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August 21, 2013

HARRY’S BI-WEEKLY UPDATE

                 A Current Look at the Colorado Springs Residential real estate Market

MORE GOOD NEWS….JUST AS I’VE BEEN PREDICTING

National Association of Realtors/Realtor.org 8.8.13

The second quarter 2013 report of the top 160 Metropolitan areas from the National Association of Realtors indicates that median home prices continued to rise in the majority of cities, with the national year-over-year price showing the strongest gain in seven-and-a-half years.

Even better news is that “despite rising prices and higher mortgage interest rates, income requirements to buy a median-priced home on a metro area basis shows most byers remain well positioned to afford a home in their area”.

Lawrence Yun, NAR chief economist, said that tight inventory is continuing to drive home prices.  “There continue to be more buyers than sellers, and that is placing pressure on home prices, with multiple bids common in some areas of the country, he said.  “Higher interest rates are now causing sales to level out, but the tight supply conditions look to be with us for the balance of the year in most of the country.”

“NAR President Gary Thomas, said higher interest rates ironically may end up helping some buyers by making it easier to qualify for a loan.  ‘Refinancing activity has slowed dramatically, yet banks have a lot of money and staffing resources, many of whom have less work,’ he said.

He added that ‘banks now have an incentive to increase loan origination, which means they may dial back overly restrictive mortgage lending standards that have been in place since the crash.  We are also optimistic that proposed federal regulations will ensure that creditworthy borrowers continue to have access to safe, affordable options for buying a home’.”

The national median existing single-family home price was $203,500 in the second quarter, up 12.2% from $181,300 in the second quarter 2012, which is the strongest year-over-year increase since the fourth quarter 2005. 

Before you take s look at the report there are some significant things I need to point out concerning our local real estate figures. 

While the average upswing of the median sales price in the USA is at 12.2%, Colorado Springs is up 6.8%--above our regular, long time appreciation.  It is important to note that most of the country lost home appreciation at a far greater level than we did, thus it’s important to look at where we are compared to where we were, rather to compare ourselves to the majority of the country.

Comparing Colorado Springs to the other cities within these reported statistics, our local median price as of June 30, 2013 was $225,000.  Therefore, in comparing the same month end prices, our median sales price as of the end of the second quarter 2013 is 9.5% above the USA average---$225,000 v. $203,500.   

People who own a home here are seeing greater appreciation than in most of the USA.  Now, that’s something to shout about.

Last year I showed an example of how the real estate business here has experienced an annual appreciation of 5.7% since my beginning as a Realtor in 1972.  With the latest quarter ending June 30, 2013, I can now demonstrate our appreciation is 6.8%--a very healthy consistent return over a 40-plus year period.

How many of the current 160 cities in the survey can say the same?

To view the report in it’s entirety, click here.  If you have any questions or need further explanation, please give me a call at 719.598.3200 or email me at Harry@HarrySalzman.com. 

WISDOM OF THE DAY

FEATURED LISTING

Harry A. Salzman. CRS, CRP, CNE
e-Pro Internet Certified
Broker/Owner

email: Harry@HarrySalzman.com

Serving: Colorado Springs, Monument. Air Force Academy, Fountain,
Security, Woodland Park, Black Forest, Manitou Springs 

Visit Website

August 5, 2013

HARRY’S BI-WEEKLY UPDATE

                       A Current Look at the Colorado Springs Residential real estate Market

COLORADO SPRINGS—“CITY FOR CHAMPIONS”

As most of you know by now, I never pass up the opportunity to tout my city, Colorado Springs, and love to pass on every accolade or interesting news that appears in both local and national publications.  Fortunately, there’s usually a lot of good news to share and today is no exception. 

Last week I, along with 700 others, attended the “State of the City” luncheon where Colorado Springs Mayor, Steve Bach, presented proposals that he feels are necessary to the city’s economy and long-term growth, along with his expectations of standards for city employees. 

I felt like I was in a meeting of a Fortune 500 Company where the CEO was presenting his goals to the Board of Directors.  It was impressive and inspiring at the same time. 

The logo above reflects his proposed tourism projects, including a Downtown Stadium and Event Center, a United States Olympic Museum, a UCCS Sports Medicine and Performance Center and a USAFA Gateway at Falcon Stadium Visitors Center. 

Job creation has been Mayor Bach’s number one priority.  Last year he set an ambitious goal of gaining 6,000 new civilian jobs—and statistics show that the number of residents holding jobs in June was up 5,975 from June 2012.  A similar goal has been set for the coming year and job creation will continue to be a prime concern of his. 

Bach indicated that he expects city employees at all levels within the organization to perform at the highest standards and also encouraged all attending business leaders to get more involved with various city causes in order to propel the city in a continued positive moving direction. 

Below you will see his 2014 Strategic Plan—again impressive and ambitious.  All I can add is that “I’m behind you, Steve”, and I look forward to hearing about all the successes of 2014 at the next State of the City meeting.  It appears that Colorado Springs’ first “strong” Mayor is working for all of us in The Springs to help continue and improve the standard of living that we have come to consider “normal, normal” for us.

BEST JULY IN LOCAL SALES SINCE 2006

Statistics provided by the Pikes Peak REALTORS Service Corp, or its PPMLS

The Local Residential real estate news just keeps getting better.  As of July 31, 2013 the relationship of Selling Price to Listing Price across El Paso County is 98.1%.  Sellers are holding on to their equity and getting within 1.9% of their listing price.  And, as you keep hearing in the news--multiple offers, even ones over the listing price in some cases, are quickly becoming the norm.  This makes for very busy days for me as my clients are finally realizing what I’ve been saying for some time now—“happy days are here again” for Sellers. 

Buyers, too, can still benefit from today’s market.  Interest rates, while trending upward, are still some of the lowest in history and while you may pay more for “trading up”, you will more than likely get more for your present home, so it all equals out in the long run.  And you’re still ahead with the current interest rates. 

Some highlights of the latest report, comparing July 2013 to July 2012 in PPAR include:

                        Single Family/Patio Homes:

• Number of Sales are up 23.5%
• Average Sales Price is $256,940, Up 8.8%
• Median Sales Price is $225,750, Up 6.5%
• Total Active Listings is 4,137, Up 8.0%

                        Condo/Townhomes:

• Number of Sales are up 41.5
• Average Sales Price is $158,970, Down 5.7%
• Median Sales Price is $142,350, Up 1.8%
• Total Active Listings is 464, up 2.4%

From January to July 2013 Single Family home sales have totaled 6538, up 24.8% since the same time period one year ago.   As I mentioned earlier, it’s good news all around.  To view the 12 page report in its entirety and to see how your individual area is performing in comparison to the rest of the county, click here. 

The time is right for anyone looking to sell and trade up, buy a starter home or to look for investment property.  Just don’t expect to take your time in decision making because as statistics reveal…things are moving faster than they have in a number of years. 

Be prepared—know what you are looking for and be open-minded when it comes to location.  Sometimes an area you might not have considered might turn out to be exactly what you are looking for.  You might also be open to looking at new construction as existing homes with your needs and/or wants become more and more scarce.

