Colorado Group Realty Insider - October 2021
Click to enlarge image
Unfathomable growth in real estate continues in Routt County, with overall sales volume through September at $1.23B, almost double this time last year. Although active listings in Routt County are still fewer right now than this time last year (99 vs. 158), properties continue to move through the marketplace. Pending listings county-wide are down compared to last month (39 in September vs. 58 in August). Closings are also cooling, down about 26% from this time last year, and about 30 fewer closings than last month. Of these transactions, 53% were local buyers and 47% were front range or out-of-state.
The average price for a single-family home continues to climb and currently sits at $1.46M in Routt County (vs. $1.24M last year). Local homeowner's net worth is hopefully increasing along with their home values. According to a new report from Black Knight, Inc., the average mortgage holder in the U.S. now has $173K in equity. This increase is due in large part to the upswell in home prices over the past year.
Many homeowners continue to cash out of the hot market; taking advantage of the equity they've built while keeping market activity healthy even with low standing inventory. According to data analytics company ATTOM Data Solutions, October is often the best month of the year to buy a home. According to AT TOM, who looked at sales nationwide from 2013-2020, buyers purchasing a home in the month of May are likely to pay an 11.5% premium over the list price (on average), whereas homes purchased in October are only at a 2.9% premium over the list price.
For our first-time homebuyers, please heed the lesson of Cassidy Gard (not a Steamboat local, to our knowledge): Ms. Gard was under contract to purchase a home and was planning on getting a loan to finance the purchase. She opened a Home Depot credit card to get a discount on a $9.00 can of paint, and the opening of the credit card lowered her credit score by 100 points. As a result of this change in credit, she might not end up qualifying for the loan. This lesson is important for buyers to remember to monitor their credit when trying to qualify for a loan.
We analyze the market closely to ensure that we provide our clients with expert advice. Give us a call to see how we can help you with your situation today.
CLICK HERE FOR THE FULL REPORT