When Is The Best Time To Buy Denver Real Estate?

One investor I know is buying his third home in the same block. He apparently thinks the time to buy Denver real estate in now. My guess is that he has considered the following facts about our market.

* Interest rates are extremely affordable.

* The Denver market is flooded with too many sellers and not enough buyers. (We are experiencing a strong “Buyer’s Market”)

* Most sellers that have been listed on the market for more than 30 days consider any offer seriously. * Many sellers are willing to sell below their properties “fair market value” when a seriously qualified buyer shows up with an offer to buy.

* Many sellers are initially pricing their homes below recent appraised values.

* Denver numbers for homes under contract are increasing again. (For the first time in months, we just saw an increase in the number of under contract properties in February 2008 as compared to February 2007. - An increase of nearly 12% throughout metro Denver.)

* Our metro Denver market was more stable than many other major city markets. Although we did not see run away appreciation in the last five years as did many other cities, we also did not experience the bottom falling out in the past couple of years either. Denver is a safe place to own real estate.

* Property values have stopped declining in the better neighborhoods throughout metro Denver.

* Buyers, as a general rule, are still quite nervous about buying. (When buyers across the board believe the water is save, home prices will have already appreciated in Denver by thousands of dollars on each home. - The buyers are always behind the market.)With 30 years of Denver real estate experience, I have seen several cycles in the Denver housing market. What I see happening today in our market makes me believe that today is the right time to be buying homes in Denver. My prediction is that today you can buy Denver real estate at the lowest prices we will see. Prices in better Denver neighborhoods will go up, not down, from here. Let’s see how accurate I am as I quote home values as shown in the MLS system in future blogs.