I am here to assist you in making the right personal decision.  Just call me at 598.3200 or email me at Harry@HarrySalzman.com and let me put my 40 plus years of local real estate professionalism to work for you.

HOW TO WIN A BIDDING WAR

Great story in last week’s Wall Street Journal—although I might add that my clients have forever received this same advice from me.  It says, “As many housing markets (like Colorado Springs proved in July statistics) heat up to levels not seen since the boom….Buyers need advice on how to get a fair price without being outbid.”

With low inventory of properties for sale and home prices and mortgage rates on the rise, it’s been getting tough on Buyers. 

“Houses aren’t likely to get any cheaper during the second half of the year.  But there are signs that the frenzied pace of sales that has given Sellers the upper hand during the spring and early summer is settling down, helping Buyers who have done their homework and are ready to pounce.”

            Some Things Worth Remembering:

• Buyers in today’s market need to receive the most current information regarding inventory, comparisons and signs that the prices are continuing to increase—in other words—know your area.
• Don’t think housing is going to get any cheaper if you wait.
• Be realistic when it comes to price—lowball offers in today’s market are often taken as an insult by the Seller.
• Sellers have waited a long time, in many cases for years, for today’s appreciation to return.
• Buyers and Sellers who I work with today are educated by me to know that the probable sales price will be about 98% of the listing price.
• Have your “walkaway number” and stick with it—you don’t want to win the battle but lose the proverbial war.
• Be flexible on other offer terms such as closing dates, renting back to Sellers or other issues that might put your offer in the best light.  Often the best way to find out what the Seller is looking for, other than price, is to ask.  My relationship with many of the local listing agents helps my clients when it comes to these essential details that can “make or break” a deal.
• Once you know what you want—don’t dawdle.  As I said earlier, you need to do your homework so you can move quickly once you find what you want.
• Get prequalified.  This is very important because the Seller knows you have the ability to close.
• Decide what you will do if the home appraisal is below the asking price.  Do you want to put more money down in order to get the deal done?
• Position yourself as a backup in case another buyer pulls out.  If you really like a property, you can still get a shot at it if an earlier deal falls through.
• Connect with the Sellers.  It never hurts to let the Seller feel like they know the Buyer personally and can work in your favor if there are multiple offers.

FIRST-TIME BUYERS STARTING TO GET LEFT BEHIND

The Wall Street Journal 7.23.13

The first victims of the housing recovery appear to be first-time homebuyers.  Typically in their late 20’s or early 30’s, these individuals have accounted for around 30% of home sales over the past year.  They are the foundation of the real estate market and major contributors to the local economy due to their help in revitalizing older neighborhoods and spending money on furniture and home improvements.  And often, once they build some equity, they move on to more expensive homes and neighborhoods.  The typical first-time buyer in Colorado Springs holds on to their “starter” residence for about 3-5 years.

In June, first-time Buyers accounted for 29% of purchases of existing homes, down from 32% in June 2012.  Price gains and higher mortgage rates are hitting these individuals at the same time that rents are starting to soar due to low vacancy rates.  This is somewhat of a “double edged sword” and we at Salzman real estate Service, LTD are trying our best to help in any way we can to find solutions if they can be found. 

If you know anyone looking to purchase a “starter” home, tell them to give us a call at 598.3200 and let us try to work our “magic” if there is any way possible.  But don’t wait too long.  It’s getting tougher every day to find housing for these folks.

MORTGAGE RATES RISE, BUT DON’T SOAR

Housingwire.com 7.23.13

Yes, they ARE continuing to go up, but not quite as quickly as you might fear.  In fact, some industry experts say that mortgage rates will simmer down and increase at a slower rate over the course of the next year.

“I don’t think anyone expected rates to jump by a full percentage point like they did in May,” Polyana de Costa, a mortgage analyst with Bankrate said,  “I think we can safely say they will be higher than they are today.”

Bob Walters, chief economist for Quicken Loans, said, “Rates should remain flat or barely higher than where they are today.”  He projects they will hover around the 4.5% to 4.75% point by the end of the year.

A year from now, rates are expected to hit 5%, which is not even a full percentage point above current rates, according to Freddie Mac. 

Currently, rates are highly dependent on the labor market.  “If you were to see jobs rapidly increase, rates would dramatically rise.  That is a huge driver of what may happen,” Walters said.

Leonard Kiefer, deputy chief economist with Freddie Mac, suggested that people need to look at the situation of where we are relative to history.   “We have low rates and affordability is still near record highs.  From a broad historical perspective, we are still pretty low for rates,” he concluded.

PHILOSOPHY OF THE DAY

From “Insights on the Art of Influence”

“On October 29, 1949, Winston Churchill gave one of his most famous speeches at Harrow, the English prep school he attended as a boy.  Rumor had it that on that day Churchill stood up, gave a three-word speech—“Never give in!”—and sat down.

While that story is not entirely true—Churchill delivered a longer speech that day—it’s absolutely true that it became one of his most celebrated speeches.

If one quality epitomized Winston Churchill, it was persistence.  He never gave up.  It was that attitude that inspired England in World War II to continue fighting when others might have surrendered.

Persistence means sticking to your guns.  It’s keeping your commitment and making your actions consistent with your word.  It’s all about “walking your talk”.”

FEATURED LISTING       

Harry A. Salzman. CRS, CRP, CNE
e-Pro Internet Certified
Broker/Owner

email: Harry@HarrySalzman.com

Serving: Colorado Springs, Monument. Air Force Academy, Fountain,
Security, Woodland Park, Black Forest, Manitou Springs 

Visit Website

July 22, 2013

HARRY’S BI-WEEKLY UPDATE

             A Current Look at the Colorado Springs Residential real estate Market

FIRST, MY PERSONAL “ROCKY MOUNTAIN HIGH”…

On 7.7.13 at 11:00 a.m. in Las Vegas, NV, I married Carol Black.  We’ve known each other for more than 50 years.  And yes, I even managed to produce an e-Newsletter for you that week because she is not only my wife, but the Editor of this publication!  I just wanted to share my personal “news” with those of you who haven’t yet heard about it.  So that’s our big “WOW”.

AND NOW SOME “WOWs” FOR YOU—“HOT OFF THE PRESS”

Southern Colorado Economic Forum—Quarterly Updates and Estimates—July 2013

I received the “Quarterly Updates and Estimates” from the Southern Colorado Economic Forum/UCCS College of Business just three days ago and it contains a lot of the same GREAT news that our readers have seen in the recent MLS of PPAR data that I shared on July 8, 2013.

This report will show MLS activity on various charts through June 2013 on pages 6 & 7.  Also included are:

• Year to Date Sales
• Monthly Single Family Home Sales
• Active Listings of Homes in the Pikes Peak Region
• Average Sales Price of Homes
• Median Sales Price of Homes

In the Update of the “El Paso County Economy”, the best performing indicators were:

• Single Family Permits—Up 39.6%
• New Vehicle Registrations—Up 20.8%
• Consumer Sentiment—Up 6.6%
• Colorado Springs sales and use tax collections—Up 4.7%

“Other improvements were seen in employment, the employment rate and foreclosures.  Housing and new vehicle registrations have led the local economy out of the recession and the increase in sales tax numbers points to a broad level of recovery in the near future.”

