Here are five reasons our market is so crazy right now.
If you haven’t noticed, the northern Colorado market is crazy right now, and there are five key reasons why that is:
1. Historically low inventory. There are several reasons why there are so few homes available, which I’ll discuss in a future video. In short, when there’s a ton of demand and not enough supply to keep up with it, it’ll make for a hot real estate market.
2. Sellers are hesitant. Many sellers know that they can get a great price for their homes, but they’re concerned that because inventory is low, they won’t be able to find another home to buy. This further contributes to low inventory.
“Using cash offers and offering cash above the appraised value of homes has made the bidding wars in our market intense.”
3. Historically low interest rates. Rates are scheduled to stay low for quite a while, according to the Federal Reserve, which means buyers have increased purchasing power.
4. Equity transfer. Many people are selling their homes and pulling a lot of equity out of that sale. Then they bring their extra cash to northern Colorado to find a home to buy. Using cash offers and offering cash above the appraised value of homes has made the bidding wars in our market intense.
5. Northern Colorado is one of the most popular places to live in the U.S. Fort Collins was once again ranked the No. 1 city to live in in the country. That, coupled with people’s ability to work remotely, has increased the appeal of northern Colorado, where we have a strong economy, great weather, and top-notch schools.
Our Realtors are available to answer all of your questions.