The tide is definitely (and finally) shifting after higher and ever increasing interest rates keep pummeling the Northern Colorado real estate market. The action isn't some fast paced, furious back and forth, rather a slow and creeping standstill tug-o-war. Sellers are finally starting to feel the pain of fewer and fewer buyers in the market. It used to be you would put your home on the market and get a flood of buyers. Now that is reduced to a trickle. Not to be forgotten, buyers are feeling the pain too. Home prices are remaining generally steady (give or take a few percent here and there) while rates continue to increase, nearing 7.5% for exceptionally well qualified borrowers. Buyers have to commit to a high payment, with hopes that rates will recede once inflation is...

We have reached the midpoint of the Summer and typically, this is when the market is at it's maximum volume, but this year, things seem pretty muted and honestly, a bit disappointing. While rates seem to have peaked, they are still perceptibly "too high" for many cash strapped buyers. Affordability in Northern Colorado has been a major concern over the last decade, but it has only really hit home when the cost to borrow has increased exponentially within the last year. All things being equal, Northern Colorado has weathered the interest rate storm fairly well, as prices are still holding strong - at least in Larimer County.

School is out and folks are on the move in the late Spring in Northern Colorado. Northern Colorado has been long suffering from lack of available inventory, which was making it even more difficult on buyers. Higher rates, more competition and lack of quality, move in ready homes have put a damper on sales this spring. Although the amount of homes available have ticked up nicely in May, it is still not the perfect market for both buyers or sellers to do what they need to do, so many are deciding to do nothing. My advice: the market is what you make of it - it will never be perfect. The rewards come to those to are active rather than sitting on the sidelines. Work with a professional who can help educate you on the market and one who will navigate through the bumps and hurdles you...

This time of year is really the point in the real estate cycle where we begin to understand how things will play out for the remainder of the year. As it stands now, our inventory has jumped up quite a bit from March into April (a welcome sign for homebuyers) but there are no appreciable signs of any major improvements to the Northern Colorado real estate market at this stage in the game. Inventory is still struggling - sellers are still holding back, probably due to concerns on finding a replacement property while rates are in the mid 6% range, with no signs of improving, unfortunately. The economic pressure of higher rates has still not brought values down much in Northern Colorado, simply because inventory shortages are keeping buyers somewhat competitive, where houses are...

This is the exciting point in the real estate world. Once we pass spring break, things begin to thaw a bit - the weather and the real estate market. Buyers begin to come out looking to make a convenient move in the spring and summer, while homes show their best with greening grass and attractive curb appeal. We also get some great insight into what the market may look like through the spring and summer. Luckily, rates have recently come down a bit to make homes more affordable for all buyers. Inflation is seemingly tamed or at least being tamed, so we may have greener pastures ahead. Here's what's happening in the NoCo communities.

We are a couple months into 2023 and things are getting more difficult to navigate in Northern Colorado. High interest rates in the 6.25-6.5% for most well qualified buyers is putting a huge damper on sales. Conversely, while the early spring is when we should expect to see MORE inventory, we are continuing to see less. This does not necessarily mean that competition over few available homes is increasing home values, but it is keeping them generally in line with 2021 figures. Buyers are having a tough time navigating this environment: they are either forced to reduce their budget due to high rates, increase their monthly payment to get what they want and/or need, and there is not a large number of homes to choose from. Sellers, on the other hand, grapple with the thought of...

January is a month with a lot of energy. New year's resolutions, pent up energy after the holidays, and there's always the desire to get out and start the year strong. In the real estate world, stats from January are rarely indicative of much, it's a pretty quiet month overall. I want there to be a signal that begins a trend for the new year, but I think it's just too early to tell what's going to happen. As we saw in 2022, a lot can happen in a year, or even in 6 months. Markets can be strong, then weak. The good thing is that it seems like both price reductions and interest rates are stabilizing, and a more normal, stable market will return in the new year. See below for a more specific breakdown on the 3 major markets in Northern Colorado.

In my entire career, I don't think I've ever seen a "status quo" kind of year in Northern Colorado Real Estate. I've seen the lowest of the low, the highest of the high and everything in between. Typically, a year will have a constant theme. In 2022, the year was "rollercoaster" simply due to the incredible shift midway through the year in home prices, sales and interest rates. Both buyers and sellers in the market experienced different emotions based on what time of the year they were playing in the sandbox. Now, let's just hope for a more consistent and stable 2023 moving forward!

Real estate in Northern Colorado has gotten pretty sticky over the last 3-4 months, and as we head into the holiday season, it seems like buyers are taking the wait and see approach. As it stands now, most industry experts believe that interest rates still have some room to come down, and prices also have some room to come down. Right now, the fate of the market is in the buyers hands, for the first time in about a decade. Buyers can continue to wait through the holidays and into the new year for even better interest rates to help with affordability, partnered with a pattern of slowly decreasing prices across the region. Showings have nearly dried up, which has led to a decrease in sales between 24-42% in Loveland, Fort Collins and Greeley. It's going to be a long, cold winter for...

The Northern Colorado real estate market is in full slowdown mode as the “new normal” begins to pan out – higher interest rates keeping many buyers on the sidelines, while now sellers are competing for buyers who are brave enough to take on the 6-7% interest rate environment. There is plenty of pain on either side of the transaction at this point. Buyers have to bite the bullet and take a leap of faith that if they over extend themselves, they will be able to refinance with expected lower rates in the next year, hoping that prices don’t creep further down after purchasing. Also keeping their eyes on eroding home values are home sellers – who have to price their homes ultra competitively to lure buyers. Sellers are adding incentives to help buyers pay down interest rates and are up...

