Hardly a day goes by without being asked, “What do you think my home is worth?”
I understand the insecurities behind the question. The economic news reported daily is confusing. The answer to the question cannot be found in the newspaper or the Internet or Zillow or the county assessor. The answer is found in your neighborhood.
Homes values are determined by research. Whether your Realtor or an appraiser performs this research, the exercise is the same. A Realtor will compare your property to recent sales in your neighborhood. This individual will find homes that have sold in the last six months to a year, geographically close to your home with similar views, quality, size and age. The comparable properties are analyzed. Financial additions and subtractions are included to equate the comparable properties to your home. For example, if a recent neighborhood sale has a one-car garage and your property has a two-car garage, a financial addition is included to the comparable property to create the value of a two-car garage.
International and national news are important. More importantly to your home value is the local real estate market, with emphasis on “local”. Downtown Manitou properties should not be compared to Westside homes. Crystal Hills homes should not be compared to Cedar Heights properties. You get the idea.
A huge motivating factor for home sellers is the interest rate, which is currently hovering around 4.9%. The last time the interest rate was that low, we were battling a conflict in Korea. Assuming a $250,000 home valued four years ago, the exact same monthly mortgage payment today will allow a buyer to purchase a much larger home valued at $310,000.
Springtime is prime time for home sales. More properties on the market induce more buyers into the neighborhoods. If your home is a quality product, is marketed properly and is valued accurately, you will have a high likelihood of a satisfactory sale.
Mike Casey can be reached at “Homes of Manitou Springs”, 719.685.1212.
Wednesday, March 23, 2011
Wednesday, February 23, 2011
Home Sales in Manitou Springs
HOME SALES IN MANITOU SPRINGS – ANNUAL REPORT
Frequently, I am asked how the Manitou Springs real estate market is performing and my answer is usually the same, “Very well”. Hard to believe? Allow me to provide some interesting statistics, based on single-family home sales in the MLS (through Realtors):
Studying the numbers in depth provides more information supporting the chart above:
Why does Manitou Springs, year after year, continue to be a solid real estate market? Appreciation (an increase in the value of property) is one answer. The appreciation rate for the last (13) years for most of Manitou Springs was 93% and Crystal Hills was 106%. These numbers are very attractive compared to neighboring communities.
Other reasons for solid sales include the downtown renovation project and downtown events that are attracting larger and larger crowds. The average home price has been reduced. The interest rates have been and are still incredibly low. The school district is a strong draw. Also, there are few vacant buildable lots so the demand will always be greater than the supply.
I have always said that homes that have been properly maintained, priced accurately, marketed aggressively will always sell, in any market.
For further information, contact Mike Casey, Owner of “Homes of Manitou Springs” or visit his website at HomesofManitouSprings.com
Frequently, I am asked how the Manitou Springs real estate market is performing and my answer is usually the same, “Very well”. Hard to believe? Allow me to provide some interesting statistics, based on single-family home sales in the MLS (through Realtors):
Studying the numbers in depth provides more information supporting the chart above:
- In 2010, almost half of the transactions (26 homes) sold for less than $300,000.
- In 2009, exactly half the transactions (22 homes) sold for less than $300,000.
- In 2008, more than half the transactions (27 homes) sold for less than $300,000.
- In 2007, ten properties sold for $400,000 or more – a very high number.
Why does Manitou Springs, year after year, continue to be a solid real estate market? Appreciation (an increase in the value of property) is one answer. The appreciation rate for the last (13) years for most of Manitou Springs was 93% and Crystal Hills was 106%. These numbers are very attractive compared to neighboring communities.
Other reasons for solid sales include the downtown renovation project and downtown events that are attracting larger and larger crowds. The average home price has been reduced. The interest rates have been and are still incredibly low. The school district is a strong draw. Also, there are few vacant buildable lots so the demand will always be greater than the supply.
I have always said that homes that have been properly maintained, priced accurately, marketed aggressively will always sell, in any market.
