Tag Archives: Stat Pack

Appreciation Watch: Phase One

Real-Life Stories of the Real Estate Professional. I’m out previewing on Monday, looking in N/E at two bank-owned properties that match the needs of two separate buyers, both ready to buy, now. Both seem exceptionally under-priced, one on Downhill at $139,000 with a four bedrooms and a two-car garage, and another on Bridle near the Garden Ranch Y at $111,000. When setting up the Downhill showing, I’m told there are two other showings during my requested showing window, and wanting no part of that, I re-arrange my afternoon to go by when there is less likely another looker. No such luck. I swung by around 4 pm, and standing in the doorway of the house was a nose-tackle-sized man, literally snarling at an approaching agent leaving his Audi with buyers in tow. It appeared that the man in the doorway was resorting to menacing looks of nastiness to scare away other suitors on his repo-dream. Since I was driving by representing both buyers three and four, when I notice a Yukon also parked in front with another set of buyers, I realize that’s buyer five. At 4 pm in the afternoon, there are five buyers looking at the same property. Supply and Demand at work.

I headed over to Bridle. A roofing truck was leaving that place, there was a guy walking around the front yard aimlessly with an MLS sheet, and two of Hannah’s clients were standing outside their car waiting for Hannah. Dumb luck, I’m unknowingly showing what Hannah is showing, at the same time. Since I was driving a borrowed vehicle, I decided to have some fun at Hannah’s expense. Her buyers had not looked at houses in awhile and were awestruck by the circus-like atmosphere at this house with buyers coming and going everywhere. I pop out, said hi, and asked, “you know I’m looking at this too, and I have the combo. Do you want to join me?” They seized the chance, and I timed it perfectly so that I was just inside leading them through the door when Hannah pulled up. Sensing an agent out prowling the bank-owned’s looking to steal her buyers, Hannah leapt out of her car ready to scrap. She still about punched me when she found it was me pulling one over on her.

This is the world of inexpensive, bank-owned properties in Colorado Springs. They all have multiple offers, they all have lovely features like no 220 for a dryer or planked-over patio door because the entire deck is ripped off… and they all end up selling, way, way over asking price.

The reason is that supply is non-existant under $200,000 and there are almost as many buyers this year as there were in the tax-credit fueled season of 2010. That season was fueled by the false motivator of the $8000 tax-credit; it had a window of time before it expired, and the market went sour immediately after it expired. This season is fueled by the buyer’s perception that the market is appreciating. Re-read that statement: the perception (by buyers) that the market is appreciating. Now why do buyers believe this?

  1. There is nothing to buy. 3300 active single-family listings sounds like a lot, but inventory now is 27% lower than the same time 12 months ago.
  2. With scarcity comes panic. With panic comes emotional buying.
  3. With emotional buying comes a loss of negotiating power. Fear of loss says, “don’t mess around, buy the house.”
  4. As more and more houses sell and are removed from the market, buyers inevitably raise their  buying price. When sellers don’t have to discount, and buyers move up to find them, appreciation happens.

This condition describes between 65 and 75% of the homes that sell each month, and 40% to 50% of the active listings for sale. Note, those are not the same numbers. Note, that is not the entire market. What is extra bizarre about April 2012, is that while parts of the real estate market finally return to sustainable appreciation, other parts of the market remain in decline: the over $500,000 market for the most part remains in over-supply and for the most part, is still experiencing depreciation.

Here is a graph from the April Stat Pack . This graph shows the crazy dysfunction at work, where within these popular MLS areas, there are up to four different markets at work:

  • An Appreciating Seller’s Market with less than 4 months of inventory based on March sales rate (which is likely going to be dwarfed by the April sales rate, with 1723 pending and under contracts at the end of March, 2012)
  • A Seller’s Market where the likelihood is high that the seller will sell and probably won’t have to make a price adjustment in order to sell, but it’s not appreciating yet because the months of inventory is between four and six months.
  • A Buyer’s Market where there is six to nine months of supply, decent selection to choose from, and buyers have both the ability to negotiate a better price and sellers have the responsibility to continue to drop price until the find buyers. Note, these markets might be primed to convert over to A Seller’s Market later in the year as inventory diminishes from the lower price ranges and relocating buyer sales close.
  • A Super Buyer’s Market where there is a genuine over-supply of listings for the scarcity of buyers. Sellers might have to reduce price just to get showings (usually 9+ months of inventory). Buyers might be tempted to avoid these areas as there is no promise of   “a deal” because the bottom has not yet clearly been reached.

This creates some enormous opportunities for a seller in Briargate say, who has a nice home worth $285,000, but wants a larger home, or a home in the trees. They have scarce competition for their home, and if they want to move to Flying Horse or Bent Tree, they can utilize 4.00% interest rates and buy into a market that still has excess inventory and competitive pressure for price improvements. As long as they have the proceeds they want from their home sale, they’re probably selling, with a good selection to choose from and good negotiating power when they buy.

