Colorado Springs Real Estate by the numbers
I already covered the March Real Estate statistics, but the numbers below show in more detail just how skewed the Colorado Springs Real Estate market numbers are.
I am always curious to see off an on HOW many listings are on the market, we call that ACTIVE. What’s the highest price? The lowest price? (and then yes, I have to go to the photos and see for myself what that price gets me).
I also want to know, how many bank owned properties are for sale? How many short sales? After all, I still get questions for “deals” and have to explain, that bank owned properties are not deals anymore: for one, banks know what they can ask, and then buyers offer above and beyond list price. However I digress that’s a separate post.
On one of those days, on April 7th, 2018 – I decided to add the numbers into an infographic and show them to you too. Bear in mind that these number refer to Colorado Springs only.
Homes for Sale
We have only 1225 homes for sale in the city of Colorado Springs which has nearly 500,000 residents! That would come to 408 residents per 1 home for sale. Pretty incredible. In 2010 we had about 4000-5000 homes for sale with 380000 residents, which equals a ratio of about 95 residents per listed home for sale. 2 extremes, neither one great!
New Construction Homes
As a result of this uneven market, buyers are turning to new construction homes. This sector has its own challenges: A narrow labor market, extends built times, and because of that in some instances the home construction quality might suffer as well. New home construction is not less expensive but seems a viable option to the low inventory of existing homes. In some areas, builders have lists of potential buyers waiting for new filings to open, and believe it or not, sometimes those lists have lists. The number in the infographic represents only the number of homes available through the multiple list service, which many builders do not use as there are fees connected with it and the potential customer traffic is high enough, that they don’t have to participate.[Why you need representation through a REALTOR when buying a new home]
[10 Tips for Choosing the Best Lot for your Home]
Auction Listings: 1
Auction listings, just like bank owned properties and short sales imply: There is a deal [when nowhere else a “deal” is available] However, buyer beware! Make sure you read all the fine print and additional charges that are coming ONTOP of your offer price, which could negate any gain you have made in your initial offer. Also make sure that you are very well aware, what damage the home offered has – it is a CLEARANCE after all, so there is some damage to be expected. However, unlike a “regular” sale, you might lose your earnest money regardless of your reason to terminate the contract! Again: READ. EVERYTHING.
Bank owned properties and Short Sales
Very few are coming up these days, 3 bank owned properties and usually not more than 5 to 10 active short sales at any point in time. Again, this is a CLEARANCE sale and everything that applies to the auction listings applies to the bank owned and short sale listings. The good news is that you have a greater chance of getting your earnest money back if you decide to back out.
When you are offering on a bank owned properties, expect that things are a bit different: disclosures are not “disclosing” just saying “we don’t know anything” and you have to hurry up to meet all deadlines to retain your rights, the bank cares very little about deadlines. It’s quite the take it or leave it right after the hurry up and wait.
A short sale :when a home is worth less than the money owed – which happens very rarely and will become much more common once home prices do not rise so insanely. I am happy to see that we don’t have them. Short sales are pretty easy, but they can take a loooooooong looooooong time to close. Just don’t be in a hurry when you offer on one.
Most expensive/least expensive home prices
Especially the least expensive home prices sound decent, until you know just how few homes are for sale in the city of Colorado Springs:
- under 100K: 2
- 101k – 200k: 37
- 201K – 300k: 155
- 301K – 400K: 218
- 401K – 500K: 134
These numbers are staggering! I receive many requests for homes between 250 and 300K, however, there are only 155 available for all these buyers – and the average home price has been driven up to 340K which is nearly 100K more than many home buyers want to be.
Question is: Are we turning into a San Francisco? Where only the rich people can afford a home and teachers, service providers, emergency personnel etc cannot afford a home?
What do you think?
Can I provide you with more statistics? I can email them to you on a monthly basis or I can give you an estimate on how much your home would sell for now. You will be astonished!