HARRY'S BI-WEEKLY UPDATE 5.28.26
May 28, 2026
HARRY’S BI-WEEKLY UPDATE
A Current Look at the Colorado Springs Residential real estate Market
As part of my “Special Brand of Customer Service”, it is my desire to share current Residential real estate issues that will help to make you a more successful and profitable Buyer and Seller.
IN UNSETTLING TIMES, THERE’S NO PLACE LIKE HOME
With much uncertainty and more questions than answers in today’s world, it’s sometimes nice to just stay embraced in the warmth of your home. If you have any doubt, just watch The Wizard of Oz and ask Dorothy.
And that’s why Residential real estate is so important. Maybe now more than ever.
We all need a place to call “home” and in recent times it’s been a bit harder for some to find that perfect fit for them and their families.
Owning a home has always been a milestone in some ways and it’s also been a way to build family wealth through appreciation over time.
These days, and most especially for first-time buyers, it can often seem like the perfect home is a bit out of reach.
But that doesn’t have to be the case.
Yes, interest rates are higher than they’ve been in a while and homes are not getting any less expensive.
But I’ve found over time that what may seem like an impossibility is not always so. It can often be an opportunity.
It is currently a buyer’s market which can be a great time to begin your search if you’ve put off looking for a new home.
Just a few years ago I had folks who had to purchase a home sight unseen while dealing with bidding wars and all-cash buyers who got there first. Not so today.
The ability to have the time to search for just the right fit is here now and there’s no guarantee of how long that will remain. Seller concessions that were unthought of just a few years ago are often available.
Homes prices are continuing to rise so the longer you put off a purchase you’ve been wanting, the more it’s going to cost you.
Even when the interest rate is higher than you may like, the sooner you buy, the sooner your new home can start earning equity for you.
After all, real estate is a long-term investment that helps provide wealth for you and your family. If you rent, you are simply paying someone else’s mortgage and allowing them to earn equity on that property.
If you have been waiting for the “right” time, you might want to rethink that and see if the home you want is within reach today.
That’s where I can help.
My 53 years in the local residential real estate arena, coupled with my investment banking background, give me an edge that my clients have found to be crucial in helping them and their families realize their personal real estate visions.
I can also help steer you in the right direction to discover various mortgage options that can work for your individual situation.
There are a lot of pieces to the Residential real estate puzzle, and I know how to solve most all of them or can introduce you to someone who can, when appropriate.
But you won’t know any of this until you give me a call.
After all, there really is “no place like home” and finding the one that’s just right for each and every client is my one and only goal.
Give me a call at 719.593.1000 or email me at Harry@HarrySalzman.com and let me help you make your Residential real estate dreams have a happy ending.
ARE HOME PRICES GOING TO FALL?
Keeping Current Matters, 5.18.26
One of the biggest holdups and concerns for many potential buyers in this current market is this: “What if I buy and home prices go down?”
While this concern certainly makes some sense when contemplating a big financial decision, here’s what’s important to know. You don’t want to get hung up on home values staying essentially flat at the moment.
When you look at the big picture, home prices usually rise over time.
Check out the graph below. It uses data from Case-Shiller and Bilello to show how home prices have changed year by year going all the way back to the 1950’s and here’s the key takeaway:
Outside of the housing crash, home prices have either held steady or increased in just about every year for decades.
While short-term shifts can happen, it’s the long-term gains that really matter.
Why Prices Tend to Rise Over Time
There are a few core reasons prices usually go up each year:
- There are always people who need to move. People need a place to live and that demand will never fully go away. It may ebb and flow, but someone always will have to move as big changes happen in their life. Therefore, homes stay in demand.
- There still aren’t enough homes for sale. While the number of homes for sale has grown nationally and here in Colorado Springs there is still an undersupply based on how many people want a home. That keeps the upward pressure on prices.
- Inflation has an impact. Over time, the cost of goods (including homes) naturally increases. That pushes home values higher.
What That Means for You as a Buyer
It’s easy to get caught up in what might happen with home prices next year or next month, especially if you or a family member are a first-time buyer and feeling anxious about making such a substantial financial commitment. But the big picture is clear. Prices usually rise.
That’s not to say prices will always go up every single year in every single market. But as I’ve always said, real estate is local and there can be short-term ups and downs in all geographical markets. We’ve seen that here in the Springs recently and you can see it in the chart above.
But historically, the declines have been temporary.
That’s why it’s generally a good idea to buy a home if you plan to stay awhile—typically at least 5 years. That’s normally enough time to see your home grow in value and enough so you can ride out any short-term changes in the market.
Because when you can do that those rising home values grow your net worth and by extension, help you build wealth.
The right decision isn’t about timing the market perfectly because, as I’ve said time and again—it’s very rare to buy at the lowest and sell at the highest. It’s about making a move that works for your life and staying in it long enough to benefit from the bigger trend.