The real estate industry, and the consumers within, are often vulnerable to scams due to the nature of the complicated and costly transaction. Over a decade ago, it was predatory mortgage terms that swindled home buyers. More recently, it’s been hacked wiring instructions that led to home buyers sending hundreds of thousands of dollars to a scammer’s bank account. And now, it’s a handful of predatory real estate brokerages that are taking advantage of desperate or needy homeowners.

The full effects of interest rates well into the high 6% and even low 7% range is starting to be felt across Northern Colorado as inventory is beginning to inch up. While we were praying for additional inventory earlier in the year, so that buyers could have a bit more negotiating power, high interest rates have taken the wind out of buyer’s sails. There really is not a clear direction with the market currently. Inventory levels, while increasing, are still not appreciably larger. This means that home values are still not coming down, they are holding steady and even slightly increasing. Prices will only drop when there are so many homes on the market that sellers need to drop prices to find a buyer and that certainly isn’t the norm. Right now, the only homes dropping in value...

We’re finally starting to see the effects of the massive rate hike from late spring. All the contracts from late May through June that closed in July are giving us a real indication of the market slowing down for the first time in about a decade. But fear not, a slow down certainly doesn’t mean a decline in prices, just a tempering of appreciation that was out of control. Finally, buyers might have a little breathing room in terms of lesser competition and more options, but they still have the big hurdle of new interest rates eroding their buying power. The biggest shift is that no longer are houses going far up above list price as they were most of the last 2 years. Things are starting to balance out a bit, which helps to make the market much more stable and predicable for both...

One half of 2022 is in the books and it has been an adventure to say the least. At the beginning of the year it seemed as if it would be “business as usual” – fast paced market, huge gains and intense competition for very few homes, but inflationary concerns have led to almost a 2% increase in rates which might help the market cool down a bit for the rest of the year, however, there is still no cooldown in Northern Colorado real estate.

In a real estate market that is still full of surprises, one of the trends I’ve seen coming on lately is the return of adjustable rate mortgages (ARMs). For nearly the last decade, ARMs fell out of style, simply because some were unsafe, unclear and sometimes unfair and predatory in the mid to late 2000’s, one of the big reasons the mortgage market melted down. Borrowers with unsafe ARMs and balloon payments weren’t left with many options when home prices too a shift south. Those types of loans and the borrowers who could only qualify for them, aren’t around any more. Today’s ARM’s are straightforward, safe, and in most cases carry a better rate than fixed mortgages which is why adjustable rate mortgages are making a comeback in today’s market.

We are deep into the selling season, home values and sales are remaining strong across Northern Colorado despite a bump in interest rates. Many of the closings in May represented contracts from the late March through April timeframe, before rates began to really increase, so June data will be much more telling. Either way, sales and prices generally remained strong with limited inventory, and buyers are still throwing everything at sellers to get offers accepted. Across Northern Colorado, buyers should expect to offer between 3-4% above list price to remain competitive on the best homes.

It doesn't seem like rising interest rates, monkey pox or recession fears have slowed down the real estate market yet, if anything, these pressures are pushing buyers to act now by hustling to get their purchase under contract, beating out the hoards of buyers descending upon Northern Colorado. It'll take a well crafted offer, solid financing, and perfect timing to see a home, write an offer and beat out multiple strong offers. My best and most biased advice is to be prepared, work closely with your Realtor and move quickly!

Finally, finally, finally – there are some more homes on the market. A small uptick between February and into March is adding to the momentum of the housing market this spring, however, the uptick is just that – very, very small, so homebuyers aren’t feeling much relief, if anything. And along with that distressing feeling, buyers are now having to adjust budgets and expectations as interest rates have finally popped up, to help stem inflation. So along with few homes to see and decreased buying power, what are buyers to do? My best advice is to be prepared. Before you even see a home, work with me to lay out your strategy, intentions and goals. Do not wait for the right house, it will be too late in most cases. Get prequalified immediately, develop your plan (this takes less...

Because of the competition in the market, I am seeing both homebuyers and home sellers jump in pretty unprepared, thinking that they have everything covered. In my experience, not being adequately prepared for a market in which you need to make quick decisions, can really put you behind. It can cause heartache, frustration and missed opportunities. On the flip side, the clients of mine who take my advice and guidance, craft a strategy well before they need to implement it and remain flexible along the way, remain the most successful in both their home sales and purchases. Today, I want to share a case study of some clients of mine who capitalized on some big opportunities simply by being ready and focused. Being prepared pays off big.

For buyers who expected (wished, hoped, or prayed) for any homes to purchase early in 2022, their expectations are not being met. Another month of bottom-of-the-barrel inventory is pushing home values across the region to new heights. Fort Collins is scraping the $600k mark, while Loveland/Berthoud is sitting pretty in the mid $500’s and Greeley/Evans is now in the mid $400’s. As we work into the meat of the market in the spring season, we can only hope that some sellers see the opportunity and capitalize on found equity. But, the only way this benefits the market as a whole is if that seller does not find a replacement property in Northern Colorado, or the inventory is a net-zero. Home values are already stunning in 2022, and unless sellers get off the fence, it’ll be a wild...