Category Archives: Real Estate Stats
Nearly 4.5 million borrowers are eligible to refinance and could lock in savings on their monthly mortgage payments but have not taken advantage, according to a new report from Black Knight Financial Services.
The average borrower stands to save $260 a month. Nearly 700,000 borrowers could save $400 or more per month, the report shows.
“The recent pause in the upward movement of interest rates continues to encourage late-to-the-game borrowers to refinance,” says Lynn Fisher, the Mortgage Banker Association’s vice president of research and economics.
But many owners are not refinancing, despite the potential savings.
“Our data doesn’t tell us about motivation,” says Ben Graboske, senior vice president of data and analytics at Black Knight Financial Services. “It leaves us to surmise that the reason is apathy, lack of awareness, and education.”
Some homeowners may still be underwater on their home loans, owing more than what the home is currently worth. Other owners may have a low credit score that is blocking them from taking advantage of lower rates.
Still, owners likely will have more time to take advantage. “I don’t think this will be the last opportunity [to refinance into a low rate], but I don’t have a crystal ball,” says Graboske. “There are enough pressures in the market—lenders getting more efficient—that we’re going to have competitive rates around for awhile.”
Source: “Reason to Refinance: 4 Million Homeowners Are Leaving $1 Billion on the Table,” CNBC (June 22, 2017)
Whether you are a first time home buyer or a seasoned homeowner these suggestions make sense and we can all hear this information from time to time.
This report pulled today shows real estate activity specific to zip code 80504 in Weld and Boulder Counties. Notice the large spike of sold homes in June and July of last year reflected in the solid blue background points. Also, the red line indicates the median sold price, which you can see is rising.
Longmont – Single Family
Home sales Year-to-Date are UP 36.8%
Number of Active Listings DOWN 21.5%
Median Price UP 1.8%
Average Price UP 4.8%
Firestone/Frederick/Dacono – Single Family
Home sales Year-to-Date UP 29.4%
Median Price UP 10.4%
Average Price UP 16.5%
Here’s to another crazy month in Longmont Real Estate. The market is wild! –Number of homes sold are up 24%. –Average days to contract down from 113 to 68! That’s down 40%! –Median sales price up 24%! If you are still wondering or have any doubts, call me to get the absolute latest data for your neighborhood.
The following is a snapshot of Colorado’s housing market:
I. Nearly three quarters of 3.6 million or 67.6 percent of Colorado residents are homeowners.
II. CARHOF (Colorado Association of REALTORS® Housing Opportunity Foundation gave $132,308 in 2011 to non-profit housing agencies across Colorado totaling over 7 million since 1990.)
III. Colorado consistently receives top rankings nationally as a place to live and start and succeed in business. Bits of proof of this is supplied below:
a. Best State to Invest (OwnAmerican.com)- 1st
b. Technology Industry Employment Concentration (TechAmerica Cyberstates 2010)- 3rd
c. Research & Development Inputs (Milken Institute)-3rd
d. Best States for Business (Forbes Magazine)- 4th
IV. Colorado’s unemployment rate is currently at 7.9%
a. Service industries make up the largest portion of Colorado’s gross state product. The two largest service industries are real estate (10%) and health care (12%).
b. Tourism is the second largest industry in the State of Colorado.
c. The second-largest aerospace economy in the nation is right here in Colorado. The state’s aerospace economy consists of businesses providing products and services for commercial uses, the military, and space exploration.
d. Colorado is expected to add over 23,000 jobs in 2012, more than any other state.
V. How Does Real Estate Affect the Economy?
a. Real estate contributes 10% of the total U.S. economy’s output.
b. If real estate sales decline
i. Construction jobs decline
ii. Unemployment increases
iii. Real estate prices decrease
iv. The value of homes decrease whether they are being sold or not.
v. The amount of home equity loans the homeowner can get decreases.
c. In 2011, Colorado consumers spent more on goods and services, with retail sales increasing 6.5% for the year. In 2012, retail sales are forecast to remain relatively strong with a gain of 4%.
d. Colorado home builders, for the second year in a row, pulled more permits than they did the year before.
