Summit County Market News

The latest info – updated when I have something new to say!

 

 

April 24, 2010

Land Title Guarantee Company March 2010 Market Analysis from Summit County:

·        The prices in Summit County reflect a significant decrease: The Median Single Family average price YTD vs. 2009 Full Year is 11% down, the Median Multi-Family average price is 10% down and the Median Residential Land Price is 41% down.

·        March 2010 is flat with monetary volume to March 2009.

·        The most active price points in Summit County in March continue to be in the the$300K-$500K price range with 31% of the Residential Improved Unit percentage gross in March.

·        March was slow for $1M and over Residential Improved Unit transaction movement.

·        YTD Residential Volume had 163 transactions in 2010 vs. YTD 2009 92 transactions, with both years showing similar $ Gross Volume with 2010: $85,312,400 and 2009: $83,877,000- another indicator that prices are coming down in Summit County.

·        March 2010 is flat in monetary volume from 2009.  YTD, up 6% for 3 months in 2010 vs. 2009. March 2010 transaction volume is up 21% from last March 2009. YTD, up 14% for 3 months in 2010 vs. 2009. This trend is another indicator that prices are going down, and lower priced inventory is moving quicker than higher end inventory in Summit County.

·        The Average Price History for Real Estate Transactions based on the Residential Improved Unit Price Point Summary show that the Average Single Family price is similar to Full Year of 2006 ( 2010-$739,807 and 2006-$737,253), same with Multi- Family ( 2010-$368,479 and 2006-$333,501).

·        YTD Median Residential Price for all transactions is $419,000.

·        There were four recorded Bank Sales in March in Summit County.

·        There are 47 Notice of Election properties, 8 Certificate of Purchase and 7 properties that have gone to the Public Trustees Deed in March.

·        YTD there are 99 Notice of Election properties, 9 Certificate of Purchase and 30 Public Trustee Deeds in Summit County.

 

 

 

 

April 8, 2010            Vacation-Home Sales Rise, Investment Sales Drop
Vacation-home sales rose 7.9 percent in 2009 to 553,000 from 513,000 in 2008, while investment-home sales fell 15.9 percent to 940,000 from 1.12 million the previous year, according to NAR’s 2010 Investment and Vacation Home Buyer Survey. Sales of primary residences rose 7.1 percent in 2009 to 4.04 million from 3.77 million in 2008. Roughly one-fourth (26 percent) of vacation-home buyers and 8 percent of investment buyers say they intend to use the property as a primary residence in the future.

Homes purchased for investment purposes made up 17 percent of market share in 2009, down from 21 percent in 2008, while vacation-home sales accounted for 10 percent of transactions, up from 9 percent a year ago. The total share of second homes was 27 percent in 2009, down from 30 percent of sales in 2008.

The median sale price of a vacation home was $169,000 in 2009, up from $150,000 the previous year. The median sale price of an investment property was $105,000 last year, down from $108,000 in 2008.

 

April 1

Market Update: (in a nut shell: topsy-turvy!)

Homes (SF & duplex)    593 available   median $949,500  /   58 pending  median $750,000   /    69 sold 1st Qtr  median $628,000

Condos & townhomes   1006 available    median $415,000   /   152 pending  median $1,025,000  /   91 sold 1st Qtr  median $292,000

Lots           367 available  median $379,000    /    9  pending  median $385,000    /   16 sold 1st Qtr  median $ 160,000

Compared to March of last year, the average selling price of SF homes is down 14%, but the price of duplexes is up 12%.

         The average condo sold price increased 20%.

         The average land sale is up 34%

 

 

Home Buyer Tax Rebates are expiring soon – must be under contract by end of April & closed by end of June to be eligible for $6500 move up credit or $8000 1st time buyer credit.

 

Featured Listings:

Copper Mtn Studio ready for summer concert season!   $225,000

Wildernest 2 bedroom with lake view    $219,500

Dillon Cabins – room for lots of friends, especially in the big hot tubs   $435,000 & $495,000

Keystone romantic get-a-way   $200,000

Dillon 4 bedroom with great yard   $389,000

 

 

Mortgage Info –From Rene & Jeff Kneller, Mountain Equity Mortgage    970-513-0934

Volatility for home loan rates has already begun. The Fed did what they set out to do - purchasing $1.25 Trillion in Mortgage Backed Securities, and succeeding in their plan to lower home loan rates and help stabilize the housing sector. And even though they stretched out the length of the program slightly - in order to soften the impact of the end of the program - the training wheels are now off, the safety net is gone, and home loan rates have already moved higher. In fact - as the Fed will now gradually become a seller of their massive holdings of Mortgage Backed Securities - rates are very likely to continue to move higher still.      Even after home loan rates took a jump higher last week, they still remain at reasonably low levels - which makes right now a crucial time to take advantage of the opportunities that exist, including the Homebuyers Tax Credit which is down to its last month.

 

Ski area closings (its snowing now – should be a good end of season!)

