When it comes to Colorado real estate news, the buzz words include the “buyer’s market,” or the “seller’s market,” but in 2015 it will be somewhere in between the two. Real estate trends affecting Denver relate to the aging baby boomer population, low-interest rates and loose lending standards for younger buyers. According to a piece by Market Watch, the real estate market will tilt slightly in favor of home buyers. In the Denver-area real estate market, the value of homes can differ vastly depending on whether you live in Westminster, Capitol Hill, Highlands, Riverfront, Downtown or other areas.
- Expect more inventory of homes
Now that more homeowners who bought during the housing boom have equity in their homes, it’s likely many will sell. Housing experts expect more entry-level or starter homes to hit the market in the New Year as people who bought during the boom almost a decade ago search for step-up homes. According to Market Watch, many sellers will want to sell before prices dip.
- Take advantage of low rates
When it comes to interest rates, it’s still a great time to lock in on low rates. A recent article by the LATimes pointed out many people predicted interest rates would climb to 5 percent in 2014. Instead, they ended the year at about 3.87 percent. Experts think the Fed will increase short-term interest rates by the summer of 2015. As interest rates climb, both buyers and sellers will have tremendous incentive to make a move. First time homebuyers who aren’t working with a lot of cash depend on lower rates to afford a home.
- Enjoy living in a hot market
If you are selling your home in the Denver-area, it’s exciting living in an in-demand city that is a hot spot for job seekers. Buyers can also enjoy quick appreciation as people migrate to Colorado as part of job relocations and retirements. Experts say many aging baby boomers want to retire to Colorado because of the great climate and exciting culture. Meanwhile, young buyers also gravitate to Denver along with the real estate investors who want to own rental properties for those who haven’t bought a home yet.
For first time homebuyers interested in new construction, several builders are focusing on the entry-level housing market. An experienced Denver Realtor can help you find negotiate the best deal on a new or existing home, condo or loft.
At Peter Hauben Real Estate, we have experience giving our clients the edge whether it’s a buyer’s market or a seller’s market. We can fill you in on the latest Colorado real estate news and assist you through the home-buying and home-selling process.