July 2010 Fort Collins Real Estate market statistics are in. Each month we track the following leading market indicators for Fort Collins, Colorado:
U/C = Under Contract
Solds = Number of sold properties
MSI = Month’s Supply of Inventory
************************* What is the MSI? The MSI is an estimate of how long it will take for all the homes in a market area to be sold, or absorbed, based on the number of homes currently on the market and the rate that homes have sold in the past. A market is considered balanced when the MSI falls between 5-7 months. Under 5 months is considered a seller’s market and over 7 months is considered a buyer’s market.
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Curious about the performance of Larimer County’s housing market? Check out the latest first quarter housing data released from our local multiple list service (MLS), IRES. Note that the Q2 ‘10 column shows forecasted movement for the second quarter of 2010. Actual second quarter 2010 will be released in future blog posts.
Larimer County is the seventh largest county in Colorado based on population. It extends to the Continental Divide and encompasses the following cities/towns: Fort Collins, Loveland, Berthoud, Estes Park, Timnath and Wellington. You can visit the Larimer County website at http://www.co.larimer.co.us.
For additional local market statistics check out the Market Statistics portion of our website. If you want information about a specific city, such as Fort Collins, or subdivision in the area, please contact one of our Fort Collins Real Estate Agents today!
Source: IRES “Economic and Market Watch Report, 1st Quarter 2010”
Hindsight is 20/20. Hindsight affords us the opportunity to see “what really happened” versus what we thought was happening at the time. At Keller Williams Realty, we recently took time out at our annual Family Reunion to review 2009 year-end numbers for the national housing market. The data provided clarity and perspective about the market we came through and where we are going.
Five specific categories of data were explored: Home Sales, Home Prices, Inventory, Mortgage Rates and Affordability. Below are highlights from each of the 5 main categories:
Home Sales in Millions
Source: National Association of REALTORS®
Sales increased 5% in 2009, the first annual sales gain since 2005 and the tenth highest annual activity level on record. While it was a difficult year for the housing market, it showed overall signs of improvement.
In the 4th Quarter of 2009, an increase in sales was experienced by all states but California. In contrast, in the 4th Quarter of 2008 only 6 states saw an increase in sales.
Home Prices in Thousands
Source: National Association of REALTORS®
The median home price declined by 12% in 2009.
The reason for the big drop: 1st time home buyers and relatively few jumbo loans (or high-end sales). Distressed homes also accounted for 36% of total sales in 2009. Distressed properties typically sell for 15 to 20 percent less than traditional homes.
Some good news:From 1989 to 2000, home prices grew by 3.9% on average - a sustainable trend. Then, from 2000 to 2005, home price appreciation ranged from 7% to 13% - an unsustainable trend. >>>If home prices actually grew by 4% (a sustainable trend) every year from 1989 the median home price today would be $203,105, which is approximately 17% above where we are today. This indicates that homes are currently undervalued and there is room for home prices to realistically increase in the year ahead. Read the rest of this entry»
