Read the Full newsletter here: 2017.08.11 – Friday Flyer
No longer the darling of real estate rankings, Denver is now being labeled “Overvalued”- meaning that home prices are at least 10% higher than what is considered to be a long term, sustainable level. We share this label with Houston, Miami and Washington D.C. While we have experienced a slow-down in the market, especially with high-end homes, we all know that this is still a great place to live and people want to live here.
Clash of Generations. The inventory of homes for sale nationwide is at a 20 year low. It’s nice when your own house goes up in value, but not if the house you want to buy costs more than you can afford? For this reason, few are selling, especially Baby Boomers, who should be down-sizing, but instead are opting to stay put. However, Millenials are keeping the wheels turning since they are getting anxious to move-up from their starter homes.
The hidden costs of home ownership. Property taxes vary by state. Colorado’s property taxes are relatively low, with an effective tax rate of 0.60%. Just next door, Kansas’ rate is 1.40%. With a medium home value of $335,100, the tax equates to $2,011/year for Colorado. If we had Kansas’ tax rate, it would be $4,691. Or, even worse, if we had New Jersey’s tax rate of 2.35%, our property taxes would reach $7,875/yr. Check out the states with the highest property tax rates. Let’s keep Colorado’s taxes low!
QUOTE OF THE WEEK:
“In school, you’re taught a lesson and then given a test.In life, you’re given a test that teaches you a lesson.”
Tim’s Real Estate Weather Report