Market Data • June 3, 2021

Calculating Risk with Home Values

by Brandon Bidwell

The economic research blog called “Calculated Risk” just completed a fascinating study on home prices.

Specifically, they looked at the correlation between home price growth and inventory.

They used price data from the Case-Shiller Home Price Index and inventory data from the National Association of Realtors.

No surprise, they found that the lower the inventory the higher the home price growth. Also no surprise, as inventory goes up, price growth slows down.

This all correlates with simple economic rules of supply and demand.

The interesting part of their research is this: at a certain level of inventory, prices have the potential to go down.

That level, according to their research, is six months of inventory.

That means, prices don’t have a chance of decreasing in a market until there is at least 6 months of inventory available for sale.

To put that in perspective, today there is two weeks of inventory on the market along Colorado’s Front Range.

So, there would need to be 12 times the amount of homes for sale on the market for prices to even have a chance to go down.

Market Data • April 18, 2020

Economist Q&A Webinar (Wed 4/22)

by Brandon Bidwell

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On Wednesday April 22nd you are invited to a special online event with Windermere’s Chief Economist Matthew Gardner.

He will be giving his insights into the U.S. economy and what that means for real estate along the Front Range of Colorado.

You will hear the answers to the biggest questions we are hearing from clients now like “do you think housing prices will crash?”

This event is exclusively for clients and friends of Windermere Real Estate. To receive the registration link simply comment on this blog or reach out to your Windermere real estate broker.

Many of you have heard Matthew speak at our Market Forecast events we hold each year in January. He is famous for making complex economic dynamics very simple to understand.

You will get useful and valuable information which will give you clarity about where the market is headed and when we can expect the economy to improve.

For example Matthew predicts unemployment to hit 15% by the end of June, but then to improve to 8% by year-end and 6% by this time next year.

Again, if you would like the link just comment on this blog or reach out to your Windermere broker.

At Windermere Real Estate we are taking Shelter in Place and Social Distancing very seriously. Our people are working at home, staying connected to their clients, and providing help wherever needed.

Market Data • Uncategorized • March 10, 2020

Economic Impact of NoCo’s Public Universities

by Brandon Bidwell

A recent study by Emsi illustrates the economic impact that Northern Colorado’s Public Universities have on our local economy.

Buyers • Market Data • February 2, 2020

Housing Affordability Research

by Brandon Bidwell

Housing affordability is a hot topic especially after the strong price appreciation that has occurred in our market over the last 7 years.

Here’s some interesting research on affordability…

Each quarter the National Association of Home Builders measures affordability in hundreds of markets across the Country.

Their method is to count the number of homes in a market that could be purchased with that particular market’s median income.

For example, San Francisco is the least-affordable market where only 8.4% of the homes could be purchased with their median income.

The most-affordable is Monroe, Michigan where 95.3% of the homes could be purchased with their median income.

Guess where all of the 10 least-affordable markets are. California!

Guess where almost all of the 10 most-affordable markets are. The rust belt (cities in Michigan, Ohio, upstate New York, etc.)

The U.S. average is 63.6%.

Metro Denver comes in at 55.3% and Northern Colorado at 54.5%.

So, roughly half of the homes in our market could be purchased with our local median income.

Uncategorized • January 23, 2020

Millennial Home Buyers

by Brandon Bidwell

Millennials often get a bad rap. One of the myths about Millennials is that they don’t own homes and will be renters forever.

Not true! Especially on the Front Range of Colorado.

Based on research by Chief Economist, Matthew Gardner, Millennials make up a significant percentage of all home buyers in Metro Denver and Colorado.

In Metro Denver, 50% of all buyers last year were in the Millennial demographic.

In Northern Colorado, the number is 41%.

It turns out that Millennials, as they move into their mid to late 30’s, see the value of home ownership and are at the point in their lives where it makes sense to own instead of rent.

Fort Collins Realtor • Sellers • September 19, 2019

A Closing Window

by Brandon Bidwell

For home sellers who would like to move to a new home this year, there is a window of time that is closing as we head into the Fall months.

Most people know that the Spring and Summer are the most active months for real estate and that activity trails off into the Fall and Winter.

Here are the specific numbers behind this…

The number of homes sold along the Front Range in November tends to be between 15% and 29% lower than September.

That means the best window of time for current sellers to obtain a contract from a buyer and close by the end of the year will occur over the next 45 days.

For sellers who have homes on the market today, it is time to ensure that:

The home is priced right versus the competition
All of the marketing elements are in place
It is easy for a buyer to make an offer on the home