Keystone   this Sunday  April 11

Copper Mtn & Breckenridge    April 18.

 

 

Feb 8

Real Estate Industry Reps Meet With Congressman Polis Staff on Condo Financing

Late last week REALTORS®, Title Companies, and Mortgage Brokers from Summit and Eagle Counties met with Congressman Jared Polis'(D-Boulder) staff in Frisco to discuss the difficulties of obtaining financing for condos in the mountain region. From condo-tel issues to loan limits, the industry representatives made it clear to congressional staff that the issue is far-reaching and must be dealt with. One solution discussed is that Fannie Mae made an exemption to its resort condo financing rules, and gave "special approval designation" for 52 condo projects in Miami Beach, Florida. Congressman Polis and his staff are very sympathetic to the concerns of the real estate community and are going to research how this exemption was given to the Florida resort community, and determine whether it is an option for the Colorado resort areas. Polis is also going to determine why the rules were implemented to begin with.  SAR and VBR have also included NAR staff in the discussion. NAR's lobbyists and regulatory staff are going to follow up this week with Polis' DC office.  

 

Feb 1

 

New listing  LAKE VIEW HOME  $514,950

Dated, but perfectly functional. The house next door sold in 2004 for $450,000 – just to be torn down. Last neighborhood sale $785,000.

http://summit.mlxchange.com/Pub/EmailView.asp?r=366062340&s=SUM&t=SUM

 

All listings, community info etc etc  www.GolfAndSkiHomes.com

 

Fun Stuff:
Check out the International Ice Sculptures in Breckenridge -  they should be good for the next week, then weather depending…

Feb 6 – Spontaneous Combustion – bonfire & fireworks at Frisco Marina 6-9pm

Feb 16 – Mardi Gras – look for entertainment all over, with the big parade in Breckenridge

 

 

There are now 1455 properties (homes & condos) available & 192 under contract.  39 closed in January (always a slow month).

 

2009 Summary for Summit County – From Land Title

  • Summit County ended the year with $683,009,100 in monetary volume. This is 36% shy of last year’s total. Transactions in 2009 totaled 1245, 32% shy of last year’s total.
  • The areas that show an increase in median average price for Single Family 2008 to 2009- Breckenridge at 14%, Keystone at 27%, Peak 7 ( Crystal Peak Lodge) at 33%, Silverthorne at 20%,- the total Median Price Single Family Gross Live Median increased by 4%.
  • The areas that show an increase in median average price for Multi-Family 2008 to 2009 –Copper Mountain at 21%, Silverthorne at 2% and Summit Cove at 22%-the total Median Price Multi-Family Gross Live Median decreased by 10%
  • The total Median Price for Vacant Land only decreased from 2008-2009 by 3%.
  • There were 136 Residential Improved Units that sold for $1M and over in 2009 vs. 177 in 2008 and 208 in 2007.
  • The most active Residential Price ranges in December where 200k-300k 21 transactions, 300K -400K 22 transactions, 400K-500K 21 transactions and 500K-600K21 transactions.
  • The average price history for Real Estate transactions on the Residential Improved Unit side still hold steady with 4 full years of historical data: Single Family continues to show an increase: $905,030, Multi-Family, slight decrease at $398,051- relatively flat, and Vacant Land with a slight decrease- relatively flat.
  • Year to date Residential Price Index 2009 Single Family: 392, vs. 2008 with 470, 801 in 2007 and 874 in 2006. Multi- Family in 2009-655, 1001 in 2008, 1779 in 2007 and 1978 in 2006.  Total volume for $ is obviously lower in 2009 compared to the past 3 years.
  • The YTD Price Point Summary (Cost Breakdown) for 2009 indicates a total of 1047 transactions and $615,495,400 vs. 2008 1471 transactions with $ 856,723,200 and 2007 at 2581 transactions with $1,363,450,600.
  • The Year to Date 2009 top 6 number of transactions: Breckenridge at 257, $181,981,900, Keystone at 173 transactions, $80,782,900, Frisco at 127 transactions, $57,275,800, Silverthorne at 117 transactions, $76,154,700 ,the Breckenridge Golf Course area at 116 transactions, $87,612,700 and Wildernest with 114 transactions, $34,269,100.
  • Cash transactions are still averaging around 40% each month.
  • Top Sale in Summit County: 12/21/2009 $8,285,000 Timber Trail Subd Lot 9 – 382 Timber Trail Road – 7 Brm 9 Bath – YOC 2006 – 6,565 SF on .545 Acres which is $1,262.00 PSF located in Breckenridge on Peak 8.