VI. Homes Sold by Colorado REALTORS®- Year End 2011 (based off same time period in 2010)
a. 57,730 Single Family Units were sold in 2011, an increase of 3% compared to 2010. 12,476 Condos/Townhomes in 2011 were sold, a decrease of 1% compared to 2010.
b. The median price for Single Family homes was $196,667 in 2011, a 2% decrease from 2010. The median price for Condos/Townhomes is $126,667 for 2011, a 10% decrease from 2010.
c. About 80 percent of homeowners in Colorado have lived in their house over 1 year and more.
VII. Who were the Buyers?
a. 50% of recent home buyers were first-time buyers
b. The typical first-time home buyer was 30 years old, while the typical repeat buyer was 49 years old.
c. The median income was $59,900 among first-time buyers and $87,000 among repeat buyers.
d. 20% of recent home buyers were single females, and 12% were single males.
e. When considering the purchase of a home, commuting costs were considered very or somewhat important by 76 percent of buyers.
f. New home purchases were at the lowest level in nine years—down to 15% of all recent home purchases.
g. The typical home purchased was 1,780 square feet size, was built in 1990, and had three bedrooms and bathrooms.
h. 11% of buyers over 50 purchased senior related housing or in an active adult community.
a. Colorado is ranked 11th in the nation for its foreclosure rate according to the Denver Post.
b. The state Division of Housing says that foreclosures are down 28 percent at the end of 2011. Many predict the number will continue to slowly decline in 2012.
c. Foreclosure-related properties, which made up roughly one in five home sales in the third quarter of last year, sold for an average 34 percent less than homes that were not “distressed sales,” according to the latest data from RealtyTrac.
Sources: Bureau of Economic Analysis; National Association of REALTORS®; Macroeconomic Advisors; Harvard Joint Center for Housing Studies, Colorado Multiple Listing Services, Realty Trac, U.S. Census Bureau, State Division of Housing; EconPost, Everitt Real Estate Center, Leeds School of Business, Denver Business Journal, Denver Post, Wall Street Journal, Colorado Office of Economic Development
LOCAL Sales up an average of 38% in November … and 24% for the year !!!
Highest Sales Total Since 2008! …and Counting
Well, it’s official. The 999 total sales so far this year makes this the highest volume sales year since 2008. And barring the end of world on December 21st, we will beat 2008 too, to end the year with the most sales in Longmont since 2007! In fact, even if the world ends, we should still beat the 2008 number of 1,021 before the 21st.
This year has continually been one of surprises. Every month when I pull these numbers, create these reports, and write this commentary, there is another amazing statistic. This month, look at the sales total for single family homes in Longmont for the month of November. 86! When I did the October report, The Predictor gave a prediction of 77 sales in November. I didn’t publish that number because I thought it was waaaay out of line and I didn’t want to look foolish. Wrong and wrong again. I’ll tell you what it says for December, but I will tell you now that I can hardly believe it because it resembles a mid-summer number. 94. There, I said it and now you can’t believe it either. If we hit that number the world may just explode from all the headaches, closings and family moves amidst the holiday shopping and cheer.
Just to let you know that the 86 sales in November is pretty much a modern-day record. I had to pull the old stack of dusty and yellowed stats reports from storage, which are remnants of stuff I saved from even before I was at Land Title, to find out how long it had been since we had sales that high. In 2004(!) we had 90 closed transactions in November. The world of real estate has surely changed since 2004, and we are crawling out of the worst recession the world has ever seen, so what’s going on here?One huge difference between our 86 today and 90 back then: new construction. We were building new homes all over the place back then. The absence of new home construction in 2012 makes 86 sales today even more remarkable.
Click on the Report format below to get your copy:
Oh, and how did I forget to mention inventory. Low inventory is something we have heard quite frequently over the past year or so. Well it isn’t low anymore, it’s extremely low! In fact, it’s the second lowest month for as far back as I have records, which go back to January of 2004 – That’s 9 YEARS! And the way the market was going back then (681 listings in 01/04), I’m sure that streak goes much further back. Currently, the 315 listings in Longmont actually net out quite a bit lower if you remove the homes that are under contract (which I never do for this report by the way) and you have an actual available pool of listings of 194. That kind of low listing inventory is concerning especially when we have such high sales months because it represents barely more than 2 months of inventory. I was figuring that those 194 listings might be the ones nobody wants or they might be the remaining homes that are overpriced and I just can’t find anything to prove these theories. Case in point: the 194 Active listings have an Average Days on Market of just 90 days…