Active Listings

June/July Real Estate Update

Major Changes to Closing a Loan and What it Means to you

With the acronym of The TILA RESPA Rule and the lack of publicity to consumers, most people are not aware of the significance of the changes coming to the real estate industry nationwide on August 1st. You may be familiar with a document called the Truth in Lending Disclosure or the Good Faith Estimate that a lender will provide to you to clarify fees associated with a real estate purchase.  Starting August 1st, both of these documents will be completely replaced with the Loan Estimate Disclosure and the New Closing Disclosure designed to elucidate the fees and provide a mandatory timeline when documents are delivered to Buyers.  Further guidelines include mandatory three day waiting periods between when a consumer receives documents and when they can close on a property.  As a result of these changes, there is widespread speculation on how much longer it will take to close on a real estate transaction secured by a loan.  The reality is that until Lenders, Real Estate Brokers and Consumers start to employ these forms, we really don't know the full impact of this change.  In any scenario, if you plan to purchase or sell Real Estate after August 1st of this year, expect the possibility of delays and extended timelines for closing until the system is more fully in place.

Denver and the Nation 

Once again, Denver has been listed as the hottest real estate market in the country based on our current supply of inventory.  Here's a link to the full article from RisMedia.  Here are a few graphs from the Metrolist to provide greater emphasis of how the Denver Market has performed.

Percentage of List Price vs. Sold Price in Denver for Single Family Homes between $300,000-$500,000.  This is one of the most competitive price points in the city.

List Price to Sold Price in Denver, Single Family Homes between $300,000-$500,000

Active Number of Listings Between 0-$500,000 of Detached Single Family Homes in Denver

Active Listings 0-500k for DSF in Denver

Number of Sales of Detached Single Family Homes in Denver Priced Between 0-$500,000

Sales of DSF in Denver 0-500k

COMING SOON SIGNS

There's so much competition in the marketplace, that the "Coming Soon" signs you often see in front of houses have started generating controversy.  The major concern among many Real Estate Brokers is that by pre-advertising the house, the listing agent is attempting to capture both sides of the transaction and limit exposure to the open real estate market.  The Colorado Real Estate Commission has recently clarified the broker's obligations to a seller because a coming soon rider has both advantages and disadvantages as a marketing tool.  As a result, a coming soon sign should be specifically addressed in a listing contract.  Buyers- keep your eyes peeled for those signs, they can often be the first indication before a house hits the market!  If you like the house, take a picture of the sign and address and send to us so we can find out all of the details and set up a showing!

Realtor.Com has a new Look

Realtor.com is making some dramatic changes in order to better serve Buyers looking at listings.  They've just released some great new commercials with Elizabeth Banks about their new systems, check it out: Realtor.com Commercial.  Commercial #2

Fitness Across the US

Once again, Denver remains one of the fittest cities in the Nation- here are some of the details provided by AmericanFitnessIndex.com

April/May Real Estate Update

New Highlands Beauty for Sale

This newly listed home represents the best of old world charm and modern living.  It is located in the heart of the Highlands, close to shops, restaurants, and  easily accessible to downtown and the highway.  New steps and landscaping lead you to a renovated front porch. The living room feels fresh and modern, opening into a spacious dining room.  A light filled kitchen is larger than most and has been newly renovated.  Two bedrooms (one being used as a study) and a newly updated bathroom complete this floor.  Downstairs, a family room and gorgeous, oversized bedroom await complete with  a built in closet, and additional cedar closet and a huge newer bathroom. There is also a laundry room.

Outside there is a lovely patio, a nice sized yard and a one car garage.  This house has it all on an amazing block!

Do I Sell First or Buy First?

The single hardest decision facing current homeowners is how to best plan for their next move.  The dilemma regarding identifying the next home has led many sellers to wait to list until inventory increases so they feel more secure when looking for their next investment.  Fortunately, as we move toward the Spring, we have begun to see a seasonal uptick in the number of active listings that will continue through Summer.  This chart demonstrates just how few listings there have been for sale among detached single family homes in the city of Denver:

Historic Count of Active Listings over 5 Years in Denver for Single Family Homes

 

The best news for sellers is that you can make a great return on your investment now.  You can almost guarantee a quick sale, with excellent terms, and you have more control over the transaction than in almost any other market.    We have begun to see some Sellers place terms in the contract requesting an additional 30 days to identify a home to which they can move.  There are multiple negotiating points in a contract as Buyers and Sellers work out the best possible arrangement for both sides, so don't rule out selling even if you don't have all the details worked out yet-- Instead- take advantage of this great time to be a Seller!  This chart demonstrates the Average Days on Market and Average List Price for a single family home in the city of Denver over the last five years:

Average DOM vs List Price for Single Family Homes in the City of Denver for Last 5 Years

In the News: Denver Real Estate

The reality of being a purchaser in a hot market like this one is that you absolutely have to have everything lined up and ready to go before you step foot inside a house.  There are many ways to be competitive with your offer, and usually a combination of several techniques creates the most dynamic and successful offer.  The Denver Post has been writing extensively on this subject and provides a great perspective well worth sharing.

http://www.denverpost.com/business/ci_27780191/denver-buyers-up-their-game-be-last-bidder-standing-real-estate-deals

 

Rental Rates

A lot of clients ask us about how rental rates have been affected.  In our business, as rental rates have also climbed at unprecedented rates- even overtaking appreciation rates of housing, we have seen many renters become buyers.  There are many first time buyers in this market, which makes the hottest markets under about $450,000.  

http://www.denverpost.com/business/ci_27707997/soaring-rents-denver-have-tenants-thinking-more-about

 

Reminder

Street Sweeping in Denver Has Begun April 1st!  Don't Forget to Move your Cars if you Park on a city street!

Beautiful Textiles- Special Offer

Elizabeth's Mother in Law is a very talented Fabric Designer who has been featured in homes and magazines around the world.  She is currently offering a special discount to our clients!