 

 

Jan 15

Foreclosure News -Copied from Summit Daily News today:

SUMMIT COUNTYThe local property foreclosure rate for 2009 is up about 63 percent from 2008, but it's only a few hundred homes and local Realtors aren't especially concerned.
“They're up very significantly,” said Bernie Zurbriggen, broker and owner of High Country Real Estate. “But we didn't have that many to start with.”
Of
Summit County's estimated 26,765 residential properties (with time-shares counting as one property each), about 280 entered the foreclosure process last year. That's about 1.04 percent of residences.
Colorado overall had a 2.37 percent (50,514 homes) foreclosure rate in 2009, the 10th highest in the country, according to an article in the Denver Business Journal.
While the statewide number dropped from 2.41 percent the previous year, the number in
Summit County increased from 0.70 percent in 2008.
“Our market lags in terms of turning around,” said Daniel Johnson, broker with Resort Brokers Real Estate. “When the rest of the country starts climbing, we're going to see a delay before that happens here.”
Johnson said
Summit County's residential foreclosure rate — which was at 170 by October 2009 — is “almost insignificant unless that house is next door to your home.”
Homes that enter the foreclosure process often end up getting sold for much less than they're worth.
“It makes the neighborhood look terrible, because if the guy next door sold for a lower amount of money, it sets the market,” Johnson said.
Summit County Public Trustee Bill Wallace said 300 properties entering foreclosure in 2009 broke down to roughly: 139 single-family residences, 63 time-shares, 78 condominiums, 14 vacant lots and three commercial properties.
“We had very few actually go to sale; most of them got cured. The owners worked something out with their mortgage company,” Wallace said.
Maggie Dew with Stewart Title of
Colorado's Summit County Division said that in 2009, 56 residential properties were foreclosed relative to 23 in 2008.
The foreclosure process generally starts when a borrower is more than 90 days late on a mortgage payment. A notice of election and demand is filed, the borrower has up to several months to work with the lender — depending on the situation — and if all else fails, the Summit County Sheriff's Office is sent out to evict the residents.

Juggling foreclosures, learning the system

A local resident living in a home worth more than $1.2 million ran into hard times after some high-end East Coast homes in which he'd invested were struck by successive hurricanes earlier in the decade.
“I started to see the writing on the wall,” said the resident, who shared his story under the condition of anonymity.
The man had purchased the three homes at $1.1 million, $2.3 million and $2.5 million. He repaired all three of them after two hurricanes in 2004, and they got hit again in 2005.
“I had lived there 15 years and never got hit by one,” he said, adding that hurricane insurance for each home increased from $3,500 per year to $60,000 per year.
In 2007, the man was able to sell the $1.1 million home, but the $2.3 million home was later foreclosed upon and the third remains in litigation.
As the housing market started to crumble, he tried to keep afloat by taking out a mortgage against the Summit County home for its full value (he'd first paid for it in cash), realized he needed more money and took out a second position for $500,000.
He said before the foreclosures, his credit score had been excellent.
“Since the damage was done when I stopped doing business on the East Coast properties, I had to decide what I could and couldn't afford in life,” he said. “I stopped making payments on this house as well.”
Before the foreclosure on the local home, which remains on the foreclosure list, he said his lender wasn't especially open to negotiations. But in recent months, the talks have improved. He's not worried about getting kicked out of the house.
“I know exactly where I sit in regard to where the laws are,” he said. “Everything down to the specific day can be remedied.”

Robert Allen can be contacted at
(970) 668-4628 or rallen@summitdaily.com.

 

Jan 1

 

Happy New Year!

 

2008 & 2009 were slow years… after the excitement of 2006 & 2007. 2006 was the busiest year we’ve ever had, but the average transaction price peaked in 2008. Although the number of sales in 2009 was down 65% from 2006, the average transaction price increased 34% in the last 4 years. Inventory is still high, but buyers do seem to be regaining interest, so I expect prices to stay fairly flat in 2010, and stay flat until the number of buyers & sellers evens out… then expect prices to increase (my crystal ball says summer 2011).

   Although the sale price to asking ratio looks pretty strong, the majority of listings took some pretty big price cuts since 1st entering the market. The final sales price of SF homes in 2009 was actually only 82% of the original asking price. Expect to negotiate!

 

Statistics 2009 year end compared to previous years

 

Featured Listings:  

Just Listed:  Copper Mountain ski condo only $225,000 – walk to slopes & village

Affordable 2BR condo with big views  $224,500

Keystone – views & easy ski access   $200,000

Dillon Cabin with 2 living areas  $439,000

Room for the generations -  and a great money maker   $495,000

 

Lowe’s coming soon? Looks promising! The home building supply chain wants to open in Silverthorne at Wildernest & Adams Sts where the old car dealership was. Home Depot has been talking (for years) about building across the road from this location, but never seems very organized. In contrast Lowe’s is acting very serious and is actually moving ahead with the town approval process very rapidly. If I got to make the choice – I vote Lowe’s! Not only are their products more interesting (good experiences with remodels) but the location is better – there is already an ugly building here that needs to go away and there will be much less impact on the Blue River.

 

Computer advice for XP users – how to speed things up. Worked for me!  http://www.summitdaily.com/article/20091228/NEWS/912279994/1004&parentprofile=1055

 

 

Dec 1

 

Happy December! That means that the county is out of the between season doldrums and stuff is happening! All ski areas are open, and even though we haven’t had much real snow fall the nights have been cold enough to cover the ski runs with plenty of man made snow, and even to freeze the skating ponds (Keystone & Meadow Creek Frisco are open).

