Denver Metro Best In U.S. For Maintaining Home Values
According To A Report From Standard & Poor's
If you ask most Denver based real estate brokers today, "how's the real estate market?", you're most likely going to get an answer akin to, "Well, we're not near as bad as other areas like California, Arizona, and Nevada. Overall, we're doing pretty good". At least that's the answer you should get.
It turns out that response is very accurate. A recent Denver Business Journal article verifies that Denver metro is the best in the nation for holding home values during the current economic downturn.
According to a report put out by Standard & Poor's that analyzed housing prices in 20 major markets, Denver's home values dropped the least amount in the U.S. between December 2007 - December 2008.
If you ask most Denver based real estate brokers today, “how’s the real estate market?”, you’re most likely going to get an answer akin to, “Well, we’re not near as bad as other areas like California, Arizona, and Nevada. Overall, we’re doing pretty good”. At least that’s the answer you should get.
It turns out that response is very accurate. A recent Denver Business Journal article verifies that Denver metro is the best in the nation for holding home values during the current economic downturn.
According to a report put out by Standard & Poor’s that analyzed housing prices in 20 major markets, Denver’s home values dropped the least amount in the U.S. between December 2007 - December 2008.
“Among the 20 cities covered in the Home Price Indices report, Dallas had the second smallest year-to-year housing-price decline after Denver, at 4.3 percent, followed by Cleveland at 6.1 percent and Boston at 7 percent ... The cities with the greatest price declines were Phoenix at 34 percent, Las Vegas at 33 percent and San Francisco at 31.2 percent, S&P said.”
The article goes on to say that, ”...Denver had the second-smallest decline in existing-house prices between November and December 2008, at 1.5 percent ...”
So, maybe the sky is not falling after all? Just another reason to tune out the sensational populist media (who seems to be taking it’s cues from the current Administration). In most areas of the U.S. including Denver, the real estate market is doing well.
The price declines are attributed to the foreclosures, REO’s, short-sales, and the high-end market (it is very difficult to get financing for luxury homes these days). In areas like Highlands Ranch where distressed home inventory has dwindled significantly, stories of multiple contracts on existing homes are becoming more and more prevalent.
While today’s market is not conducive for selling a home for “top dollar”, it is certainly not near as bad as the media’s portrayal. Right now, I am advising my clients to hold on to their homes if they don’t have to sell. In fact it may be a great time to refinance your home instead.
Regards,
