Hello everyone!As I look over the Boulder real estate market for the first quarter of the year, I can begin to see how the pandemic influenced the market and what is likely to happen. Briefly,
NOVEMBER 2019 REAL ESTATE MARKET UPDATE
Well, Winter came early this year and there is snow on the ground as I write this. Usually the real estate market slows down at this time of year. And while we are continuing to sell our listings in about a week with multiple offers, this is not the norm.
HOW IS THE BOULDER REAL ESTATE MARKET?
In Boulder County, the market is still fragmented but there is some proverbial writing on the wall.
The key indicator that foretells and that we watch like a hawk, are "days on market" which is up from year to year from 41 to 50 days. That may not seem like much but this key indicator is up 22%. This is significant and it is consistent across all the towns in Boulder County. It speaks of buyers being more cautious and taking their time. It also speaks to right pricing and strategic marketing - you can't just expect to list your house and having it sell at whatever price you thought was good as recently as a few months ago.
The other key indicator is % of list price. This is down also, from 98.6% to 97.8% which also speaks to right pricing. Buyers are not rushing and paying full price, for the most part.
The average sale price is down, though not by much ... $655,459 in October 2018 vs $647,197 in October 2019. Not a big difference but not the direction we like this number to be heading. However, one very large sale such as a $4,000,000 sale can easily skew this number so this is an indicator we will continue to watch closely. FYI, the $2-3million sector is doing quite well, so this is continuing to skew this number and the reality in your price band may be quite different.
WHAT DOES THIS MEAN FOR HOME BUYERS IN BOULDER CO?
Buying your dream home may be a little bit easier right now than it was a few months ago.
With the % of list price going down a little bit, days on market a bit longer, if the seller over prices to begin with, you will have a chance to buy at a discount. Albeit not a huge discount.
However, that is the story for now. As you know, due to low inventory and unemployment and an ultra-desirable location, the Boulder area remains strong and may well rebound in Spring.
Meanwhile, interest rates are still low, low, low. Interest rates affect your home cost much more than the price. With homes that have been on the market for a while and low interest rates, this is a perfect storm for home buyers. You may want to take advantage of that.
WHAT DOES THIS MEAN FOR HOME SELLERS IN BOULDER CO?
Right pricing has never been more important.
Having a pulse on the market, buyers' behavior and the shifts that occur nearly daily is an absolute requirement for your real estate professional.
Listings sell quickly in a hot market and while that's not the market we are in right now, it's not all doom and gloom. The right marketing strategy, flawlessly executed, along with a keen understanding of pricing for the best outcome is key. This is when you really need to have all your i's dotted and t's crossed.
Ask questions and then listen to your real estate professional. Look at the data objectively.
Listing your home during the holidays when we have what we call sale season, may sound like a bad idea, but hear me out. Sale season is for homes that have been sitting on the market. Fresh, new listings appeal to homebuyers who have been waiting for a special home like yours and also for relocation buyers.
These homebuyers are motivated, ready, and more than willing to pay full or over ask. Don't miss out, we're here to help!
As we're fond of saying, every client, neighborhood and location is unique and so is your situation when you're in the market to buy or sell a home or investment property. Trish and I believe in deeply and thoroughly understanding each hyper-local Boulder County market and our clients' specific needs and goals to create a successful and stress-free sale.
If you're thinking of buying or selling a property in the next 12-36 months, this is a perfect time to set up your strategy for an easy and successful home purchase or sale.
Contact us at 720-295-1604 or email Jason@homes-in-Boulder.com.
Since 2013 Jason has been honing the skills to provide you with one of the best experiences in selling or buying your home: one that is as smooth and as stress free as possible. Prior to real estate....
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