Tonight (Thurs) is the Lighting of Dillon, with music, Santa, reindeer & a Christmas Tree Fundraiser for Advocates for Victims of Assault. Celebration starts at 5:30 pm at Riva del Lago (bowling alley building).

Tomorrow (Friday) – being the 1st Friday of the month… is “1st Fridays in Dillon”, the social/artists gathering at the Dillon Arts Center on Village Place across from Pug Ryan’s. 6-9pm

Breckenridge’s holiday kick-off is Saturday at 4:30pm, with free cocoa & cookies at north end of Main St, then follow Santa & carolers thru town to the lighting of the town tree. Donations to the FIRC food bank will be accepted at the fire station & along Main St.

Winter Event Schedule

 

-----------------------------------------------------------------------------------------------------------------

Market Update – Local

Condos    sold in past year      400    median price $308,000

                               2008            692                              347,500

                               2007          1209                              319,000

                               2006          1399                              247,500

 

Homes     sold in past year       351                              735,000      (single family and duplex)

                              2008             427                               713,000

                              2007             660                               690,000

                              2006             750                               617,500

 

If next years market is comparable to this year – we have a 23 month supply of condos, and a 21 month supply of homes. The supply is slowly coming down, but we are still in a buyers market.

We still don’t have many foreclosures to contend with, since values are significantly up from just a few years ago, and few owners purchased with less than 20% equity to start with…

 

Market Update – National

Pending Home Sales Continue to Show Gains
The Pending Home Sales Index, a forward-looking indicator based on contracts signed in October, rose 3.7 percent in October and was 31.8 percent higher than October 2008, NAR reported this morning. It is the ninth consecutive month that the index increased.

The index showed gains in three of the four regions of the country. In the Northeast, it climbed 19.9 percent during the month and was 44.2 percent above a year ago. In the Midwest, the index rose 11.6 percent and was 36.6 percent higher than October 2008. In the South, it increased 5.4 percent and was 31.6 percent above a year ago. However, the index fell 11.2 percent in the West, but was 21.9 percent above October 2008.

NAR chief economist Lawrence Yun says that despite these gains, home sales could dip in the coming months. “The expanded tax credit has only been available for the past three weeks, but the time between when buyers start looking at homes until they close on a sale can take anywhere from three to five months. Given the lag time, we could see a temporary decline in closed existing-home sales from December until early spring when we get another surge, but the weak job market remains a major concern and could slow the recovery process,” Yun says.

Mortgage Rates:    In Freddie Mac Primary Mortgage Mkt Survey (for the week ending November 27) in which the 30-yr fixed-rate mortgage (FRM) avg. 4.83%.  The 30 yr has not been this low since the week ending April 30, 2009 when it avg 4.78%.         The 15-year FRM this week avg 4.29%. A year ago at this time, the 15-year FRM avg 5.74%.       The five-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) avg 4.18%. A year ago, the 5-year ARM avg 5.86%.

-----------------------------------------------------------------------------------------------------------------------------

2 Million Americans Expected to Take Advantage of Extended, Expanded Homebuyer Credit     

RISMEDIA, December 2, 2009—More American homebuyers will get tax relief thanks to changes made to the First-Time Homebuyer Credit. H&R Block advises the popular credit is now more accessible to existing homeowners and first-time homebuyers in three ways:

1.      Through a tax credit worth up to $6,500 for existing homeowners in the market for a new home.
2. Through a new closing deadline of April 30, 2010- extended from Nov. 30, 2009- for the $8,000 First-Time Homebuyer Credit. Also, a special provision gives taxpayers two extra months to close if they’ve entered into a contract by April 30, 2010.
3. By increased phase-out limits that start at $125,000 for singles and $225,000 for married filing jointly- up from $75,000 and $125,000 respectively. The new limits apply to homes purchased after Nov. 6, 2009.

Read more: http://rismedia.com/2009-12-01/2-million-americans-expected-to-take-advantage-of-extended-expanded-homebuyer-credit/#ixzz0Ye9snnNf

Nov 1

 

Happy Halloween!

Some might say its still officially fall, but winter has hit the mountains. A Basin & Loveland are already open, Keystone moved up its opening date to Nov 5, Copper Mtn Nov 6, Breckenridge Nov 12.

 

In the past 2 weeks:
39
properties came on the market, priced from $143,900 (a 296 sf condo in Breck) to $2,175,000 (new ski-out home at Copper). Median price $499,900

84 listings had price reductions, 1 price was increased.

51 listings went under contract (36 of those had price reductions).  Median $440,000

54 sold.  Median price $377,500

Take your pick  - there are now 1709 properties available to choose from! But since more are selling than being listed, and the price of those sold is increasing… what are you waiting for? (Inventory to go down and prices to go up is not the right answer!)

 

 

Home buying incentives: Yippee!

