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Archive for February, 2011

2010 Case-Shiller Index: How did Denver Real Estate Perform?

Written by Leigh Wilbanks
Published on February 27th, 2011
Categories: Market Trends

The Denver real estate market closed the 2010 year as the 7^th best performing metro area of the 20 measured areas with a 2.4% decline in prices year-over-year.  Washington D.C. and San Diego were the only 2 metro areas showing price appreciation in 2010 with a 4.1% and 1.7% increase in prices respectively.

If you’ve been following the Case-Shiller Indices during the recession, you might be disappointed by Denver’s 7^th place finish in 2010, but remember…Denver had much less of a loss to recover from.  Since the peak of the real estate market, Denver has only declined 11.5% while the average decline of the 20 city composite was 31.0%!  Dallas has been the only real estate market to outperform Denver since the beginning of the crash.

And, the 2010 decline of 2.4% isn’t the whole story…the first half of 2010 had price appreciation of 2.9% which was then followed by price depreciation of 3.9% in the 2^nd half of the year.  This see-saw trend was common across all 20 metro areas reflecting the impact of the stimulus tax credit which shifted demand artificially to the first half of the year at the expense of second half results.  In addition, the fourth quarter is typically affected by seasonal downward price pressure which likely exacerbated the affect of the tax credit relative to first quarter results.

What does all of this mean for you as a Denver home buyer?

Although many people feel the urge to wait until the market has made a clear recovery to invest in real estate, prior to market recovery is when you should be making that investment!  It’s true that we have not yet seen a clear and stable market recovery, but we have definitely seen an end to the uncontrollable plunge of 2007-2009 across all measured metro areas.  And, we have now seen positive job growth and unemployment figures in recent months (leading indicators for a recovery in the real estate market) and interest rates continue to remain low. Bottom line…Now is an excellent time to buy!

Published by Leigh Wilbanks
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The Denver Business Journal Says Prices Are Up!?

Written by Leigh Wilbanks
Published on February 1st, 2011
Categories: Community Information

Denver Sign at Pavilions

The Denver Business Journal published an article last week stating that prices in the Denver Metro Area are Up 6.5%.  What does this mean?  How does it affect you?  Good news, for sure….but analyzing the housing market is not simple.  I’m often asked, “So, how’s the market?”.  My response, “Which one?”.  The one in Park Hill, south of 26th Avenue and north of 15th Avenue in the $550,000 to $650,000 price range?  Or the one in Berkeley, north of 38th Avenue and south of I-70 in the $250,000 to $300,000 price range?  So, while the overall market might be up, this doesn’t really affect your individual situation.  Likely, depending on where you live and and the size & condition of your home, the market value of your home was determined by a handful of sold properties within the past six months.  Want to know what your home is worth?  Or just want a market analysis report for your ‘hood?  Give me a call or shoot me an email!

Published by Leigh Wilbanks
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