Where The Buyers Are… June 2013 Market Update Homes in Fort Collins

Where The Buyers Are… June 2013 Market Update Homes in Fort Collins, Colorado

If Connie Francis had been a REALTOR, then “Where The Buyers Are” would have been her chart topping hit instead of that other song/movie that made Fort Lauderdale famous (and no, I’m not old enough to remember that – I was born 3 years later).

Record Low InventoryIn preparation for the monthly update of statistics, it occurred to me that potential sellers might be interested in seeing a breakdown of how last month’s sales shook out in terms of price point (i.e. where the buyers are).  As I picked through the month-end data it showed that 63% of the 318 single family homes sold in Fort Collins Area 9 last month were between the prices of $160,000 and $299,999.  A little more digging showed that 66 homes, or 21% of homes sold in this area were priced between $300 and $400 thousand dollars.  When you add it all together, more than 84% of all single family home transactions in Northern Larimer county sold for less than $400,000.

If you’ve read my market reports in the past (insert link to page here), just like elsewhere in the country inventory levels have plummeted significantly the last 4 years.  When you look at May 2013 compared to the same time last year, the number Record Low Inventoryof homes available for sale is down another 16%.  This is the first time the Fort Collins market has had less than 1000 units available in May since the turn of the Century 13 years ago!  Yet, year-over-year sales volume is up 18.8% for the month and over 27% year-to-date. 

ElectrifiedAs of June 5th at 1:45 p.m., there are 521 single family homes active on the market under $300,000.  When you filter out the homes that are under contract, you’re left with 248 actually available to buy.  That’s little more than 1 month of inventory based on current sales figures.  With demand outstripping supply, the economic reality is that competitive offers have become the rule rather than the exception and this is leading to higher prices in the most popular price points.  The median price of homes for sale in Fort Collins has jumped nearly $28,000 from last year ending the month of May at $266,500.

Nearly two-thirds of last month’s buyers snapped up homes under $300,000.  If you’ve been on the fence about whether now is a good time to sell a home in this price point – it isn’t shocking that your fence is being electrified!

 

 

 

Loveland Homes For Sale May 2013 Market Update

Loveland Homes For Sale May 2013 Market Update

April 2013 sales volume in the Loveland/Berthoud real estate market nearly eclipsed last June’s high which at that point was the highest monthly sales volume in the area for the last 5 years.  With just over 54.6 million dollars in sales volume in April, the area is seeing yet another consecutive month of increased sales and activity.

Loveland Homes For Sale May 2013 Market Update

However, one of the challenges facing buyers in this market is the relative lack  of inventory.  As the chart below demonstrates, inventory levels for single family homes in the Loveland/Berthoud real estate market is moving in the opposite direction of sales volume and units.  This tightening of inventory has created much more competition among buyers who are scouring neighborhoods and the internet hoping to get a first glimpse of the next home for sale.

 

Loveland Homes For Sale May 2013 Market Update

Median Home Prices Rising in the Loveland/Berthoud May 2013 Market Update

Median home prices are moving up as well.  Since the median home price reflects the true middle of the bell curve of home prices, jumps in this indicator demonstrate a recovery in the number of homes being sold in higher price points.  This is in sharp contrast to the more widely reported “average sales price” which is easily moved up or down with fluctuating luxury property sales.  In just the last year the median price of homes sold in Loveland has gone from $235,000 to $267,515, which is $3,515 higher than Loveland’s larger neighbor to the north, Fort Collins.

Interest rates remain at historic lows which is also creating an interesting opportunity for Sellers.  With high demand in the median price points, a well-positioned seller in this market could take advantage of existing equity and use the increased buying power offered by sub-four percent 30 year fixed mortgage rates!  Currently, bankrate.com is showing 30 year fixed conventional mortgages from a national survey of lenders at 3.71% and 2.92% for a 15 year fixed mortgage.  Trends indicate that mortgage rates are ticking up slightly as the economy continues to improve.

If you would like more information on the market in Loveland or Fort Collins, please contact us or visit our web-site www.buyfortcollinshomes.com

 

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