The senate has voted to extend the 1st Time Home Buyer tax credit ($8000), and add a repeat buyer credit ($6500) for those who have been in their old homes more than 5 years.

More good news – they also voted to keep the loan limit for conventional loans at $729,750 until 2011, allowing borrowers to pay lower interest rates than if the loan was considered a ‘jumbo’.

More info from CNBC  http://www.cnbc.com/id/33542094/site/14081545/for/cnbc/

 

 

News from the governor:

Last week we learned Colorado's unemployment rate has dipped to 7%, now nearly 3 full points below the national average of 9.8% -- and lower than all but a dozen states' unemployment rates.

Forbes.com and CNBC both rank Colorado among the top five states in which to do business. Many experts believe our diverse economy will help Colorado emerge from the national recession sooner and stronger than other states.

 

Featured listings: always available at www.GolfAndSkiHomes.com

Keystone ski condo has easy access to slopes & entertainment  $215,000/$200,000

Wildernest 2 bedroom just updated $224,500

Dillon rental giant – 2 homes in one  $439,000

Downtown Dillon for the ultimate carefree vacations  $315,000

The least expensive 4 bedroom home in the county  $378,000

 

What else would you like to know? Just ask!

 

 

 

Oct 14

Looking to make home improvements to help keep energy costs down this winter? The federal government is offering some financial incentives in the form of tax credits. The credits can be claimed on a homeowner's income taxes for 2009 or 2010, whatever year the improvements were purchased. With a credit, the amount comes off any taxes you owe. Also, the credit is nonrefundable, meaning it allows taxpayers to lower their tax liability to zero, but not below zero, according to the Internal Revenue Service. Upgrade your insulation, windows, doors, roofing, heating and air-conditioning system or water heater, and you could qualify for a federal tax credit for 30% of the purchase price of the product -- up to a $1,500 maximum credit. To qualify for the credit, you must place those purchases in service between Jan. 1, 2009 and Dec. 31, 2010. "The $1,500 cap applies to the aggregate amount of credits claimed in both years combined," says Robin Christian, senior tax analyst at the tax and accounting business of Thomson Reuters. "Also, only improvements made to your principal residence qualify -- vacation homes are not considered."

Details on which products qualify can be found on the Environmental Protection Agency's Energy Star program Web site. Some stores also post information. For instance, at Home Depot's Web site, there's a link to a list of specific products that qualify. Click on "Tax Credit Eligibility."

No Cap on Bigger Items - For typically more-costly improvements -- including solar water heaters, solar panels, small wind-energy systems and geo-thermal heat pumps -- the credit is for 30% of the purchase price, with no cap, according to energystar.gov. Fuel cells also are covered, at 30% of the cost, up to $500 per 0.5 kilowatt of power capacity. Credits for these improvements are available through 2016, but you must claim them for the tax year in which you made the purchase. And all but the fuel-cell equipment can be used for a vacation home as well.
One note: To qualify for the credits, all of the products must be used inside a home. Also, the federal tax credits don't always cover the cost of installation. The installation costs for heating and cooling systems and some other higher-cost improvements qualify, according to the Energy Star site. But installation of windows, insulation, doors and roofs doesn't.

 

 

 

Oct 5

 

Forbes slide show: Where Home Prices are Hitting Bottom

 

RE Stats – 3rd quarter: Average sale prices close to those of 2006, with much less volume.

 

Interest Rate prediction:  Stewart Title’s economist hosted an info session for Summit Realtors yesterday – and scared us all with the prediction that mortgage rates (30 year fixed) will be 6% by Christmas (that’s a weird financial marker!) and will hit 7% sometime next year. Which doesn’t sound all that bad, in fact its still historically very low, but it will definitely impact purchasing ability. Consider: if you are looking to buy with a $500,000 loan it would currently cost you $2653/month (4.9%). At 7% your payment would be $3326. If you have been approved for a $500,000 loan at today’s rates, then in a year you will only be qualified for $398,766 – that is 25% less house!

 

 

 

Sep 28

Financial Benefits of Home Ownership

There are a number of personal and emotional reasons to buy a home. But there are also some strong financial reasons to make the investment. In addition to exceptional home affordability and near historic interest rates, here are some important financial benefits of owning a home:

Increased Net Worth: Few things have a greater impact on net worth than owning a home. In a comparison of renters versus homeowners, the Federal Reserve Board of Consumer Finance found that the average net worth of renters was just $4,000 compared to homeowners at $184,400.

A Big Tax Deduction: One of the largest tax deductions available is the amount of interest paid on a mortgage. In fact, a $150,000 home at a 5.50% interest rate can add up to approximately $8,000 in first year's interest. This amounts to a significant savings - effectively reducing the amount of a homeowner's monthly loan payment.

Long-Term Appreciation: Over the last few years, home prices have corrected and become more affordable. While that's good news for potential buyers, it has overshadowed the long-term appreciation of a home's value. The reality is, despite market ups and downs, real estate historically appreciates around 6% per year. Even if you calculate a modest appreciation of 3%, a home purchased today for $150,000 should grow in value to $364,000 over 30 years.

