Is this Hot Real Estate Market Creating a Housing Bubble?
You've probably heard how insane the real estate market is this year. Multiple offers, way above list price and all sorts of buyer concessions to the seller are the norm. Here are some very common examples:
Buyers are taking houses AS IS even if they require some major repairs
Buyers are waiving appraisal objection deadlines and making up the difference with a larger down payment if the house does not appraise for the contract price
Buyers are waiving their loan termination deadline and are willing to lose their earnest money if their loan does not get approved
Buyers are allowing Sellers to stay in the house up to 60 days rent free after closing
Most deals I'm working on include all 4 of the concessions above. With prices increasing rapidly, a common topic of conversation is whether the current market conditions are creating a housing bubble. An article written by our managing broker Jay Kalinski at RE/MAX of Boulder gets more in depth into the subject. Click here to read the full article.
I feel that the fundamentals in the Boulder County market are strong, and this is not a bubble. It is simply a serious lack of inventory combined with a lot of buyer demand. Please reach out if you want to discuss the current market with me and how I can help make it work for you whether you are buying, selling or both.