As an aside, The Gazette on Saturday also indicated that sales tax collections are continuing their “winning streak” by showing 18 consecutive months of increases.  “Consumer spending in Colorado Springs remained strong in May, according to a report on sales tax collections from the city’s Finance Department.”

According to Fred Crowley, senior economist for the Southern Colorado Economic Forum (and author of this Quarterly Update), “Consumer confidence is quite strong right now.  Consumers are feeling good about the local economy because they are seeing employment and income growth.”

In the “Analysis of the El Paso County Residential housing market”, it is noted that :

• Through June 2013, new residential permits were 467 higher (45.6%) than June 2012
• At the current rate, the combined detached and attached single family permits for 2013 could be around 3,000.  This would be an increase of 625 over 2012 (21%)
• Permit activity started the year strong and has maintained pace.  It is expected to continue with the improving economy.  Additional support for housing and the economic recovery was offered on July 10, 2013 by Federal Reserve Chairman Ben Bernanke.  He stated the Fed would continue to support the economy for the foreseeable future. 

Our local “Economics Guru”, Fred Crowley, would agree that statistics demonstrate to BUY NOW.  I’ve been saying this for more than a year and now all the experts are getting on the bandwagon too.  It’s NOT too late, but it IS time to start the discussion so the sooner you contact me, the sooner I can go to work for you.

In the “Single Family Permit Forecast” we see:

• The Forum’s revised forecast indicates there will be 2,882 permits from July 2013 through July 2014.
• The forecast for 2013 calls for 2,811 detached, single family permits in El Paso County (27% increase over 2012).  This could change depending on:  1) rebuilding activity in the burn areas of Mountain Shadows and Black Forest, 2) possible rising mortgage rates and 3) job and income growth in El Paso County.

In “MLS Activity”:

• The trend in homes sales continues to improve.  There were 1,075 (25.2%) more homes sold through June than during the same period in 2012.
• The demand for housing appears to be increasing.  Monthly home sales in the region were higher in all of the last 12 months.
• The relative reduction in homes for sale and an increase in home sales have contributed to higher home prices.
• The ratio of homes sold to total single family homes in El Paso County has proven to be a good indicator of strength/weakness in housing.

Click here for the report in its entirety.  As always, if you have any questions about this report or how it pertains to you personally, please call me at 598.3200 or email me at Harry@HarrySalzman.com and I will be happy to provide you with answers.

What’s most important for you to know right now?  Well, as you will see in the report, Average and Median Home prices are continuing to increase and will continue to rise as supply lessens. 

Not part of this report, but a fact of real estate life—Mortgage Interest Rates are also continuing to increase.  While they are still historically low, they are not where they were even a few weeks ago and they will continue upward.  Mortgage rates are still very affordable for most people so don’t panic yet---but, if you are in the market, NOW is the time to get serious about it.

Inflation will also increase in 2013.  Therefore, based on statistics and from a practical point of view, again, I would suggest that now is the time to sell and trade up or buy for yourself or for investment purposes. 

If you or any family member or co-worker is interested in how today’s market can work in your favor, please call or email me today.  I can provide you with the detailed information you need to make an informed decision by looking at your wants, needs and budget requirements.  If there is a solution to make your real estate dreams come true, with more than 40 years in the local market, I’m the one who can help make that a reality.   

PS:  I’d like to encourage you to plan on attending the Annual Southern Colorado Economic Forum on the morning of September 26, 2013 at The Antler’s Hotel.  I am a proud sponsor of this important event and I believe you will walk away with a greater understanding of the economics of the Pikes Peak area and how it affects you both personally and professionally.

THREE COMPELLING REASONS TO BUY NOW

RISMedia 7.12.13

With the tide starting to turn from a Buyer’s Market to a Seller’s Market, here are a few pointers that I wanted to share with you.  They keep cropping up in article after article; therefore I thought you might benefit from knowing the three most compelling reasons to buy now:

• Rising Home Prices.  Don’t be put off by this trend.  Home prices are likely to continue their rise.  By seizing the moment, many folks are affording themselves the opportunity to get into starter homes or upsize into something more suitable for their changing needs.  And, equally important, as prices rise, by buying now, you may even see an opportunity for building long term equity.

• Low Mortgage Rates and Faster Closing Times.  Mortgage rates are still at the lowest they have been in a long time.  Coupled with a trend among mortgage brokers to increase their turnaround times to give buyers a competitive advantage in a hot market, this is great news for Buyers hoping to get into a home before prices increase any further and for Sellers looking to sell their properties at the fair market prices as quickly as possible.  The Mortgage Bankers Association has already projected that rates will likely inch back up—possibly a full point—within the next year.  So, as I mentioned earlier, there’s no better time than NOW to get started.

• The Re-emergence of New Construction.  Increased prices and lower inventory among existing homes has created a level of competition that favors Sellers.  It has also created an opportunity for new-home construction to re-emerge, thus giving Buyers a viable option to consider rather than to participate in the frenzy to purchase existing homes.

If there is anything I would like to get across to you, my readers, it’s that no matter what you see going on today, real estate is going to be a great investment in the long haul.  If you remember that, and let me assist you in helping make the best choices available, you will find that today’s market will most definitely work for you and your residential and financial long term goals.

PHILOSOPHY OF THE DAY

“Some men see things as they are and say ‘why?’

Others dream things that never were and say, ‘why not?’”

--George Bernard Shaw

“We do not remember days.  We remember moments in our lives.”

--Unknown

FEATURED LISTING       

Harry A. Salzman. CRS, CRP, CNE
e-Pro Internet Certified
Broker/Owner

email: Harry@HarrySalzman.com

Serving: Colorado Springs, Monument. Air Force Academy, Fountain,
Security, Woodland Park, Black Forest, Manitou Springs 

Visit Website

July 8, 2013

HARRY’S BI-WEEKLY UPDATE

A Current Look at the Colorado Springs Residential real estate Market

“Here I am…ready and willing to help in this quickly changing real estate Market!”

HOME PRICES ARE RISING AT FASTEST PACE IN SEVEN YEARS

Just in time for Independence Day, fireworks are happening in the local Residential Market as of June 30, 2013.  Across El Paso County, the relationship of Selling Price to Listing Price is 98.4%.  That’s right—sellers are getting within 1.6% of their listing price.  And in a number of cases, homes are going for over listing price, with multiple offers!

The Listing and Sales Summary published last week by the Pikes Peak MLS shows these figures as “all homes” which includes existing and listed new homes.

Some highlights of the report, comparing June 2013 to June 2012 include:

• Number of Single Family/Patio Home Sales are up 30.5%

• Number of Condo/Townhomes Sales are up 47.5%

• Average Sales Price is $255,590, Up 3.9%

• Median Sale Price is $225,000, Up 6.5%

• Total Active Listings are 3868, Up 4.4%

Today’s motivated Buyers are beginning to understand that “traditional” thinking of the past 7 years is no longer applicable and “thinking outside the box” is becoming more and more important in decision making.