$8,000 Tax Credit: Don't forget, the government is offering an $8,000 tax credit for first-time homebuyers - or for folks that haven't owned a home during the past three years. However, the program is scheduled to end soon. In fact, the Internal Revenue Service recently reminded potential buyers that they must complete their first-time home purchases before December 1, 2009 to qualify for the special credit, which means the last day to close on a home and qualify for the credit is November 30, 2009.

 

Rate Review

In Freddie Mac Primary Mortgage Mkt Survey (for the week ending September 25) in which the 30-yr fixed-rate mortgage (FRM) avg. 5.04%. Last year at this time, the 30-year FRM avg 6.09%.

The 15-year FRM this week avg 4.46%. A year ago at this time, the 15-year FRM avg 5.77%. This is the lowest the 15-year FRM has been since Freddie Mac started tracking it in 1991.

The five-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) avg 4.51%. A year ago, the 5-year ARM avg 6.02%.

The one-year Treasury-indexed ARM avg 4.52%. At this time last year, the 1-year ARM avg 5.03%.

 

 

 

Sep 21

First snow! Blew in quickly this morning, we now have a white coating on the hillsides (but just wet roads). With this weather I don’t expect the aspens to hang on too long, so get out you camera now! There is some blue sky peaking through now, but we are expecting a chilly week.

If you want to combine 2 lookyloo sports this weekend, do the Parade of Homes tour (Sep 26/27). SDN article on winners  http://www.summitdaily.com/article/2009909189991

Curious? Come pick up a magazine/tour guide at my office.

 

Sep 12

 

The leaves are turning… next weekend should be good for color viewing. We never know how long the colors will last though – depends what falls from the sky. Expect more crowds than usual on Independence Pass – recent article in Forbes says its one of the best fall drives in the country.

 

Condo activity is picking up as bargain hunters prepare for ski season. Not much action on homes though, and no one is even looking at lots…

 

 

Sep 4

 

Bargain homes: http://summit.mlxchange.com/Pub/EmailView.asp?r=923264895&s=SUM&t=SUM

Short Sales: http://summit.mlxchange.com/Pub/EmailView.asp?r=612027243&s=SUM&t=SUM

        Short doesn’t necessarily mean cheap – you still have to do your homework! Only very patient buyers should try this process.

 

Aug 26

 

Ski Passes on sale, expect prices to increase Labor Day 

Keystone/Breck/Vail  http://www.snow.com/passsales/default.aspx?cmpid=ESS00010

Copper Mtn  http://www.skicolorado.com/?crmcontact=1247750&crmpas=CRM_CW_PSP_06_E1_090824

 

 

“Affordable Housing” – Silverthorne is postponing development of the Smith Ranch neighborhood (50 acres next to Willowbrook) until the economy picks up, but is making progress on Solarado (jointly with Dillon). Solarado is only 8 units with average price of $250,000.

 

US map shows foreclosure rates, unemployment & income by county. Summit Co is hard to find – it’s the little squiggle to the right of Eagle Co, above Park Co.    Shows 1 in 1,486 homes in foreclosure here

 

Inexpensive investment/vacation properties:  http://summit.mlxchange.com/Pub/EmailView.asp?r=1438586224&s=SUM&t=SUM

    Cost/income estimates: http://lakedillon.com/web/investmentincome.htm

 

 

Aug 14

Overlooking Lake Dillon  $890,000  http://www.mtnhomes.com/index.cfm?action=propdetails&id=659158&quicklinkid=659158&shownav=no&404

 

Quick Stats Quarter to Quarter Analysis   from Title Company of the Rockies                                             
Transactions Second Quarter 2009 vs. First Quarter 2009                                
        Property Segment       
Area                                  Single Family   Duplex/Triplex  Condominium     Townhouse       Commercial      Vacant Land     Misc    Area Totals    
Breckenridge - Blue River       ▲                        NC                     ▲                  ▲                 ▲                   ▼               ▲            
Copper Mountain Area             ▼                      NC                     ▲                   ▲                 NC                   NC               NC            ▲
Frisco                                    NC                    ▲                        ▼                 ▼                  ▲                   NC               NC             
   
Keystone Area                         ▼                    NC                       ▲                 NC                  NC                   ▼               NC            NC       
Silverthorne - Dillon                 ▼                   ▲                        ▲                  ▲                  ▲                   ▼              NC             ▲

July 30

We are seeing more properties go under contract every week. There are finally more listings going off the market (pending or withdrawn) than coming on (active & re-listed). Inventory levels are still high, but it’s nice to see them dwindling.

 

FIRESALE! River Bank Lodge in Keystone  $215,000 (last sale was $252,000). Spectacular views, walk to gondola & all River Run activities.  Be in for the holidays… coming up sooner than we think!

 

 

General RE News:

 

From CBS news July 23;

The U.S. housing market has started to recover from the most far-reaching crisis since the Great Depression, data released Thursday show.

