by neil kearney | Nov 2, 2006 | Statistics
Through the first ten months of the year the market seems to be holding its own. Median prices for single family homes have increased increased in communities throughout Boulder County. As you can see in the chart to the left the City of Boulder has a median price so far this year of 
$545,000, up 4.7% from last year. Taking Boulder County as a whole, the median price for single family homes is $365,000, up 5.83% from the prices recorded at the end of 2005. While these statistics paint a rosy picture it seems that the market has not been all that strong since August 1st. Inventory has been rising and I suspect that the increases in median prices have much to do with the wide proliferation of large houses being bought and sold (remodel and new) throughout the county.
Attached dwellings (condos and townhomes) have not fared as well in the recent statistics. In Boulder the median price for an attached 
dwelling is down 1.6% for the year thus far. The county is up a mere .2%. The only area that showed significant appreciation in median price is Louisville where the volume is fairly low and the statistics are being pulled up by the new construction of condos in the city. As an andedote, I have noticed condos in and around Boulder that have lost market value in the past 2-3 years. In order for a condo to compete it must be updated and priced well. The trend is away from interior hallways.
As you can see from the chart labeled Boulder Median Sales Price Comparison, Boulder has been a great place to own real estate over the past 13 years. Over the past 4 years our area did not not participate in the price jumps seen in other areas of the country. However, many national experts see this area as one poised for price increases. I have seen instances where many Buyers have come from the coasts 
(mostly California) after a major price increase to find better prices and quality of life in this area. I think we will see some of that in 2007.
by neil kearney | Oct 25, 2006 | Statistics
The sky is falling! The reports in the media lately have lead many people to believe that not only is the “Great Real Estate Boom” over, we are in store for a “great collapse”. It is my goal in this post to give you the true picture of the real estate market both local and national. I think you will find that in both cases we are still moving along in a normal manner, unlike what some markets have grown accustomed to in the past few years.
First off let’s tackle the national picture: The record boom is coming to a close. All of the areas that have seen astronomical price jumps are now seeing those numbers level out as inventory rises. Areas like Las Vegas which has averaged over 21% appreciation for the past 5 years, showed an 11% gain the past 12 months and an anemic .57% gain during the second quarter. The TV shows like Flip That House, that it seem like it is really easy to make money flipping houses, will have to find new territory, Las Vegas is yesterday’s news. Overall the appreciation rates are declining across the board with the areas that have shown the most appreciation slowing the most. Areas like ours, which did not participate in the recent boom are continuing to stay relatively stable and are not being sucked into the backwash of the price surge seen in places like Arizona, Florida and California. The rise in interest rates and the rise in inventory (when everyone is building) has caused markets to cool. We have not seen a crash but I don’t doubt that there will be price corrections in some markets that have appreciated at a pace above sustainability.
Locally, we have been more deliberate in the past few years. According to the Office of Federal Housing Enterprise Oversight, the Boulder County market has appreciated at an annual rate of 3.92% over the past five years. In the City of Boulder the figure looks like 6.9% and in the Boulder County part of Erie the appreciation has been just .5% per year. Locally, the number of sales has decreased 9.5% in the County and 4.2% in the City. As I mentioned before prices are still up for the year with the exception of Condos in the City which were stable. Since the end of July showings and sales have been at a slower pace.
As I have said many times, well priced homes in good condition are still selling. Have a great fall and call with any questions. I’d love to be of service!