Bottom Line
Home prices have a long track record of going up over time, even better than stocks and bonds. That’s why buying a home is generally considered a safe long-term investment.
Whether you buy now or wait, it’s always good to discuss your wants, needs and budget requirements much in advance of starting your search.
Give me a call today and together we can determine if now is the right time for you to begin the process of finding a new home for you and your family.
THE TRADITIONAL SPRING BUYING AND SELLING SEASON IS SHAPING UP TO BE A BUST
Homes sales are down all across the country and what is the “traditional” spring buying and selling season for Residential real estate is falling flat at present.
Nationally, sales in April rose 0.2% while locally sold listings for all properties in El Paso and Teller counties rose 1.8%. Sales are better here, but as you can see, they are quite slow for this time of year thus far.
Those figures are for existing home sales and while I don’t have the exact figures on sales of newly constructed homes, I can tell you that it appears that existing home sales are going to be more affordable than new homes for the time being.
Copper, lumber, diesel and aluminum prices are going through the roof (literally) and making it difficult for new home builders to keep costs down on new construction. Consider that the typical U.S. house contains more than 400 pounds of copper among its electrical wiring, plumbing, appliances, hardware and brass fixtures.
“Input prices have risen more during the first four months of 2026 than over the prior three years, according to Anirban Basu, chief economist at trade group Associated Builder and Contractors. “These cost pressures will likely weigh on construction activity over the coming months.”
In addition to boosting the base cost of home building (and remodeling), rising material costs are contributing to the inflation that has pushed up mortgage rates.
Mortgage applications nationally dropped last week to a five-week low as rates are reaching a nine-month high. However, we are seeing Adjustable-Rate Mortgages (ARMs) surge as borrowers are finding a way into the market by opting for these instead of a fixed-rate mortgage.
Unlike fixed-rate mortgages that come with a set interest rate, ARMs have variable interest rates. They allow a borrower to lock in one rate for a set period—five or seven years, for example. That rate is usually lower than you would get with a fixed-rate mortgage. After that set time period lapses, the rate will move in line with the market benchmark the lender has chosen. Many ARMS today offer the opportunity to refinance when the fixed rate gets lowered, however, it’s good to shop around to find the best mortgage type and rate for your individual situation.
Mortgages are never a “one type fits all” kind of thing, and I can help direct you to some lenders who can work with you to find the best fit for YOU.
COLORADO SPRINGS RANKS #87 IN THE Q1 2026 FHFA HOUSE PRICE INDEX
The National Association of Realtors, 5.26.26
The recently published FHFA House Price Index for first quarter 2025 lists Colorado Springs as #87 out of the top 100 in home price changes during that quarter.
Nationally, home prices were up 1.7% year-over-year according to the Federal Housing Finance Agency (FHFA) and up 0.5% compared to Q4 2025.
The Federal Housing (FHFA) House Price Index is a comprehensive collection of publicly available house price indexes that measure changes in single-family home values based on data that extend back to the mid-1970’s from all 50 states and over 400 American cities. It incorporates tens of millions of home sales and offers insights about house price changes at the national, census division, state, metro area, county, ZIP code and census tract levels.
Home prices in 65 of the 100 largest metro areas rose over the previous four quarters while they had risen in 89 of the 100 largest one year ago.
As you will note, we are still above #92 ranked Denver so there’s that!
Below are copies of the entire list as well as of the Colorado Springs changes. Any questions? You know where to reach me.
COLORADO SPRINGS IS RANKED #53 OUT OF 235 MEASURED AREAS IN THE JUST PUBLISHED NAR SURVEY
The National Association of Realtors 5.5.26
In the recently published report from the National Association of Realtors (NAR), single-family, existing-home prices grew in 71% of measured metro areas. This is down from 83% the previous quarter.
Compared to a year ago, the national median single-family existing-home price climbed 0.5% to $404,300, down from 1.2% annual growth in the fourth quarter.
Also compared to a year ago, the median price of single-family homes in Colorado Springs decreased 1.1% to $459,500 per NAR. This price reflects detached, single-family and patio homes but not townhomes or condominiums. But, as you can see, our median home prices are still considerably higher than the U.S. average.
The median home price in the Springs ranked 53rd highest of the 228 cities surveyed.
To see all 235 metro areas in alphabetical order, please click here. To see them in ranking order, click here. Or click here to see what income levels are required to purchase homes based on either a 5, 10 or 20 percent down-payment.
If you have any questions, please give me a call.
ERA SHIELDS STAT PACK
Data through April 2026, ERA Shields
Here is the newest data from my company’s monthly “Stat Pack” that can better help you understand the local buying and selling reality. I have reproduced the first page, and you can click here to get the 5-page report in its entirety.
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