Sales of previously occupied homes rose for the third month in a row in June, the National Association of Realtors reported. That hasn't happened since early 2004, during the boom.

"The turnaround in the housing market appears finally to be here and indeed may be gaining some speed," wrote Joel Naroff, president of Naroff Economic Advisors Inc.

Stocks jumped on the news, with the Dow Jones industrial average rising above 9,000 for the first time since early January.

Home sales rose 3.6 percent to a seasonally adjusted annual rate of 4.89 million last month, from a downwardly revised pace of 4.72 million in May. Sales were up in all four regions of the country.

 

Daily Real Estate News  |  July 20, 2009  |  

Housing Experts: Now Is a Perfect Time to Buy
but that opportunity may be slipping away.
For people who have a job and money, a dream house is within reach, writes Marc Roth, founder of Home Warranty of America and a columnist for BusinessWeek.
He points out that mortgage rates remain low, prices are still at historic lows, and the government is offering incentives for first-time homebuyers.
He also adds that the inventory of homes to buy is still large, but it is shrinking. According to the NATIONAL ASSOCIATION OF REALTORS®, the housing inventory peaked in November 2008 at an 11-month supply. At the end of May 2009, it had fallen to a 9.6-month supply.
Roth says anyone who dallies will miss a good opportunity to buy a first home at a terrific price or go shopping for a move-up property that is a great buy.
Source: BusinessWeek.com, Marc Roth (11/17/2009)

 

 

 

July 20

In Summit County, there are now…

1204 condos for sale, 161 under contract, and 153 have closed in the 1st half of the year with an average price of $414,392.

     Under Contract (I like to follow this since it shows what buyers are attempting to do right now):

      The median price is $1,025,000; price range $123,000 - $3M. This is abnormally high now since about half are new construction on the

       ski run in Breckenridge.

890 homes for sale, 53 under contract, and 119 have closed with an average price of $952,267.

      Median price of those under contract is $710,000, with a range of $299,000 - $2,995,000.

 

Showings have picked up in the last couple weeks as more visitors are here escaping form the heat in Denver, Texas & Arizona. Tourists are taking advantage of the free concerts & art fairs, but I heard that the Keystone Wine Festival had a good turnout too, even though the cost doubled this year (yep, I’m surprised). Between events they are finding time to look for vacation homes, but then are in no rush to pick one.

 

June 22

New lake oriented listings in honor of summer:

Marina Place 2 bedroom  - great shape, perfect location for summer fun 

Not on the market yet – 5 bedroom home with the best views in the county (in my opinion!): lake, marina, 2 mountain ranges… Completely redone interior. Expect $900,000ish.

 

In the last week: there have been 100 new listings added to our inventory, 45 taken off the market, 26 put under contract, and 12 closed. I like the contract to closed ratio – things are definitely picking up! Still a lot of inventory…

 

Fun stuff:

Arts & hors d'oeuvres– check out local photographers & artists at Dillon’s 1st Fridays  on the 1st Friday evening of the month at La Riva (AKA Dillon Center), Main St, Dillon

The Old Dillon Inn, Silverthorne’s historic roadhouse, will be reopening soon (as soon as they get their liquor license). Don’t expect anything fancy; it will still have that rustic cowboy feel & a muddy potholed parking lot.

 

 

June 6

It doesn’t matter what the calendar says – once the marinas are open its summer in Summit County! So go marina hopping – the water taxi is now operating between Dillon & Frisco. Lunch at the Tiki Bar, happy hour at the Island Grill…  Did you know that the Dillon Yacht Club is the highest in the nation? Don’t we feel special!

Summer events are now getting under way – lots of fun stuff going on, from art shows to BBQs to concerts… To help with your plans I have listed (what I think are) the most interesting happenings around the county as well as ideas for ongoing fun stuff :  www.GolfAndSkiHomes.com Recreation & Events link

 

May 21, 2009

“Denver is the nation's top city on the verge of recovery, according to a segment that aired Tuesday May 19, 2008  on the "Today Show" featuring real- estate contributor Barbara Corcoran.  Corcoran said the city ranks No. 1 ahead of Raleigh, N.C.; San Francisco; Seattle; and Austin, Texas.     Indicators that a city is on the rebound include job growth, population growth, lots of first-time homebuyers, no overbuilding of condos or offices, a vital downtown, a well-educated population and a large number of foreclosures coming early in the cycle. "Everything about the city is pointing up, up, up," Corcoran said of Denver.” The Denver Post
Good news for us, since many of our buyers/owners are from the front range.

 

May 9, 2009

Bargain Hunter Alert -  Frisco Bay Townhome short sale! Looking for $325,000 – but we really don’t know how much lower the bank will go until we negotiate. This really is a great deal – the last home in the complex sold for $372,000 – and this one has more upgrades & updates (river rock fireplace, granite counters, newer appliances…). 3 bedrooms, 2.5 baths, 1 car garage, 2 lake facing decks… and view to the lake & marina (easy walk to the Island Grill!).

