June 24, 2019


         A Current Look at the Colorado Springs Residential real estate Market

As part of my Unique Brand of Personal Service, it is my desire to share current real estate issues that will help to make you a more successful and profitable buyer or seller.




I’ve been giving you my thoughts on investment properties for quite some time now and as you will see below, it appears that the national media and real estate professionals are on the same page with me

Local home values have outperformed the stock and bond market over the long haul and those who have added investment properties to their portfolios are seeing significant gains and are likely to continue to do so.

Among the reasons…with home prices, especially our local ones, increasing monthly, there are a number of folks who are cannot qualify for mortgage loans.  Local property taxes are also looking to increase, as indicated by the new home value assessments that recently went out to all homeowners in El Paso County. 

This is putting pressure on the rental market, where there is a shortage of available units. Rental prices are continuing to escalate and there is little sign that this will change.  

While the articles below are from national publications, it’s important to remember to localize…localize…localize.  The Colorado Springs home market is faring considerably better than the national average and while the national median prices are relatively flat at present, our median prices have continued to rise monthly.  The reasons for this are many and include local economic factors such as job growth, sales tax increases, corporate relocation and more.  And with Colorado Springs appearing in so many “Top Places to Live” lists and more, we can expect our city to continue to grow and prosper.

I’ve seen an increase in clients who are either adding to their investment property portfolio or purchasing investment properties for the first time.  And, as most of you are aware, I put my money where my mouth is—I’ve always been a real estate investor and will continue to be one.

As always, it’s important for you to check with your tax and financial advisors before you delve into the investment property market to make certain that this is a viable alternative for you.

If you’re ready, I’m ready to help.  My 47-plus years of local experience comes into play in investment property sales too, as I’ve been investing in properties for almost all of those years and have helped a number of clients do the same.  I can give you the pros and cons of owning investment property.  Not everyone is meant to be an investor and/or landlord, but for those who are willing to invest the time and money, it can be a rewarding.  

I’ve been around through all types of cycles and know the ins and outs of getting a deal done. That doesn’t mean even I can guarantee you’ll get your first choice each and every time because there are just too many factors that come into play in this fast paced market, but, I know how to negotiate on your behalf and also know when to advise you to walk away. Sometimes not closing a deal is a win in the long run.  

So if you, a family member or co-worker are even thinking of looking for an investment property…or a new home for you….NOW is the time.  Simply give me a call at 593.1000 or email me at Harry@HarrySalzman.com and let’s see how together we can make all your residential real estate dreams come true.



The Wall Street Journal, 6.21.19

Escalating home prices have not dampened the demand for investment properties as big private equity firms, real-estate spectators and others that buy properties to turn into rentals have increased the share of investor purchases of U.S. homes to a record high.

These purchases made up more than 11% of U.S. home purchases in 2018, according to data released by CoreLogic, Inc. last week.

This is posing a challenge for millennials and other first-time buyers who are increasingly looking to buy starter homes and are forced to compete with deep-pocketed cash buyers.

Many economists credit investors with helping to stabilize the housing market in 2011 and 2012 by buying with cash when prices were low and mortgage credit froze.  Those purchases were expected to slow as the market rebounded and properties could no longer be had for bargain basement prices.  

Instead, the demand for investment properties has intensified. Strong rental demand and low interest rates that make other investments less appealing have fueled investor appetite.



Bloomberg.com, 3.21.19

This is from an article that I have been providing to my investor clients since it was published in March and I thought you might find it insightful.


real estate may be a better and safer investment than you might have thought.  

Based on previous understanding, it has been widely accepted that equities yield real returns much higher than those of government securities.  By most estimates that gap is about 6.5 percentage points; while government bonds might offer an average return of about 1 percent a year, for example, equities return about 7.5 percent a year (the precise figures depend on the data sample). Equities, however, are much riskier, and so there is a trade-off between risk and return.

The returns to real estate are harder to measure, both over time and across countries.  One difficulty is measuring the “imputed rent” return—that is, if you buy a house you also get the pleasure of living there and don’t have to pay rent elsewhere.  But many analysts doubted whether the return to U.S. housing was robust over, say the 1890-1990 period.

The authors of “The Total Risk Premium Puzzle” have constructed a new database for the U.S. and 15 other advanced economies, ranging from 1870 through the present and their striking finding is that housing returns are about equal to equity returns, and furthermore housing as an investment is significantly less risky than equities.

An obvious implication from this study is that many people should consider investing more in housing.  The study shows that the transaction costs of dealing in real estate probably do not erase the gains to be made from investing in real estate, at least for the typical homebuyer.

Furthermore, due to globalization, returns on equities are increasingly correlated across countries, which makes diversification harder to achieve. This is less true with real estate markets, which depend more on local conditions.  Once again… localize, localize, localize!  The Colorado Springs market is thriving.

As I mentioned earlier, a check with your tax and financial advisors is advisable and prudent prior to making any type of investment. And, if a real estate investment is in your future...I’m your guy and you know where to find me.



The Gazette, 6.12.19

A survey by staffing giant Manpower expects to show Colorado Springs as one of the nation’s top job markets—tied for #14 with Provo, Utah--in the third quarter of this year.  

The Springs ranked just ahead of Denver and five other cities. The “net” employment outlook—the difference between the percentage of employers surveyed expecting additional hiring and those forecasting cuts—is projected at 30%, the same as the third quarter of last year but up from 21% in the current quarter.  The survey found that 34% of employers anticipate staff expansion and 4% foresee reductions.  The rest expect no changes.

These results come as our area’s unemployment rate is at 3.9%, a 10-month low and amid slowing labor force growth and continued gains in employment.  Employers in all 13 local industry sectors reported strong hiring plans, led by business and professional services and leisure and hospitality.

So, once again, a note to investors—all these new hires are going to need places to live—and a number of them will be renters at first. 



Rismedia.com, 6.23.19

“The purchasing power to buy a home has been bolstered by falling mortgage rates, and buyers are responding,” according to Lawrence Yun, chief economist at NAR.

However, compared to last May, sales are still subpar, down 1.1 percent nationally. 



“More new homes need to be built,” says Yun, “Otherwise, we risk worsening the housing shortage, and an increasingly number of middle-class families will be unable to achieve homeownership.”

A note to anyone who has been sitting on the fence---with interest rates historically low and home prices on the rise—NOW is the time to make your move.  Call me and let’s see what options are available.