the housing market across the board. With mortgage rates meeting 50-year record lows and an increase in relocations due to more remote work, sales were at all time highs. Simultaneously, home prices rose as buyer demand surged. Entering 2021 with so many changes on the horizon, what can we expect for the housing market in the US and Colorado specifically?

 

Inventory is expected to remain low. As the millennial generation enters into their 30’s there will likely be an increase in first-time home buyers. Relocation due to more remote workers is also predicted to continue. New home construction over the last decade has been low and, with the COVID-19 pandemic influencing labor and availability of building supplies, this trend was also sustained.

 

According to research from Zillow, home price appreciation will reach its fastest pace since the Great Recession, with price gains being driven by the fundamentals of supply and demand. Colorado home prices will be no exception here as Colorado continues to see more influx of residents from states all over the nation. Although slightly higher rates may seem to make ownership a little less appealing for some buyers, it is predicted that most of the country will continue to see ownership as an attractive financial bargain compared to renting. Danielle Hale, the chief economist at realtor.com reported to Forbes “we expect sales to grow 7% and prices to rise another 5.7% on top of 2020’s already high levels.”

 

In March of last year, the Federal Reserve took dramatic action by lowering interest rates in attempts to combat the pandemic and the expected economic fallout. As the rates are somewhat dependent on the state of the economy, it is tough to predict how long they will remain so low. Some experts believe rates will not see a change for much of the first half of the year but will eventually and inevitably increase. This making sooner, rather than later, the best time to lock in a pre approved interest rate. 

 

A newer development to the real estate scene has been that of the many technological advances. There are now more ways to connect with agents and to learn more about a property quickly and easily through digital media. The pandemic has played its part in this growing trend with respect to social distancing and limitations on travel when it comes to buying out of state. 3D virtual home tours have facilitated a new way of house hunting that some have found to be more accessible for shoppers.

 

As we approach spring, many experts are predicting the seasons will have less impact on home sales this year. The demand is high and supply low. The housing market will continue to be hot. Sales are predicted to happen quickly and more often being over listing price.  With high likelihood that the COVID-19 vaccinations will be more distributed, the economy is projected to reopen and grow. And, as more and more companies are deciding to on go remote work, there will be an increased number of buyers in the market. Without a doubt it is an incredible time to sell. Still, although it may be a more seller-friendly market, buyers will continue to have relatively lower interest rates and an eventually improving selection of homes.

Oct. 5, 2020

The 2020 Housing Market Supply

Housing Inventory Reaches a Historic Shortage

 

Colorado Real Estate

 

The Covid-19 pandemic has undoubtably shaken many aspects of our economy as a whole, and the housing market has been no exception! With mortgage rates at a historic low and buyers demand at an unprecedented high, we are now seeing a strongly depleted inventory of homes on the market. According to Business Insider and CNBC Real Estate News,  there are 20% fewer houses on than market than this time last year and simultaneously 25% more people applying for mortgages. 

 

 

To learn more, read on here.

 

As demand for homes grows and supply tightens, it is an excellent time to sell. If you have been considering a move, it could be an opportunistic time. 

 

Message or call our office at 970-516-1759 to see how we can work together to meet your goals. 

 

 

Sept. 2, 2020

Mortgage Rate Update

Just In: Mortgage Rates are LOW

 

Earlier this month, the average rate on a 30-year fixed mortgage fell to 2.98%. According to Freddie Mac, the mortgage-finance giant, it is the lowest level in almost 50 years of record keeping. With rates this low, it allows buyers a fantastic opportunity not only to purchase a new home but to get more bang for their buck.Low Mortgage Rates Buyers are finding they are able to buy more home for similar monthly mortgage payments. This is great news for buyers across the board as well as sellers. The lower rates make the previously same priced home more affordable. 

 

 

Here is a great article outlining the current low mortgage rate topic in more detail:

Buying A Home The Most Affordable Since 2016: Low Mortgage Rates Give You Purchasing 

 

 

 

March 10, 2020

Getting Your Home Ready To Sell

"Ac-Cent-Tchu-Ate the Positive," an American Songbook classic, was written by Harold Arlen, with lyrics by Johnny Mercer, in 1944. First made popular by Bing Crosby in the movie "Here Come the Waves."

Seventy-two years later, it remains as catchy as ever, and also serves as a toe-tapping reminder of the basics of home staging. Sing along, and enjoy!

You've got to accentuate the positive…

Arrange furniture, decorations and lighting so that the room clearly says, "Welcome!" After all, that's what Home is all about -- a place where we always feel welcome.

Eliminate the negative…

Clear clutter and personal items from surfaces. Remove up to half of the normal contents of a room, so it feels more spacious and inviting.

And latch on to the affirmative…

The goal of staging is to make it easy for the buyer to picture themselves as the one who lives, works, plays and dreams in the space.

Don't mess with Mister in-between …

Remind your clients that staging is a widely recognized best practice, used by motivated sellers.

You've got to spread joy up to the maximum…

First impressions are made within the first few seconds -- make it a positive one. For the right buyer, that "this is the one" feeling can be pure joy.

Bring gloom down to the minimum …

Ensure the lights are on, even in the daytime, and use higher wattage bulbs in hallways and bathrooms. Keep  curtains and blinds open, and use mirrors strategically to leverage the light.

Have faith, or pandemonium's liable to walk upon the scene …

We know not every pet creates "pandemonium," and in fact, pet-friendly houses can be a real plus. However, be sure to observe how animals respond to you as an "outsider" and advise accordingly. Pets that are calm and quiet around their owners can exhibit anxious or even aggressive behavior towards strangers.

Call our office today at 970-516-1759 to speak with an Agent / REALTOR® who can help you get your home SOLD!

 

 

 

Posted in Seller Tips
Feb. 11, 2020

Why should I get "Pre-Approved" when looking for homes?

Simply put, getting a "Pre-Approval" from a lender before you start looking at homes gives you more control over the home buying process, and is a sign to Sellers that you are a serious buyer. And, when you find the right home, you can make an offer right away, since you've already done the gathering of info for your lender, and you have a mutual understanding of the price range that you are approved for. 

 

You'll need to collect at least two years of tax returns, several months of bank statements and pay stubs, any documents that show additional sources of income.  It's a good idea to check your credit report to make things are in order, and address any errors.

 

Most lenders will process the pre-approval free of charge. Set yourself up for success, and talk to a local lender today, then let's go look at some houses and get you in your 2020 home!

Posted in Buyer Tips
Jan. 29, 2020

Market Update January 2020: Montezuma County

If you're wondering if it's a good time to sell your Montezuma County property, the answer is Yes!  We are already receiving calls from Buyers every day, and with Spring just around the corner, the pace will be picking up even more. Expert Tip: There's no need to wait until the bigger rush of listings that will come in March and beyond -- in fact, listing before the rush will help your home stand out and get seen by serious buyers. 
Give us a call at 970-516-1759, and we'd be happy to answer your questions, and help you reach your goals!

 

Posted in Market Updates