Housing Statistics for Longmont Colorado —
Week of 2/25 to 3/4
# of Homes Newly Listed for Sale this week- 40
# of Homes that have gone Under Contract this week- 33 (average of 46 days to offer)
# of Homes that Sold this week- 36 (average of 76 days to sale)
The local market here in Longmont is VERY active. The buyers that I am showing homes to right now are all experiencing the same situation: they see a few homes online that they identify to go see, in a matter of days (sometimes even hours) the list of homes shrinks to a fraction of what it was because the homes are all under contract. Sellers are receiving offers faster than Buyers can schedule showings!
It takes an experienced, aggressive, and available agent to make sure that you secure the home you want. Call me if I can help you.
Garry and Lisa in the Longmont Newspaper!
Continued historically low interest rates and five-year lows in inventory are the highlights of the Longmont-area housing market heading into 2013.
Following the bottom falling out of the market in late 2008, it has been a long, slow climb back up for the real estate industry. The so-called Great Recession and the economic upheaval that went along with it have made for a bumpy ride the past several years.
But in 2012, things seemed to return to normal, with the federal government’s incentives and the worst of the foreclosure situation having run their course.
Single-family home sales picked up in the St. Vrain Valley in 2012. Total homes sold in Longmont were 1,082, a 21 percent increase over the 892 sold in
2011. The average days on market dropped 16 percent, to 88 from 105 in 2011, and the median sale price was up nearly 12 percent: to $230,000 in2012 from $206,000 in 2011.
But the number of active listings — 280 in Longmont at the end of 2012, compared with 309 at the end of 2011, according to Kyle Snyder of Land Title Guarantee Co., who compiles monthly stats for the Longmont Association of Realtors — is at a five-year low, meaning buyers’ choices are limited.
“I haven’t seen a lot I’ve liked, but I like this,” prospective homebuyer Barbara McCormick said as she toured a house in the Yeager Farms neighborhood last week.
Her real estate agent, Dene Yarwood of Wright Kingdom Real Estate, reported the next day that McCormick had decided to buy the four-bedroom, three-bath house.
Yarwood, a broker/associate with Wright Kingdom and 2013 president of the LAR’s board of directors, said the Longmont real estate market really started ramping up last spring.
“It’s still such a great time to buy,” Yarwood said. “Interest rates are still so, so low. And prices haven’t climbed as much as we’d like them to yet.”
She said the normal laws of supply and demand don’t necessarily apply in the market right now. Given how low inventory is, it would seem prices should be up significantly, but they are, in fact, lagging, Yarwood said.
“I think it’s because of the issue that we had with appraisals before 2008 that put us in this position to begin with,” she said. “In 2008, we were too free with our pricing, and right now we are being too conservative. If we can find something in the middle, it will help both buyer and seller.”
While there is building going on — at Yeager Farms, for example — the homebuilding industry is still recovering from the complete stop of just a few years ago, Yarwood said.
“Suddenly after our market changed last March, it took a little while to get it going again,” she said. “There is some construction going on, but I think now they’re kind of playing catch-up.”
Lisa Henry, a broker/associate with Legacy Real Estate Group, said the market now is almost a complete reversal of the way things were about seven years ago.
“Then, we had more listings than we had buyers,” Henry said. “Now, we have more buyers than listings.”
For example, she said, in Longmont, the largest number of houses sold are always in the $175,000 to $250,000 range. At the moment, Henry said last week, there are 40 of them on the market, “and of those properties, 19 are under contract.”
Once you factor in specifics such as location and layout of a particular house, the field of choices for the buyer is narrowed even further, she said.
the plus side, for the buyers, “they can buy more house for the same (monthly) payment than they did 10 years ago,” Henry said.
On the seller end of things, the low inventory doesn’t automatically mean people can simply hand out a for-sale sign and fetch what they’re asking, according to Yarwood.
“I think you still have to present a good product to attract buyers,” she said. “And while we’re not back to pre-2008 pricing, we’re inching up, and that’s a good note for sellers.”
Josh Hunter, the owner/broker of Metro Brokers/St. Vrain Realty, said he’s noticing buyers are most interested in “the shiny one on the shelf” — referring to how clean a home is, how move-in ready it is and what kind of improvements have been made, such as with kitchen appliances.
“Those are where we’re seeing 10 days — we’re seeing low days to an offer,” Hunter said. “Luckily, I was in four or five of those deals (last) year, where we were seeing multiple offers in just a few days.
“Those well-cared-for, ready-to-move-in homes, no joke, should be receiving an offer within 30 days,” Hunter said. “I’ve been telling people: location, location, condition.”
In the last week, my office has put three new listings on the market, all three have received multiple offers within the first few days on the market!
$179,900 in Thornton – 2 offers in first 5 days
$224,500 in Longmont – 2 offers in first 3 days
$289,000 in Firestone – 3 offers in first 4 days
We Need More Listings!!
The local Northern Colorado / Denver Metro housing market is experiencing a serious shift towards the Seller’s advantage. Forget about everything you’ve heard before, and find out if this is finally your year to move, successfully.
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…