Why is this such a bargain? Because so few people are making decisions these days, we need to do something to get you off the fence!

Its Saturday, and the phone just ain’t ringing… which baffles me. Interest rates are awesome, tax credits are great, selection is very good, the stock market is making (me) money, but people are still pessimistic. The good news is that the Denver real estate market is on an upswing, and that means those owners – who are most of our buyers – are feeling better about their equity. That means they have down payments for vacation homes…

 

Lake news: The water at the Dillon Marina is open, and there are boats in already (not that they’re going anywhere). The water level is looking good with all this run-off (so don’t try hiking off trail yet – its still pouring down the hillsides). Tiki Bar opens Memorial Weekend!

 

May 1, 2009

Owners: your property tax info is on its way… and will probably show an increase in the value of your property. The assessments are based on supposedly comparable sales from Jan 2007 – June 2008. If you think your valuation is too high I can give you a list of what the assessor should have been using as your comps - which you can use to argue. More info – Summit Daly article: http://www.summitdaily.com/article/2009904309940

 

For rent: 4 bedroom home in Frisco  $2200/month. Or $2600 furnished. Long term.

                  Keystone 1 bedroom at River Run Village. $950/month. Avail thru November.

If you know someone… please pass on my number!

 

My favorite listings – not necessarily my own – I just think these are great deals!

 

 

April 20 

Activity as I see it… We still aren’t getting many 1st time callers, but property showings are picking up – which tells me that the people looking have been thinking about it for a long time.

  But there are a lot of people researching on their own, though not ready to tour properties or even ask questions (if the 4211 hits on my web sites in March are any indication).

  More deals are falling apart these days in the 1st week of contract, since even though the buyers & sellers are coming to terms, the lenders aren’t cooperating. Many times the issue is that the lender won’t approve the condo complex, since in other parts of the country homeowners associations are in trouble. Not the case here – but the money guys don’t look at individual markets. And although Fannie & Freddy have cancelled their ’no more than 4 loans per borrower’ policy, the money sources are still refusing to make loan #5.

  Unfortunately many of the would-be buyers have properties they need to sell first (those who have always dreamed of retiring here, investors from Florida & Arizona where things just aren’t selling, and locals who see that they finally have some good options to choose from). So well qualified buyers who don’t need to sell & that have good local lenders are in excellent negotiating positions.

  The 1st time buyer credit (below) should encourage many local buyers, but it seems that they are so freaked out by the national media that they aren’t willing to make any decisions yet (yes, the national foreclosure & appreciation rates are lousy, but Colorado is doing better than most).

High inventory + historically low interest rates = a great time to buy. If I didn’t already have 4 mortgages…

 

 

Absorption Rates: the latest catch phrase to describe what’s happening in the real estate market. The absorption rate tells us how the supply is in relationship to demand. Six months’ supply is considered a balanced market — when the number of listings roughly equals the number of buyers. Numbers over six represent a buyers’ market and those below a sellers’ market.

Current Summit County absorption: homes-  21 months      condos-  15 months

   Looking for the strongest buyers market – where (theoretically) sellers will be more willing to negotiate?  Keystone homes: 40 months – ouch! Frisco homes – 29 months. Copper Mtn condos – 24 months. Breckenridge condos – 22 months.

   The best absorption rates (strongest markets) are Dillon & Wildernest condos – 10 months; Dillon homes – 14 months.

 

 

 

Is the Real Estate Market Bottoming Out? It looks like it may be here: article from the Summit Daily News on the Summit & Colorado market.

 

1st time home buyer tax credit – or haven’t owned in 3 years? (from Jim Doyle, Lake Dillon Mortgage  970-468-9402)

A new bill provides for a $8,000 tax credit that would be available to first-time home buyers for the purchase of a principal residence on or after January 1, 2009 and before December 1, 2009. The credit does not require repayment.  It can be claimed with the filing of either 2008 or 2009 taxes.   And can be claimed on the  tax return to reduce the purchaser's income tax liability. If any credit amount remains unused, then the unused amount will be refunded as a check to the purchaser. This tax credit is what's called "refundable" credit. Thus, if the eligible purchaser's total tax liability was $6000, the IRS would send the purchaser a check for $2000. The refundable amount is the difference.

 A person is considered a first-time buyer if he/she has not had any ownership interest in a home in the three years previous to the day of the 2009 purchase.

 There are income restrictions based on the purchasers tax filing status. Individuals filing Form 1040 as Single (or Head of Household) are eligible for the credit if their income is no more than $75,000. Married couples who file a Joint return may have income of no more than $150,000. The credit does not totally go away at those income levels but  phases-out between $75,000 - $95,000 for singles and $150,000 - $170,000 for married filing joint.

 

 

Statistics – details of past 3 years

Trends – an overview of the past 10 years

 

“Be fearful when others are greedy and greedy when others are fearful.” 

Warren Buffet

 

 

Laura Champe    laura@lakedillon.com   www.GolfAndSkiHomes.com   970-390-9321