The real estate market was hot again in 2016 not only in the city of Boulder , but throughout Boulder County. Demand outpaced supply again and the 30-year fixed interest rate remained just below 4.0% for most of the year, a recipe for appreciation. The median price of single family homes went up 14.1% in Boulder County with attached dwellings increasing an astounding 26.8%.
Some highlights from around the county: single family homes in the city of Boulder reached an average price of just over $1 million. S ingle family homes in Longmont (the most affordable market in Boulder County) reached an average price of $400,000 +.
Although interest rates rose from 3.75% to 4.25% the day after the election, further rate increases will likely be gradual. All signs are that 2017 will look a lot like 2016: low inventory coupled with low interest rates resulting in a competitive buying environment and more appreciation. Research firm Veros is predicting that Boulder County will see the second highest appreciation in the U.S. at 10.5% in 2017, behind only Denver.
I'm predicting a very active first quarter, based on pent-up demand and very low inventory. The first quarter is traditionally an excellent time for sellers to be on the market and 2017 should be no exception. For buyers, being on the market early in the year to get ahead of appreciation is a good idea. If you or anyone you know is considering selling or buying, I'm happy to help.
I hope you had a great 2016. Wishing you and your family a happy holiday season and prosperous New Year! As always, thank you for your support through your business, your referrals and your friendship.