Discounted Holiday Real Estate and Happy Thanksgiving!

The real estate market has continued to slow as we enter the holiday season. This is completely normal for this time of year and as always, the slower market offers an excellent opportunity for investors and owner occupants alike. I have investor clients who have done incredibly well buying rental properties during the holidays and it's also a great time for owner occupants who happen to be looking right now. Every year there are sellers who came on the market too late in the season and at too high of a price. As the holidays approach, some sellers become very motivated. Traditionally, I see properties selling at a 5% discount during December, but this year it is entirely possible to purchase a property for 10% lower than it would have sold for this summer. And as a bonus, it will most likely be worth more by next March. I have seen this pattern play out year after year. Interest rates have recently dropped because of reports showing that inflation is improving. I am working with a lender who currently has rates below 6%. For sellers, it's best to list after the New Year since the market will pick up once the holidays are over. Please let me know if you'd like to discuss the opportunity that the current market presents. Also, I'd like to take a moment to express my gratitude to you, my clients, for your business, referrals and friendship. I am sincerely thankful for you. Happy Thanksgiving to you and your family! All the Best, Rich

September Market Update

The Boulder County real estate market has continued to slow into September with available inventory increasing and the number of homes under contract decreasing. Statistically, this is normal for this time of year, but rising interest rates are causing housing demand to slow more than usual as some buyers pause to see what will happen with interest rates. This is most likely a temporary situation.

There has been speculation by some economic observers that housing prices will be falling. However, there is one thing that is overlooked in these predictions when it comes to our market - housing supply. The inventory of available homes in Boulder County is still close to the lowest in the last 20 years with the exception of 2021 which had the lowest amount of housing inventory on record. The rapid double digit appreciation of 2020 and 2021 may be behind us, but the Boulder County real estate market is among the most stable in the country. According to a recent CoreLogic Home Price Insights Report, they expect to see a more balanced market in the next year with year-over-year appreciation slowing to 3.8% by July 2023. Annual appreciation at 3.8% may not sound exciting, but it's way better than falling prices.

Housing supply has been on a downward trend for many years in our market which has helped to stabilize and increase home prices. These factors point to our real estate market continuing to remain strong and stable. If you want to buy or sell, I would encourage you to reach out to me for questions, ideas and advice.

Quick Market Update

I'm following up again this month about the slowing real estate market since that is the hot topic these days. It's too soon to prove it statistically, but the Boulder County market appears to have topped out around mid-May of this year. Your property may not be worth quite as much as it was a couple of months ago, but it's still worth more than it was a year ago. The market traditionally slows in summer and this year feels a bit slower than usual as buyers proceed with caution because of the higher interest rates. As we get further into the year and I have more stats, I'll be able to tell you about any market changes more accurately. In the meantime, I want to provide you with some information to keep everything in perspective. We are coming out of the craziest real estate market I've ever experienced and slowing down is healthy in my opinion. These stats show that the real estate market is still very strong and stable:

Based on the current stats, the Boulder County real estate market is still very strong. For sellers, you will need to price your home more aggressively in order to get it sold, but it should still be a premium price compared to a year ago. For buyers, there are more homes to look at and prices are more negotiable. The higher interest rates will reduce your purchasing power, but getting a better home for a lower price can offset the higher rate. Please reach out if you want to discuss the current market and how I can help make it work for you, whether you are buying, selling or both. All the best, Rich