I can’t remember when “days on the market” were as little as 58.  PPAR statistics show that these averages and median prices were last seen in June, 2008.  In a nutshell, home prices are going up at about ½ of 1% per month, so if you are thinking about taking a “personal plunge” in home buying, it’s time to test the waters.  It’s going to cost you more to wait.

The chart below is a comparison of different areas within El Paso County.  We use this type of information when working with clients on an individual basis to help them determine both selling and buying price ranges for specific neighborhoods. 

COLORADO SPRINGS AREA MONTHLY SALES ANALYSIS*

                                                Median Sales Price               Average Sales Price

Black Forest:                            $350,000                             $376,808

Briargate:                                  $315,000                             $320,081

Central:                                     $165,000                              $230,047

East:                                          $175,000                             $186,075

Fountain Valley:                       $197,500                             $195,863

Manitou Springs:                     $315,000                             $326,036

Marksheffel:                             $225,000                              $240,216

Northeast:                                 $215,000                             $233,896

Northgate:                                $369,450                               $380,451

Northwest:                                $319,680                              $350,435

Old Colorado City:                  $160,000                               $174,736

Powers:                                     $221,448                              $229,371

Southwest:                               $257,334                              $364,419

Tri-Lakes:                                 $385,750                              $414,988

West:                                         $221,500                              $269,241

*Statistics provided by the Pikes Peak REALTORS Services Corp,or its PPMLS.

To view the complete breakdown on any area listed here or to read the entire monthly report, please click here. 

You will also see the results for the first two quarters of 2013, which indicate that Single Family/Patio Homes are up 25.1% compared to 2012.  Our community experienced 5336 sales during that time—our strongest first two quarters since 2006.

As you can see, things are continuing to move rather quickly and we are now experiencing a market resurgence that’s here for the foreseeable future.  As always, I am here to answer any questions you may have about these reports.

With very limited inventory and percent of days on the market quickly going down, there continues to be multiple buyers for fewer properties.  To get exactly what you are looking for at a price that fits your budget, call me today at 719.598.3200 or email me at Harry@HarrySalzman.com and let’s start talking.

AS MORTGAGE RATES AND HOME PRICES RISE, EXPERTISE BECOMES ESSENTIAL

According to RealtorMag, Buyers are stating to become discouraged because so many of them are entering the market, but houses are not as plentiful and mortgage rates are starting to climb. 

This is the time when choosing the right real estate Agent is essential in helping you to navigate through the buying and selling “wars”.  My professionalism and background help my clients relieve some stress because I’ve been doing this for more than 40 years in the local market. 

I work to make sure that my clients have realistic expectations and help them review options that can make the entire process a little easier on the nerves.  Home buying and selling is a very personal decision and one of the biggest ones most of us ever have to make.  My background in investment banking, along with longevity in the real estate arena, allows me to help my clients make well-informed decisions. 

RISMedia has some suggestions for “helping Buyers stay on track”.  They reiterate the things I have always told my clients and I will repeat them here for those of you who are entering the current market.

1. Get Pre-approved and not just pre-qualified.  I have always found this to be important and right now it’s more crucial than ever because of the tighter time frames involved.  This shows the Seller that you are serious about buying.  I can help you get started with process as soon as you’re ready so that when you find what you are looking for, you’re ready to proceed.
2. Don’t Waste any Time.  When you see a home you like, find time to look at it immediately.  If you wait for the weekend or another time, it may already be off the market.  And once you find the home you want, be ready to make an offer immediately. 
3. Write Strong Offers.  Buyers can no longer get away with “lowball” offers or asking for special allowances.  Bidding wars and multiple offers are once again becoming the norm so Buyers must be ready to present their best offer and/or put down more earnest money to help insure beating the competition.

I want to also add that Buyers need to be very flexible in this emerging market.  That might mean looking at new construction rather than purchasing a previously owned home.  Homebuilding is once again a viable option and we are seeing more and more starts locally.  Not only is this good for our economy, it’s helping to provide options for the shortage of available previously owned homes for sale.  I can help provide you with various scenarios when it comes to new home construction and it would be my pleasure to do so. 

LOCAL HOMEBUILDERS ASSOCIATION IS WORKING TO PROTECT YOU

I’d like to offer a “shout out” for the local HBA, who recently passed a motion enforcing a moratorium on new membership in order to protect our community.  In wanting to make certain that local homeowners who need to make informed decisions concerning rebuilding after the recent fires, the HBA is not accepting applications from out of town contractors or new members who did not have a RBD license prior to 6.11.13. 

Knowing that the public depends on them for information regarding builders and contractors, the HBA wants to help make it more difficult for those unscrupulous individuals who prey on homeowners who may have lost their homes or need extensive work.

If you, or anyone you know, is in this situation, please advice them of the importance of knowing that they are in the hands of a licensed professional who can provide the services they promise.  A little foresight can save a lot of time and money later on.

MORTGAGE RATES ON THE RISE, BUT IT’S ALL RELATIVE

The first home I purchased was in 1975, with a minimum down payment, just like a typical homebuyer.  My 30 year fixed mortgage rate was 8.5%.  That was “normal” in those days.  So, while we’ve been experiencing historically low rates in the past few years, a 4.5% fixed rate of today is still a bargain compared to not so very long ago. 

Today’s Buyers may pay more for the cost of their home and for their mortgage interest rate, but with the regular rate of appreciation that we’ve been experiencing it should be more than made up in the future.

SAVE THE DATE…

The Seventeenth Annual Southern Colorado Economic Forum is going to be held at the Antler’s Hotel on September 26, 2013.  Salzman real estate Services, LTD. is proud to be the only Residential Real Estate Company sponsor.  This is a consistently sold out event and we want to remind you to save the date for a very informative presentation of our local economic situation.

SKY SOX REMINDER…

I have four front row season tickets to the AAA Sky Sox available at no charge to you on a first come-first served basis to any home game.  Just give me a call at 598.3200 to request the date of your choice. Just another way I like to say “thank you” to clients and friends.

PHILOSOPHY OF THE DAY

Borrowed from “The Heart of a Leader” by Ken Blanchard

Consider moments when you were at your best, and you will find that you were right there in the moment, fully and completely present.  If you dwell on “what was” or “what will be,” you will miss the power of “what is.”

Spencer Johnson, coauthor of The One Minute Manager, discusses the important truth in his brilliant parable, “The Precious Present.”  In the story, an older man’s wisdom launches a young boy on a lifelong search for the “precious present.”  Finally, he discovers what the old man was trying to teach him:  To learn from the past is good, but to live there is a waste.  You are happiest and most productive in life when you are living in the present.

All highly effective leaders have learned to respect the power of the present.  They have discovered that analyzing the past and planning for the future is not enough; they must also nurture the present and celebrate its victories.

