My Boulder Market Analysis is here, you will be pleased to know! 🙂
As you may remember (or still be carrying “buyer trauma” from) the market was at times a little crazy in 2013. This Boulder market analysis will likely confirm all that the Realtors, Buyers and even Sellers could “feel” at the time it was happening.
It’s a rear view mirror perspective, taking in the whole of the market in Boulder. The Boulder market analysis is a good start, but Boulder is a decent sized city, and as such you will want to contact me for more specific information regarding your price range and/or neighborhood, if you are seeking to purchase or sell in 2014. We can go over year-to-date and current conditions together.
These first two charts are Boulder detached dwellings. Single family residences.
The bars indicate the number of units sold and as you can see, Quarters 2 and 3 are consistently when the most number of transactions close. Bear in mind, it is expected that each transaction will take on average, 4-6 weeks to close from the time a contract is accepted. That means now is the time to get ready!
Also note the green line, which is the percentage change since the same time last year. It has barely dipped below zero (no change) in the last two and a half years, meaning the volume of transactions has been increasing year over year, almost exclusively.
As a Seller or Owner, this Boulder market analysis is music to your (my) ears. The green bars are the median sold price. It peaked over $650,000 this summer! Again an indication of a thriving Boulder real estate market. Yes Buyers, it’s becoming harder to afford a detached home in Boulder, I get that. But once you are in (the sooner the better too) you are typically pretty happy with the performance of your investment. I use median not average sales price in order to avoid outlying sales, low or high, skewing the overall data results. You will see how important this when I post the market analysis for the smaller towns like Louisville, who have far fewer transactions by which to analyse the market. So, just for kicks… What was the average sold price of detached dwellings in Boulder in 2013? In Q4 it hit $805,000!!!
Now lets take a look at the dark blue line on the above chart. This is the average days it takes to get an accepted contract. I use this measure instead of average days on market (ADOM) because I know you are all wondering if the Boulder market analysis is going to confirm that you were not going crazy… That indeed every time you wanted to see a property you found, it was already under contract or had 3 offers on the table. Average days on market would include the 4-6 weeks it takes to get to closing too. Holy moly! Like a run-away train, the market has been getting faster and faster. Maybe you have the same question I had… It still appears that it takes longer than 20 days to get a contract? Well, don’t forget it’s the average. Even in a hot market you will find crappy houses! LOL. Those completely overpriced, showing poorly or hard to show, located unfortunately and failing to market appropriately will sit and sit – and affect the average days to contract. (Don’t forget that the Boulder market analysis cannot differentiate or compare a properties condition, location, size etc. For that, you need a Realtor’s help… Choose wisely then let them use their experience, local market knowledge and skills to advise you intelligently.)
Now lets look at attached dwellings. Condos, townhouses and those that look like townhouses, but call themselves condos!
We see that unmistakable pattern of high volume transactions in the summer and increasing volume every quarter since early 2011, just like in the Boulder market analysis for detached dwellings.
Do you know what I love about this chart in particular? Back in April 2012, I felt like the market turned on a dime.
For about 2 years it had been a buyers market. Inventory was high and DOM was high too. If you had a home in the $1m+ range, you put your home for sale and didn’t dare to think you would actually be moving soon! Then all of a sudden, with historic low interest rates and a feeling of more economic stability, buyers jumped out of the woodwork or off the fence and began snapping up properties. April 2012 was the month I felt a buying frenzy begin and this chart gives validation to my gut instincts.
Condo and townhouse owners in Boulder, this chart is good news for you. The Boulder market analysis for attached dwellings indicates a thriving market if you are thinking of selling and a solid investment strategy if you are considering expanding your portfolio or downsizing from a single family house. If you are the first time buyer looking at condos and townhouses, there are idiosyncrasies about buying in some complexes… We should discuss these so that you have all the information you need to make big financial decisions, intelligently.
Final word:
Buyers… You are not alone if 2013 didn’t yield a successful transaction. 2013 was a physically and mentally challenging year in real estate for Buyers! Competition for 2014 is still lurking and being prepared is one of the approaches we will take to get you into your new home this year. It’s worth the effort and the wait. 🙂
Sellers… 2013 was good to you and you didn’t even have to work to hard for it! Buyers came to you. They were easily qualified with lower interest rates and they brought you contract after contract, competing fiercely with each other. There is no reason to think that 2014 won’t be a great market too, but in my opinion, it’s not going to be a repeat of last year, so get prepared to work a little harder for that handsome reward. I can still find you qualified and enthusiastic buyers. In fact I have a bunch lined up and waiting for inventory to appear…. Maybe I already have yours?