If you believe real estate is cyclical, then the facts show the
Denver real estate market has hit bottom and is on the way back up.
February 2010 has the lowest residential and condo inventory in 7 years. This month also displays the highest number of home under contract for a February since 2006 and although the sold data is lagging behind previous years, the 2010 spring season is showing signs of a rebound.
There are Five Facts why 2010 will be a more consistent year in
residential real estate in Denver Colorado
The First Fact: 2010 will be improved over past years are inventories are at historical lows in Denver.
Inventory in February of 2010 is the lowest level in 7 years. With single family and condo units that are for sale totaling 18,716, makes for a 8.7% decrease in the number of available properties over February of 2009 and a whopping 28.1% over February of 2006.
The Second Fact: 2010 will be the Tax Credits extended to April 30th of 2010.
- First Time Homes Buyers can receive up to $8000 Tax Credit when buying a home this spring.
- Move up homeowners can receive up to a $6500 Tax Credit when buying a home before April 30, 2010.
- To take full advantage of the tax credits, the buyer purchase must close before June 30, 2010.
- These incentives with low interest rates will create activity the first half of 2010 that was not realize in the first half of 2009.
The Third Fact: 2010 will be improved over previous years as Denver’s pipeline of homes under contract is the highest it has been since 2006 for a February.
The Fourth Fact: A Compelling Reason Denver’s Real Estate Market is on the Upswing is Sold data has hit lows in both Single Family and Condominiums and will start to rise.
- Sold data is the trailing indicator of market conditions.
- January 2010 is 12% less in single family and condo sales than January of 2009.
- Single Family sales decrease by 14% and Condo’s decreased by 5.5% from January 2009 to January 2010.
The Fifth Fact: The Market is bouncing along the bottom and will improve over 2009 is we have reached a new normal in real estate on how homes will be transferred.
- Homeowners should seek the advice of a professional broker in dealing with foreclosure and short sales.
- Denver’s unemployment is 7.5% compared to 9.8% nationally which makes for a more stable economic condition.
Overall 2010 will bring compelling reasons to buy real estate in Denver.
- The $8000 tax credit for first time homebuyers and the $6500 dollar tax credit for existing home buyers will increase demand the first half of 2010.
- Interest rates appear to remain low through the first 6 months of the year.
- Continued fewer new home starts will create less competition for resale homes.
- Prices for the upper end market continue to offer extraordinary concessions making for a perfect time to acquire the home of your dreams.
What should buyers do in today’s market?
- Take advantage of your “Move-up Power” Today.
- Get qualified before starting your search to become more attractive to sellers.
- Consider terms over price in some instances to move into your dream home.
(All data taken from Metrolist, Inc, on February 4, 2010. Denver, Colorado.)
If you're ready to find a great deal on your next
Denver metro area home, call us at the
Bandy Team! We're ready to assist you with all of your
Denver home buying needs.
Marianne Bandy
The Bandy Team
Re/Max Professionals - Denver, CO
"From Our Heart to Your Home"
303-746-7799
1-888-740-5850 x-400
http://www.BandyHomes.com
http://www.DenverAvoidForeclosure.com
http://www.DenverHomeSearcher.com