FEATURED LISTING

Harry A. Salzman. CRS, CRP, CNE
e-Pro Internet Certified
Broker/Owner

email: Harry@HarrySalzman.com

Serving: Colorado Springs, Monument. Air Force Academy, Fountain,
Security, Woodland Park, Black Forest, Manitou Springs 

Visit Website

June 24, 2013

 HARRY’S BI-WEEKLY UPDATE

  Current Look at the Colorado Springs Residential real estate Market

TRAGEDY STRIKES AGAIN IN COLORADO SPRINGS/EL PASO COUNTY           

With a heavy heart, I realize that it was not quite a year ago when I wrote about the Waldo Canyon Fire that forced me and so many others to evacuate our homes and businesses, some never to return to what they had.  Our community is still in the process of rebuilding from that event and now an even greater tragedy has befallen us.

While driving to an appointment on June 11^th I could see smoke in the northeast part of the city and little did I know I was witnessing the start of the Black Forest Fire—the most devastating fire in the history of Colorado. 

As I write this, that fire is 100% contained thanks to the hard work of all the first responders and those that followed.  But the end of the fire is only the beginning for so many clients and friends who lost most everything. 

509 homes were destroyed and many more damaged.  All kinds of domestic animals were displaced and thanks to the hard work of the local human society and countless others, many are now reunited with their owners. 

I am still working with clients who suffered losses in the Waldo Canyon fire to rebuild their homes and get their lives back to normal.  Now I am saddened to add more families to those who are in need of housing, either immediately to rent or purchase, or to work with to find long-term housing solutions.  With the rental housing shortage we are now experiencing this has become quite a challenge, but we at Salzman real estate Services are doing our best to help. 

It was enlightening to see how much was learned from last year’s events, which prevented this from being even more tragic than it was.  The fast response to all aspects of the Black Forest Fire, by everyone from the El Paso County Sheriff, Commissioners and the Mayor’s office to the firemen, police, local broadcast and print news, and others helped keep us all informed and safe throughout the last few weeks.

I am personally and professionally involved with so many of these individuals and I wish to publicly thank one and all for their tireless work on behalf of us all.

I was heartened again this year by the amazing response from friends and business associates from all over America who reached out to me.  While I cannot thank you each personally, please know that your acknowledgement was greatly appreciated.

ON THE BRIGHTER SIDE…COLORADO SPRINGS IS A GREAT PLACE TO LIVE

The Gazette 6/11-13/13

It’s official. 

According to the U.S. Bureau of Economic Analysis, incomes in the Colorado Springs area grew faster than the rest of the state or nation during 2011.  The agency reported that real income, measured on a person-to-person basis, grew 2.7% to $36,200 in the Springs area between 2010 and 2011.  That's 0.8 percentage points more than the 1.9% growth in Colorado during the same period and 0.7 percentage points more than the 2% growth nationwide.

Fred Crowley, senior economist for the Southern Colorado Economic Forum, said “these numbers show the underlying strength of the local economy.  You get better mileage from your paycheck in Colorado Springs than in many other places.  That is a good tool for economic development because it means you can get good workers at a very attractive rate.”

On top of that, the U.S. Council for Community and Economic Research’s survey for First Quarter 2013 showed that the cost of living in Colorado Springs is below the national average.  Living costs were 4.9% below the national average in January to March, compared with 3.7% below the average for all of 2012.  The sharp decline in gas prices compared to the rest of the nation helped contribute to this further living cost decline.  Costs for clothing, recreation and personal care items also fell. 

This index does not measure inflation; it compares prices in more than 300 metro areas for 57 goods and services bought by households where middle managers live.  It is used to compare living costs when these managers are looking to relocate to another city.

Crowley said “the area’s cost of living looks to be very stable right now.  That should help both the tourism industry, since gasoline prices have stabilized, but also potential employers, because it means lower costs for a well-educated and productive workforce.”

And if that wasn’t enough good news, the outlook for the Colorado Springs job market for the third quarter 2013 is the best in nearly five years and among the best in the nation, according to a quarterly employment survey by temporary staffing giant Manpower.

Colorado Springs ranked ninth for its hiring outlook among 100 metro areas surveyed.  According to surveys by the U.S. Bureau of Labor Statistics, the area’s unemployment rate declined to 8.2% in April from 9.4% a year earlier and local payrolls grew by 1.6% during the same period.

So, there you go.  When you add all this to what those of us who live here already know about the Colorado Springs area, why would you want to live anywhere else?

RENTAL, HOME AND MORTGAGE PRICES ON THE RISE

We’ve seen rental prices rise as the supply of rental listings drop and unfortunately, the Black Forest Fire will cause them to go even higher.  Those who lost their homes are going to need temporary housing while deciding whether to rebuild or buy and there just isn’t much out there now.  And what is out there is continuing to go up in price, both apartments and rental homes.

A number of renters (especially potential “first-time” buyers) are trying to get into home ownership because rising rents are making them rethink their current situations.  This is not a great time for them because of limited listings below $200,000, mortgage rate increases and in some cases, still tight mortgage lending policies. 

I’ve been talking about this happening for the past year and a half and it’s all starting to snowball at once.  Yes, more homeowners are starting to sell and trade up because they are now getting more for their current homes.  Inventories are quite lean and it’s going to cost more for the new home.  When you add that to increasing mortgage rates, it’s putting a lot of pressure on those who have waited or had to wait until now to act.

I haven’t seen this much activity since 2006.  Homes barely get listed on MLS and they have multiple offers, many over listing price.  Sellers are once again getting into the driver’s seat and buyers are seeing their options quickly reduced.

While mortgage rates are rising, they are still a relative bargain.  However, according to Lawrence Yun, Chief Economist for the NAR, they will continue to rise and will probably be near 5 percent by this time next year, compared to the 3.5 percent average of the past 12 months.  Rates will be even higher in 2015 and 2016. 

Yun says the recovery is strengthening and to expect limited housing supplies for the balance of the year in much of the country.  “The housing numbers are overwhelmingly positive.  However, the number of available homes is unlikely to grow, despite a nice gain in May, unless new home construction ramps up quickly by an additional 50 percent.” he said.  “The home price growth is too fast, and only additional supply from new homebuilding can moderate future price growth.”

Friday’s Wall Street Journal reported that “sales of previously owned homes surged in May to the highest level since late 2009, pushing real estate prices up so quickly that a major real-estate trade group (NAR) warned about unsustainable gains.”

Last Thursday, NAR said “home sales rose 4.2% in May from a month earlier to a seasonally adjusted annual rate of 5.2 million, the first time the pace crossed 5 million since November 2009.

The figures, showing rising home prices and contracts closing at a brisk pace, boosted optimism for the housing market and its ability to support the broader economic recovery.”

So, for those sitting on the fence, it’s time to move.  Yes, your present home will be worth more in time, but the cost of the home you may want to trade up to will also go up, along with the mortgage rate you will have to pay.   I’m not speaking with my “salesman” hat, but with my “investment advisor” one when I tell you if you are serious about selling to trade up or looking for investment property, it’s time to give me a call and let’s see if there is something for your individual wants, needs and budget.  Just call me at 598.3200 or email me at Harry@HarrySalzman.com . 

