Archive for February, 2011
If you like to keep an eye on the performance of the Denver real estate market, you may be overwhelmed by the complex and sometimes conflicting data you hear about in local newspapers and television headlines. We have prepared this handy guide to help you interpret what you are reading and hearing, and specifically target the information you must have to stay informed and make smart real estate decisions.
One of the most important factors to look at when interpreting a particular statistic is how large the area is that is being reported on. For example, statistics based on the entire U.S. real estate market will clearly be valuable only on a very macro level. Examples of these types of statistics can be found in stories such as this and this. If you are looking to buy or sell, for example, a Capitol Hill condo between $100,000 and $200,000, these types of national real estate statistics probably will not help you determine the best timing, pricing or your chances of selling quickly.
When you hear about Denver metro area housing statistics, these will be much more relevant as overall trends for our market. Examples of Denver market statistics include this and this. Rather than trying to keep up with and sift through this local data, you can also let the top Denver Realtors at The Bibeau Group do the work for you and simply sign up to receive one of our regular updates such as:
However, these stats are still not going to be enough to make decisions about buying or selling a particular home. For this purpose, you will be best served getting in contact with your Denver CO Realtor to request detailed Denver neighborhood real estate statistics, such as those below.
• Average list or sold prices – based all homes for sale or sold in a given area
• Price per square foot – quick view of the prices in your area broken down by square foot, sometimes a more useful number than average price
• Number of active listings/inventory – your competition
• Sales pace (absorption rate) – how fast homes are selling
• Under contract –homes that will be closing in the near future
• Average days on market – how long is it taking homes to sell
• Expired listings – what didn’t sell and at which prices
• Average seller concessions – money that sellers are paying to buyers for closing costs and other fees that is not accounted for in sales price
• Distressed sales – how many short sales and bank owned properties are selling in your area
• Percentage of homes with particular upgrades/features (i.e. new kitchens, 3-car garages, other parking, remodeled, etc)
How can you access this type of detailed information? If you are seriously considering putting your home on the market in the next three months or less, or have a specific home in mind to purchase, call us and we will prepare a market analysis for you. Along with an estimate of value, you will receive a breakdown of statistics such as those above to help you make your decision. If you will not be buying or selling in the short term, but would still like to track trends in your neighborhood or an area you might like to purchase in the future, our Denver Metro Market Snapshots are a great tool. Once you sign up, you will receive a monthly, detailed analysis of your area via email.
Now that you know a little bit more about Denver Real Estate statistics, please follow up with any questions or comments!