For further information, contact Mike Casey, Owner of “Homes of Manitou Springs” or visit his website at HomesofManitouSprings.com
Saturday, July 17, 2010
Price Reduction on Fabulous Manitou Villa
This gorgeous townhome in the heart of Manitou Springs, Colorado had an original list price of $750,000. It has just been reduced to $679,000! Check out this beautiful home below.
Friday, July 16, 2010
Monday, July 12, 2010
10 Ways to Prepare for Homeownership
So you are ready to take the plunge and become a homeowner. Here are some practical steps to ensure you are prepared to take on the challenge.
1. Decide what you can afford. Generally, you can afford a home equal in value to between two and three times your gross income.
2. Develop your home wish list. Then, prioritize the features on your list.
3. Select where you want to live. Compile a list of three or four neighborhoods you’d like to live in, taking into account items such as schools, recreational facilities, area expansion plans, and safety.
4. Start saving. Do you have enough money saved to qualify for a mortgage and cover your down payment? Ideally, you should have 20 percent of the purchase price saved as a down payment. Also, don’t forget to factor in closing costs. Closing costs — including taxes, attorney’s fee, and transfer fees — average between 2 and 7 percent of the home price.
5. Get your credit in order.Obtain a copy of your credit report to make sure it is accurate and to correct any errors immediately. A credit report provides a history of your credit, bad debts, and any late payments.
6. Determine your mortgage qualifications.How large of mortgage do you qualify for? Also, explore different loan options — such as 30-year or 15-year fixed mortgages or ARMs — and decide what’s best for you.
7. Get preapproved. Organize all the documentation a lender will need to preapprove you for a loan. You might need W-2 forms, copies of at least one pay stub, account numbers, and copies of two to four months of bank or credit union statements.
2. Develop your home wish list. Then, prioritize the features on your list.
3. Select where you want to live. Compile a list of three or four neighborhoods you’d like to live in, taking into account items such as schools, recreational facilities, area expansion plans, and safety.
4. Start saving. Do you have enough money saved to qualify for a mortgage and cover your down payment? Ideally, you should have 20 percent of the purchase price saved as a down payment. Also, don’t forget to factor in closing costs. Closing costs — including taxes, attorney’s fee, and transfer fees — average between 2 and 7 percent of the home price.
5. Get your credit in order.Obtain a copy of your credit report to make sure it is accurate and to correct any errors immediately. A credit report provides a history of your credit, bad debts, and any late payments.
6. Determine your mortgage qualifications.How large of mortgage do you qualify for? Also, explore different loan options — such as 30-year or 15-year fixed mortgages or ARMs — and decide what’s best for you.
7. Get preapproved. Organize all the documentation a lender will need to preapprove you for a loan. You might need W-2 forms, copies of at least one pay stub, account numbers, and copies of two to four months of bank or credit union statements.
8. Weigh other sources of help with a down payment. Do you qualify for any special mortgage or down payment assistance programs? Check with your state and local government on down payment assistance programs for first-time buyers. Or, if you have an IRA account, you can use the money you’ve saved to buy your fist home without paying a penalty for early withdrawal.
9. Calculate the costs of homeownership. This should include property taxes, insurance, maintenance and utilities, and association fees, if applicable.
10. Contact a REALTOR®. Find an experienced REALTOR® who can help guide you through the process.
10. Contact a REALTOR®. Find an experienced REALTOR® who can help guide you through the process.
Copyright National Association of REALTORS®. Reprinted with permission.
Monday, June 21, 2010
Bed & Breakfast For Sale
For more information on this property click here.
Thursday, June 17, 2010
Take the Stress Out of Homebuying
Buying a home should be fun, not stressful. As you look for your dream home, keep in mind these tips for making the process as peaceful as possible.