JOKE OF THE WEEK

Not a lot to joke about this week, but look for my usual “humor” next time!

FEATURED LISTING

Harry A. Salzman. CRS, CRP, CNE
e-Pro Internet Certified
Broker/Owner

email: Harry@HarrySalzman.com

Serving: Colorado Springs, Monument. Air Force Academy, Fountain,
Security, Woodland Park, Black Forest, Manitou Springs 

Visit Website

June 10, 2013

HARRY’S BI-WEEKLY UPDATE

                             A Current Look at the Colorado Springs Residential real estate Market

FIRST, THE GREAT NEWS….

Last month was another fabulous gain in the local real estate Market with home sales at a 6 year high.  Consumers are starting to enjoy their lives more than in the past few years.  One of the best ways they express job security and positive emotions is to buy a “first” home or to sell and “trade up” to a better home or neighborhood. 

I’m thrilled to share with you some highlights of the Single Family/Patio Homes Listing and Sales Summary for the month of May 2013 as compared to May 2012. 

• Number of Sales were up 20.4%.

• Average Sales Price is $249,700, Up 7.1%

• Median Sale Price is $215,250, Up 2.5%

• Total Active Listings are about equal, Up 1.1%

In all of El Paso County sales, the average relationship of Sales Price to Listing Price is 98.4%, which means that homes are selling for 1.6% below list price.   This obviously points to a strong local market.

The chart below is a comparison of different areas within El Paso County.  We use this type of information when working with clients on an individual basis to help them determine both selling and buying price ranges for specific neighborhoods. 

COLORADO SPRINGS AREA MONTHLY SALES ANALYSIS*

                                                Median Sales Price               Average Sales Price

Black Forest                             $438,500                              $448,123

Briargate                                   $297,000                            $310,726                               

Central                                      $153,351                              $162,015

East                                           $179,000                               $186,737

Fountain Valley:                       $183,000                               $186,194

Manitou Springs:                     $256,000                               $284,500

Marksheffel:                             $228,000                              $223,267

Northeast:                                 $216,000                               $242,766

Northgate:                                $349,900                               $379,276

Northwest:                                $330,000                               $341,147

Old Colorado City:                  $167,000                               $199,223

Powers:                                     $204,600                               $216,644

Southwest:                               $331,000                               $383,759

Tri-Lakes:                                 $407,500                              $418,504

West:                                         $203,500                               $223,931

*Statistics provided by the Pikes Peak REALTORS Services Corp,or its PPMLS.

To view the complete breakdown on any area listed here or to read the entire monthly report, please click here. 

As you can see, things are continuing to move rather quickly and we are now experiencing a market resurgence that’s here for the foreseeable future.  As always, I am here to answer any questions you may have about these reports.

With very limited inventory and percent of days on the market quickly going down, there are multiple buyers for fewer properties.  To get exactly what you are looking for at a price that fits your budget, call me today at 719.598.3200 or email me at Harry@HarrySalzman.com and let’s start talking. 

WHAT THE EXPERTS ARE SAYING…

HousingWire.com

 “Increasing demand for new and existing homes, coupled with low inventory, has created a virtuous cycle for price gains, most clearly seen in the Western states with year-over-year gains of 20% or more,” said Dr. Mark Fleming, chief economist for CoreLogic.

Anand Nallathambi, president and CEO of CoreLogic said, “We expect this trend to continue, bolstered by tight supplies and pent up buyer demand”.

USAToday:

“The rapid run-up in housing prices the past year has ignited talk of another housing “bubble,” but only a few markets are at risk—so far, experts say.”

According to the latest Standard and Poor’s Case-Shiller index, released last Tuesday, “20 cities in the index showed increases on an annual basis for at least three consecutive months.”

“Even the weakest price gains were ‘substantial’, said David Blitzer, chairman of the index committee.”

The Wall Street Journal:

“Home Sales Power Optimism” read the headline on May 29, 2013, with prices rising at the “fastest pace since 2006, calming investor fears of a spring swoon”.

“Home prices surged during the first quarter at their fastest pace in nearly seven years, the latest sign of a sustained warm-up in an economic recovery that has otherwise been marked by starts and stops.”

Fed officials say they have been considering when to wind down the bond-buying program which has helped to keep mortgage rates near historic lows, boosted asset prices and begun to stimulate hiring and spending.

The Gazette:

“Sales of previously occupied homes ticked up to a 3 ½ year high in April, according to the National Association of Realtors.  And they are likely to keep growing.  A measure of signed contracts to buy homes rose to its highest level in three years in April. 

The limited supply of homes has also made builders more willing to ramp up construction.  That’s creating more construction jobs.”

JOB MARKET HELPS CREATE CONSUMER CONFIDENCE

The 175,000 new jobs added nationally last month provided such confidence in the Economy that the stock market hit its highest point since January 2, 2013. 

That same confidence has trickled down to people who are looking to buy, sell and trade up, or invest in the real estate market nationally, as well as locally.

It’s just not me telling you to BUY NOW-- all functions of today’s economy are pointing it out to you.  So if you don’t want to listen to what I’ve been telling you for the past year, then simply listen to National TV News, the Wall Street Journal (June 8, Front Page and more), etc. etc. etc. 

Now is the best time to buy a home all across America.  And, Colorado Springs has already shown consistent appreciation for the past two years so there’s no time to waste if you’re in the market for residential property for yourself or looking for investment property.

AND NOW FOR THE INTEREST RATE ‘WAKE UP CALL’

It couldn’t last forever, and like I’ve been telling you, the mortgage interest rates that hit historic lows are now inching their way back up.  Almost daily for this past week I’ve seen articles about mortgage rates on the rise. 

The Wall Street Journal on Saturday, June 8, page B8, wrote that the Mortgage Bankers Association stated that “the first time in more than a year those rates are back above 4%” (on 30 year fixed rates).

USAToday stated that “mortgage interest rates are back to their highest levels in a year—and may creep higher still.”

Some renters are starting to realize it’s now or never and are considering a home purchase so that they don’t miss out, according to RealtorMag.  “It’s amazing to see the frenzied pick-up in home buying, as renters get nervous that both home prices and rates will rise quickly,” Craig Strent, CEO of Maryland-based Apex Home Loans, told CNBC.  “They are trying to catch the beginning of the curve here.”

They also reported on June 7 that for “the fifth consecutive week, mortgage rates continued to rise, as the economy showed signs of strengthening.”

I don’t need to say “I told you so”, but all signs have been pointing in this direction.  If you, any family member or co-worker has been thinking about buying, selling and trading up or investing, don’t delay.  Call or email me today and let’s start the process of fulfilling your Residential real estate dreams.  The window of opportunity is still open but it’s slowing closing and you don’t want to miss out.

SKY SOX UP AND RUNNING…

I have four front row season tickets to the AAA Sky Sox available at no charge to you on a first come-first served basis to any home game.  Just give me a call at 598.3200 to request the date of your choice. Just another way I like to say “thank you” to clients and friends.

JOKE OF THE DAY

In the words, of Yogi Berra…..

• As a general comment on baseball: "90% of the game is half mental."

