Entries in home appreciation (5)

Friday
Feb272009

Boulder County Ranks 17th Nationally in Appreciation

DateFriday, February 27, 2009 at 11:16AM

In the latest home price index from the Federal Housing Finance Agency (FHFA), Boulder County was listed in the top 20 of the 292 largest metro areas for annual appreciation for the period ended December 21, 2008.  Boulder's annual appreciation was listed as 2.99% while the U.S. as a whole had a depreciation of 8.27%.  Colorado was ranked 17th with a annual depreciation of 2.61%.  Prices fell in 44 states plus Washington D.C..  

The graph below shows Boulder's appreciation compared to the U.S.'s over the past 11 quarters.  It is interesting to see the negative trend of the nation as a whole compared to our relatively steady rate.  It is important to know that the national trend is not true in Boulder Colorado.   

 

The top 20 areas for appreciation are mostly in the Southeastern U.S. including; Alabama, Texas and South Carolina.  The top metro area for appreciation over the past year was Decatur, AL with a 6.58% increase.

The bottom 20 areas

Click to read more ...

AuthorNeil Kearney | Comment3 Comments | | | Print ArticlePrint Article
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Monday
Mar032008

DateMonday, March 3, 2008 at 9:27AM

S&P/Case-Schiller vs. OFHEO

S&P/Case-Schiller and OFHEO (Office of Federal Housing Enterprise Oversight) both publish a "national" price index. The Case-Schiller index has been getting much play on national media lately. Their most recent index shows a huge drop in appreciation during the 4th quarter. Unfortunately, this index only represents data from 20 metropolitan areas in 13 states. It is weighted toward higher priced homes and it is designed to overstate housing up's and down's. OFHEO's index contains data from 291 metropolitan areas in all 50 states. Real Estate is local and the more data points you have the better the focus. I think the OFHEO index should be used more by the media. It tempers the extremes and gives a clear picture at the local level. In my next post I will give the latest data for Boulder County presented by OFHEO.

AuthorNeil Kearney | CommentPost a Comment | | | Print ArticlePrint Article
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Thursday
Jun212007

DateThursday, June 21, 2007 at 9:40AM

Million Dollar Price Trends in Boulder County


The overall trends prevalent in Boulder County are fewer sales and higher prices. In the past I have noted that the average and median prices in Boulder especially have been influenced by the increased number of high end houses selling. Today I'd like to explore the market for $ million homes in Boulder County.

Currently there are 296 homes in the county listed for $1 Million or more of those approximately 10% are under contract. There are 26 homes listed for $3 Million or more and the most expensive listing is $7,995,000. Currently none of the homes listed for more than $3 Million are under contract. Given the sales rate over the past twelve months, there is currently a 17 month supply of homes listed over $1 Million.

During the first 5+ months there have been 105 sales over the $Million mark. To show you how this compares with past years I have prepared a chart that shows the number of sales in this price range since 1997. It is obvious that we are headed up and if the sales rate keeps up, this year may be a record year.
As the number of sales increase it is interesting to see that the median price during the last 10 years is largely unchanged. During 1997 when there were only 6 sales the median price was $1,171,129. During 2006 there were185 sales with a median price of $1,340,000 an increase of only 14%. During that same time frame the high price for the year increased over 200% to over $4 Million. The chart below shows the prices of closed homes over $1 Million since 1997. Very interesting data for a highly competitive market.

AuthorNeil Kearney | CommentPost a Comment | | | Print ArticlePrint Article
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Monday
Feb122007

Investment Analysis

DateMonday, February 12, 2007 at 9:49AM

I mentioned a week or two ago the Mortgage Guaranty Insurance Corporation (MGIC). MGIC is a company that provides mortgage insurance in case of borrower default. It is their business to know the risks in the nations real estate markets. On their website they have a detailed analysis of the 72 largest metropolitan areas. Today, I'm going to compare three market areas Denver, Detroit and Seattle. Denver is rated as a stable market with no change on the horizon, Detroit is rated as a soft market with weakening in the future and Seattle is rated a strong market with no change in the near future.

 

I will go through the main areas of the report in order:

 

Income Trend

  • Denver - Personal income growth up 7%; Wage and Salary Growth up 8%.

  • Detroit - Personal income growth up 3.75%; Wage and Salary Growth up 3%.

  • Seattle - Personal income growth up 9.8%; Wage and Salary Growth up 10.25%.

 

Employment

  • Denver - Unemployment Rate 4.7%, Employment Growth Rate 5.7%.

  • Detroit - Unemployement Rate 8.75%; Employment Growth Rate -1.25%.

  • Seattle - Unemployement Rate 4%; Employment Growth Rate 6.8%.

 

Housing Affordibility - A measure of how incomes, median price and mortgage rates interact. The lower the number the more affordable the market is to the most people.

  • Denver - 123 and trending down (good).

  • Detroit - 205 and trending up (poor).

  • Seattle - 78 and trending down (good).

 

Home Appreciation as measured by OFHEO

  • Denver - 2.8% per year and declining - median price of $249,167

  • Detroit - -1% and declining - median price of $105,940

  • Seattle - 17.5% and stabilizing - median price of $398,244

 

Single Family Permits vs. Household Growth a measure of population growth.

  • Denver - Household Growth 1.5%, Single Family Permits 14,700 and declining.

  • Detroit - Household Growth -.25%, Single Family Permits 2,200 and declining.

  • Seattle - Household Growth 1.25%, Single Family Permits 10,500 and stable.

 

Overall, you can see the factors that go into the health of a real estate market. This can be replicated for any of the 72 largest metropolitan areas and is one good tool to identify possible investment areas. After looking at Detroit and other depressed areas in the Midwest I am grateful for the market we do have in Boulder and Denver Colorado.

AuthorNeil Kearney | CommentPost a Comment | | | Print ArticlePrint Article
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Thursday
Nov302006

Boulder Third Quarter Appreciation

DateThursday, November 30, 2006 at 9:46AM

According to a report released today by the Office of Federal Housing Enterprise Oversight (OFHEO), the appreciation in Boulder County was 1.68% for the past year and .06% for the third quarter.

The OFHEO uses data from sales and appraisals to track actual price appreciation using the data from the same house selling or appraising over time.

Boulder yearly appreciation ranked it 237th out of 275 metropolitan areas. This is a drop from second quarter figures, where Boulder was ranked 218th. Nationally there was a 7.73% increase in prices from 3rd quarter 2005 to 3rd quarter 2006. Many of our Western neighbors lead the nation in 1 year appreciation. Here is the top ten:

  1. Idaho - 17.52%
  2. Utah - 17.41%
  3. Oregon - 16.9%
  4. Arizona - 16.37%
  5. Washington - 16.35%
  6. Florida - 15.11%
  7. Wyoming - 14.39%
  8. New Mexico - 14.1%
  9. Hawaii - 13.33%
  10. Maryland - 13.19%

AuthorNeil Kearney | CommentPost a Comment | | | Print ArticlePrint Article
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