1. Find a real estate agent who you connect with. Home buying is not only a big financial commitment, but also an emotional one. It’s critical that the REALTOR® you chose is both highly skilled and a good fit with your personality.2. Remember, there’s no “right” time to buy, just as there’s no perfect time to sell. If you find a home now, don’t try to second-guess interest rates or the housing market by waiting longer — you risk losing out on the home of your dreams. The housing market usually doesn’t change fast enough to make that much difference in price, and a good home won’t stay on the market long.3. Don’t ask for too many opinions. It’s natural to want reassurance for such a big decision, but too many ideas from too many people will make it much harder to make a decision. Focus on the wants and needs of your immediate family — the people who will be living in the home.4. Accept that no house is ever perfect. If it’s in the right location, the yard may be a bit smaller than you had hoped. The kitchen may be perfect, but the roof needs repair. Make a list of your top priorities and focus in on things that are most important to you. Let the minor ones go.5. Don’t try to be a killer negotiator. Negotiation is definitely a part of the real estate process, but trying to “win” by getting an extra-low price or by refusing to budge on your offer may cost you the home you love. Negotiation is give and take.6. Remember your home doesn’t exist in a vacuum. Don’t get so caught up in the physical aspects of the house itself — room size, kitchen, etc. — that you forget about important issues as noise level, location to amenities, and other aspects that also have a big impact on your quality of life.7. Plan ahead. Don’t wait until you’ve found a home and made an offer to get approved for a mortgage, investigate home insurance, and consider a schedule for moving. Presenting an offer contingent on a lot of unresolved issues will make your bid much less attractive to sellers.8. Factor in maintenance and repair costs in your post-home buying budget. Even if you buy a new home, there will be costs. Don’t leave yourself short and let your home deteriorate.9. Accept that a little buyer’s remorse is inevitable and will probably pass. Buying a home, especially for the first time, is a big financial commitment. But it also yields big benefits. Don’t lose sight of why you wanted to buy a home and what made you fall in love with the property you purchased.10. Choose a home first because you love it; then think about appreciation. While U.S. homes have appreciated an average of 5.4 percent annually over from 1998 to 2002, a home’s most important role is to serve as a comfortable, safe place to live.
Copyright National Association of REALTORS®. Reprinted with permission.
1. Find a real estate agent who you connect with. Home buying is not only a big financial commitment, but also an emotional one. It’s critical that the REALTOR® you chose is both highly skilled and a good fit with your personality.2. Remember, there’s no “right” time to buy, just as there’s no perfect time to sell. If you find a home now, don’t try to second-guess interest rates or the housing market by waiting longer — you risk losing out on the home of your dreams. The housing market usually doesn’t change fast enough to make that much difference in price, and a good home won’t stay on the market long.3. Don’t ask for too many opinions. It’s natural to want reassurance for such a big decision, but too many ideas from too many people will make it much harder to make a decision. Focus on the wants and needs of your immediate family — the people who will be living in the home.4. Accept that no house is ever perfect. If it’s in the right location, the yard may be a bit smaller than you had hoped. The kitchen may be perfect, but the roof needs repair. Make a list of your top priorities and focus in on things that are most important to you. Let the minor ones go.5. Don’t try to be a killer negotiator. Negotiation is definitely a part of the real estate process, but trying to “win” by getting an extra-low price or by refusing to budge on your offer may cost you the home you love. Negotiation is give and take.6. Remember your home doesn’t exist in a vacuum. Don’t get so caught up in the physical aspects of the house itself — room size, kitchen, etc. — that you forget about important issues as noise level, location to amenities, and other aspects that also have a big impact on your quality of life.7. Plan ahead. Don’t wait until you’ve found a home and made an offer to get approved for a mortgage, investigate home insurance, and consider a schedule for moving. Presenting an offer contingent on a lot of unresolved issues will make your bid much less attractive to sellers.8. Factor in maintenance and repair costs in your post-home buying budget. Even if you buy a new home, there will be costs. Don’t leave yourself short and let your home deteriorate.9. Accept that a little buyer’s remorse is inevitable and will probably pass. Buying a home, especially for the first time, is a big financial commitment. But it also yields big benefits. Don’t lose sight of why you wanted to buy a home and what made you fall in love with the property you purchased.10. Choose a home first because you love it; then think about appreciation. While U.S. homes have appreciated an average of 5.4 percent annually over from 1998 to 2002, a home’s most important role is to serve as a comfortable, safe place to live.
Copyright National Association of REALTORS®. Reprinted with permission.
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