• On why he no longer went to Ruggeri's, a St. Louis restaurant: "Nobody goes there anymore. It's too crowded."

• "It ain't over 'til it's over." In July 1973, Berra's Mets trailed the Chicago Cubs by 9½ games in the National League East. The Mets rallied to win the division title on the final day of the season.

• When giving directions to Joe Garagiola to his New Jersey home, which is accessible by two routes: "When you come to a fork in the road, take it."

• On being the guest of honor at an awards banquet: "Thank you for making this day necessary.”

• "It's déjà vu all over again". Berra explained that this quote originated when he witnessed Mickey Mantle and Roger Maris repeatedly hit back-to-back home runs in the Yankees' seasons in the early 1960s.

• "You can observe a lot by watching."

• "Always go to other people's funerals, otherwise they won't go to yours."

FEATURED LISTING

Harry A. Salzman. CRS, CRP, CNE
e-Pro Internet Certified
Broker/Owner

email: Harry@HarrySalzman.com

Serving: Colorado Springs, Monument. Air Force Academy, Fountain,
Security, Woodland Park, Black Forest, Manitou Springs 

Visit Website

May 28, 2013

HARRY’S BI-WEEKLY UPDATE

                                     A Current Look at the Colorado Springs Residential real estate Market

ON MEMORIAL DAY I’M ESPECIALLY GRATEFUL

A day after the “official” holiday, I’m still thinking of all the celebrations and memorial tributes I witnessed this past weekend.  We may only celebrate our servicemen and women who lost their lives for our country one day a year, but I’m thankful each and every day that I can wake up safe because of the tremendous sacrifice they made.  I’m also aware of the family members who spend lifetimes without their spouses, brothers, sisters, and fathers because of these sacrifices and I hope they get some happiness from realizing what heroes these men and women are to me and so many others.

LOCAL QUARTERLY UPDATES & ESTIMATES

I recently received this quarterly update as of April 2013 on the El Paso County Economy from the UCCS College of Business and wanted to share it with our Readers.  The full report is 17 pages long and you can click here to read it in full.  Here are some of the highlights I thought you would find interesting:

• The best performing indicators were new single family permits (up 43.1%), new vehicle registrations (up 40%), Colorado Springs sales and use tax collections (up 8.5%) and consumer sentiment (up 3.1%).

            In MLS Activity:

• The trend in home sales continues to improve.  Through April, there were 618 (25.2%) more homes sold than the same period in 2012.  This is a significant departure from the weak sales trends over the last five years. 

• The demand for housing remains strong through April 2013.

• As of April 2013, there were 451 (13.3%) fewer homes listed for sale than there were in April 2012.  This is part of a consistent trend for over a year.

• Prices have been trending up since early 2011.

The next several sections of the report include:

• Colorado Springs Airport Trends
• Colorado Springs Sales Taxes
• New Car Registration Trends
• Employment Trends and Wages
• National Expectations
• Misery Index (cute!)

It is with pleasure that Salzman real estate Services is able to share important statistics and forecasts with you as soon as they become available, each month and every quarter.  I would be happy to answer any questions you might have concerning these detailed reports and how they might affect you personally or just any question you might have concerning Real Estate in general.  Just call me at 598.3200 or email me at Harry@HarrySalzman.com.

SALZMAN real estate SERVICES IS UNIQUELY QUALIFIED TO HELP YOU

Today’s market is “today” and any comparables should be within the most recent 90 days.  Anything more than 90 days happened in a different market between Buyers and Sellers not only in Colorado Springs, but in almost every community in the USA. 

• It is our feeling that situations from more than 90 days have different housing “economics”.
• The market is changing very quickly for both Buyers and Sellers.
• Buyers need to make a decision quickly or the home they want may not be available.  Yes, we have seen some people become discouraged due to their preferred home going under contract before they can act on it.
• We have seen two identical words in different articles—“Boomerang Buyers”.  These are the people trying to get back into owning their own home after losing a former one to foreclosure or short sale.  Many of these people are trying to get into home ownership again but it is proving difficult.

• Sellers are now seeing a higher “fair market value” of their homes vs. the fair market value of a year ago.
• Many homeowners wanted to trade up but could not do so because they did not have enough equity in their present home.  Today, they are coming back into the market to sell their current home and moving into a different home or neighborhood.
• The “different” housing market we now are seeing has required us to have more “heart-to-heart” chats with our clients so we can be more specific in determining their wants, needs and budgets.
• Salzman real estate Services takes pride in creative marketing plans that implement local neighborhood inventory facts.
• Buyers and Sellers alike need to realize that “today’s” housing economy is unique no matter where you live and where you wish to move.
• I like to share price, location, and timeliness necessities to my clients so they can individually and proactively plan.
• Bottom line—I’m here to educate you on current market conditions as they affect you, either as a buyer or seller.
• I take proper follow-up and action for YOU and that will put you in a much better personal financial situation in the long run.

LOCAL ECONOMY SEES IMPROVEMENT IN MANY AREAS

While our local foreclosure rate was never like that in many parts of the country, we are now seeing fewer properties in the Pikes Peak region falling into foreclosure and being taken over by lenders or other investors.  The turnaround in the local housing market is the main contributing factor and El Paso County saw its foreclosure filings fall 36.2% in the first quarter of this year compared to the same period in 2012. 

First quarter foreclosure sales in El Paso County dropped 5.9% from the same period last year. 

Sales tax collections in Colorado Springs rose more than 8% in April from the same month a year ago, the sixth time in the past eight months this has happened according to a report issued Thursday from the city’s Finance Department.

HOME SALES KEEP ON RISING

The Gazette and AP, May 23, 2013

April homes sales nationally were the highest in more than three years according to a report from the National Association of Realtors (NAR).   While homes sales have risen 9.7% in the past 12 months, they have remained somewhat flat since November.  This is attributable to the low supply of available homes and the fact that many potential Buyers are still not able to get loans due to tight credit restrictions. 

In Colorado Springs, home sales in April increased 19 percent from April 2012 and sales have increased in 20 of the past 22 months.  Last month’s total of 932 was the best April for sales since 2006. 

Local homes sales since the first of the year have totaled 3,121, a one-fourth increase over the same period last year.

FOUR BIG DRIVERS OF THE housing market RECOVERY

According to The Wall Street Journal,  the four primary reasons the housing market is strong are:

• Sales have made big leaps from year-over-year levels. 
• Non-distressed home sales are increasing.
• Inventories have started to increase. 
• Homes are selling a lot quicker.

You have waited long enough to buy a house.  I am total agreement with this information and have shared these concepts with my Readers for a while now.  Glad to see the “Journal” agrees with me.

ECONOMY RISE WILL BE AIDED BY HOUSING RECOVERY

Economists at Fannie Mae, in releasing their latest forecast, say that the economy will be somewhat stronger in the second half of 2013, with housing acting as a “tailwind” throughout the year and into 2014.

“Lean inventories, a declining share of distressed sales, and increased efforts to implement short sales and other foreclosure alternatives have helped boost home prices, which showed strengthening annual gains so far this year,” Fannie Mae economists said.

HOME APPRECIATION UP FOR NOW

According to Zillow chief economist Dr. Stan Humphries, “April marks the sixth straight month of annual home appreciation of 5 percent or above, the longest such streak since the height of the bubble in 2006.  In the short-term, this has been welcome news for homeowners.

Overall, we can expect home value appreciation to moderate as more supply comes on line over the next year, but in some areas, runaway home value appreciation, combined with expected interest rate hikes in coming years, runs a real risk of pricing out many potential buyers.”

ANOTHER GOOD REASON TO BUY NOW

Friday’s Wall Street Journal  shows the Fannie Mae 30 year mortgage yield (Page C6) that closed new loans in the next 30 days are at the highest interest rate in 52 weeks.  If a mortgage would take 60 days to close, that rate is a little higher. 

The point here is that mortgage rates in today’s market are beginning to cost a Buyer/Borrower a higher interest rate if they wait. 

What this means to you is what I’ve been saying for some time—NOW is the time to buy, sell and trade up, or buy for investment purposes.  Interest rates are slowly moving up.  Your home equity has more than like increased, thus making it possible to finally trade up before you get priced out of the market once again.  If you wish to find out what possibilities are available, as always, I’ll be glad to help you determine the best financial decision for your personal wants, needs and budget.

IS YOUR HOME OR INVESTMENT PROPERTY ADEQUATELY INSURED?

With market values increasing, it might be a good time to contact your insurance agent to determine if you have adequate coverage for the present replacement value of your home or investment property.  Just a little reminder from me to help you protect your home ownership investment.

CALL ME FOR FREE SKY SOX TICKETS

I have four front row season tickets to the AAA Sky Sox that are available to you at no cost on a first come-first served basis to any home game.  Just give me a call at 598.3200 to request the date of your choice.  We’ve got another great roster of players this season so call soon, as the tickets go quickly.  Just another way I like to say “thank you” to clients and friends.

JOKE OF THE WEEK

A telemarketer calls a house and a little boy answers.  The little boy whispers, “Hello?”

The salesperson says, “Yes, can I speak to your mommy?”

“No,” the little boy whispers.  “She’s busy.”

The salesperson then says, “Okay, can I speak to your daddy, please?”

“He’s busy too,” the little boy whispers.

Starting to get annoyed, the salesperson says, “All right, is there another adult in the house?”

“Yes,” the boy again whispers.  “There’s a policewoman.”

“A policewoman?” the salesperson gasps.  “Can I speak to her/”

“No,” whispers the boy.  “She’s busy, too.”

As a last resort, the salesperson asks one last time, “Okay, are there any other adults there?”

“Yes,” whispers the boy.  “There’s a firefighter.”

“A firefighter!” exclaims the salesperson.  “Can I speak to him?”

“No,” whispers the boy.  “He’s busy, too.”

“Little boy,” says the salesperson, “with all of those adults in the house, what are they busy doing?”

After a short pause the little boy whispers, “Looking for me.”

FEATURED LISTING

Harry A. Salzman. CRS, CRP, CNE
e-Pro Internet Certified
Broker/Owner

email: Harry@HarrySalzman.com

Serving: Colorado Springs, Monument. Air Force Academy, Fountain,
Security, Woodland Park, Black Forest, Manitou Springs 

Visit Website

May 13, 2013

HARRY’S “SPECIAL EDITION”

News So Good It Just Couldn’t Wait

           EXTRA!     EXTRA!     EXTRA!     EXTRA!     EXTRA!    

I WANTED YOU TO BE THE FIRST TO KNOW….

This is such positive Residential news that I couldn’t wait until the next eNewsletter to share it with you.

National Association of Realtors (NAR) has just published the “Median Sales Price of Existing Single Family Homes for Metropolitan Areas.”  The reported average median sales price gain of the 150 largest communities in the U.S. was 11.3% over the same time period last year.  These figures from NAR are calculated from every closed sale listed in the MLS within these areas.

Colorado Springs has experienced a median sales price gain of 13.1% for that same time period.  I have always liked to use the words “relative strength” to compare a house, a neighborhood, price ranges, sales, etc.  The fact that our local market has appreciated by about 16% better than the average of the 150 largest communities in the USA shows that the Colorado Springs population is more confident in home ownership than in many other cities nationwide. 

What this tells us is:

• With the increase in demand for homes and the supply of listings greatly reduced, the basic expectation is that our home values and prices will continue to increase.

• Sellers are receiving a higher price for their homes and Buyers are agreeing to pay more today vs. one year ago.

• Now is a great time to upgrade to the home you have been wanting.  Many people have been waiting to make a move to a better neighborhood because the former marketability and value of their existing home may not have been at a reasonable selling price.

• Buyers are taking advantage of the still historically low mortgage interest rates, not knowing how long they will last.

• This appreciation has also been a terrific gain to Homebuilders as homeowners now have the equity available to build. 

The NAR survey comparisons are produced approximately 6 weeks after the end of each calendar quarter.  Since this only compares the First Quarter 2013 to last year’s same time period, we already know that our local market conditions continue to escalate even through last month, April 2013.   And from where I sit, I can honestly say I haven’t seen this kind of Residential activity locally in a good number of years and it just keeps getting busier. 

Friday’s Wall Street Journal  stated that  “home prices in metropolitan areas saw their biggest year-over-year gains in more than seven years in the first quarter, evidence that the housing recovery is spreading across the nation.”

The article went on to say that “the NAR’s quarterly report is a good measure of general price trends, but the results can sometimes overstate the magnitude of price gains because they don’t control for shifts in the number of homes sold in various price categories.  As a result, the median price can rise sharply if sales of higher-end homes increase faster than sales of lower-priced homes.”

And according to Lawrence Yun, NAR chief economist, many areas in the USA are experiencing a Seller’s market.  “The supply/demand balance is tilted toward Sellers in a good portion of the country,” he said.  “Inventory conditions are expected to remain fairly constrained this year, so overall price increases should be well above the historic gain of one-to-two percentage points above the rate of inflation.  If homebuilders can continue to ramp up production, then home price growth is expected to moderate in 2014.”

NAR President Gary Thomas said that conditions also remain favorable for Buyers.  “Even with rising home prices, there is still plenty of buying power in the market,” he said.  “Historically low mortgage interest rates and home prices that remain well below their peak mean most Buyers can purchase well within their means, assuming they meet ongoing stringent credit standards.”

I have been providing this Quarterly data from NAR to our readers for many years and do not recall a gain like this recently published quarter, in our local market, since we first created our eNewsletter!

To view the entire NAR Quarterly Report and see how the rest of the country is doing in comparison to our local market, please click here. 

If you have any questions concerning this report or how the current market is affecting you personally, please call me at 598.3200 or email me at Harry@HarrySalzman.com .

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Harry A. Salzman. CRS, CRP, CNE
e-Pro Internet Certified
Broker/Owner

email: Harry@HarrySalzman.com

Serving: Colorado Springs, Monument. Air Force Academy, Fountain,
Security, Woodland Park, Black Forest, Manitou Springs