A buyer relocating from Nashville asked me today, “Ben, is the market just that much better in Colorado than it is here?” I had just video’ed a home for him that had listed the previous day, and told him that it might sell before the weekend was up. The buyer didn’t doubt my assessment, he had seen with his own eyes appealing homes list one day and go under contract the next, and seen this repeatedly. My explanation was that the market is a mess for those looking under $200,000, and if you consider than 81% of all sales year to date were less than $300,000, a big part of the market is looking at scant inventory. But the other problem is that there just aren’t that many great properties out there. That’s different than low inventory. It’s one thing if there is low inventory, but say you want N/W under $350,000 and you want a traditional two story home with about 3500 square feet and some updating. Well technically, you have a lot to choose from. But you don’t want a multi-level or split. You don’t want linoleum floors in the dining room or kitchen. You don’t want old windows. You’d like the deck to be serviceable for oh, I don’t know, three to five years. Well you my friend have ZERO homes to look at that fit that bill today. None. If you can stretch to $355,000 you find your first bogey on Oak Hills, and that’s a bit high for the area, but it is remodeled and they added stucco. While they’re probably over-priced, they’re probably selling soon, too because they have no competition. That’s how appreciation happens. It’s not so much that the cycle of supply and demand got reversed, and we went from over-supply to under-supply and under-demand to over-demand. We went to under-supply and even-demand, and among that supply are a mess of homes that are out-dated floorplans or exhibiting features no one wants. Many sellers still haven’t caught onto this. Another example: My wife and I were brushing our teeth last night, joking about if we sold our home, and Amy said “just price as it is and let someone do it the way they want.” I was stunned. My wife was speaking seller. I pointed at our lovely, faux-marble pink and taupe swirled counters, with integrated sinks with expanding cracks at the bottom, and said sarcastically, “Babe… they just don’t make these anymore. This is the kind of quality people line up for”. No one wants flippin’ pink swirl bath vanities, even if your shower and soaking tub match (that’s some extra sarcasm for those who can’t read sarcasm). You can be on the market, but if you offer what people don’t want, you might as well be off the market.

As the market heals, a necessary step is appreciation. Appreciation IS HAPPENING, it is just active under $200,000 (about 50% of all market sales). That market is moving up. Meanwhile, the average price on the market is also moving up, because the expensive, half million and up market remains sitting while the cheap, under $200,000 market flies off the shelf. In order to sell, this expensive stuff still has to come down in price. So overall, the average price of everything selling is barely showing any change, as it takes five appreciating home sales under $200,000 to cancel out the drop of two depreciating home sales over $500,000. When you further consider that last month there were 394 sales under $200,000 and all of 22 over $500,000, there isn’t much to fuel much of a leap in average price. In fact, average price can actually go down while prices are going up; it’s just not a good measure of what is actually selling.

If you want to see the new and improved Stat Pack, please visit www.COSRealEstate.com. (guess what? We renamed the Stat Pack, “The Stat Pack“. We are pretentious snobs at the Switzerland known as Selley Group, and are now emphasizing the “The”. Another report locally is using a very similar name, but they’ve only been cranking them out for 15 months, not 6 years, and we’re sticking with our permission-asset. We have dibs)

Market Statistics for November, 2011 (or 2001?), Colorado Springs

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Juicy, Meaty, Relevant, Insightful and Not Afraid to Tell You So Market Data.

What would be stranger, a real estate market recovery or the Broncos winning the AFC West? Both would be pretty weird, right? As of November 8, 2011, all the data is in place for a real estate market recovery locally. That does not mean a market recovery is about to happen. It doesn’t even mean it should happen. It just means that it can. The only way it will happen is if consumers allow it, and by consumers, I mean both buyers and sellers. The market has 4.00% interest rates. There last time there were so few homes for sale in November it was 2001… as in ten years ago. So throw out “lots of inventory to choose from” because it is not true. There is tight inventory. There is only 5.22 months of inventory several months after peak season.

The last time the market was this good in Movember, was BEFORE Jake Plummer. But I couldn't bear the thought of putting a picture of Brian Griese up here.

Prices are down on average 4.5% for the year, yet there is only a 4 month supply of housing for properties under $275,000 where 78% of the transactions have occurred over the last 90 days. In other words: the real estate side of the ledger is really tight. And yet: an opportunity is only an opportunity if there is risk. Want a real thrill? I mean a real thrill? Jump out of an airplane. The speed. The rush of the air. The adrenaline. The catch: you have to jump out of an airplane. But boy… what an opportunity. The focus of the Stat Pack this month is to dial in on the personal rationalizations, dreams and hopes of people making elective home-buying and home-selling decisions. The seeds of 2012 market activity are sewn now, like tulip and crocus bulbs underneath the winter mulch. The eureka moments of “I don’t  need all this space”, “honey, did you see their master bedroom?”, “We need more space with twins coming”, “this commute has gone on long enough” tend to happen now, during the coming holiday season when individuals gather at other houses and formative real estate decisions germinate. As consumers begin to form their opinions and thoughts, they should do so with accurate information, but also, personal reflection and introspection. What are you trying to accomplish with your home sale? What’s your why? Why do you say you need more space? You said you wanted a nice master bathroom, but then you moved onto a benefit of “light and airy”… what will the benefit of this next purchase look like? Where will you be in life in two years? Ten? Do you want to be tied down to one place for at least a half decade? How much work around the place will your lifestyle allow? How many weekends are you willing to donate, vacation time and favors cashed in? How secure is your job? How much of your life is really under your control? The data says do it. Now what does your gut say?

Pikes Peak Urban Living at ONE: How Aeschylus birthed The Stat Pack

Imagine 32,  19 and 20 year olds learning (in some cases literally) at the feet of two professors who are married to each other in a class that covers everything in Western culture from The Bacchanalia to Freudian libido. It’s a large, sunny family room of a Victorian, mining-era home with wing chairs, chaise lounges, dreadlocked freshmen in thermarest loungers, towering first-line hockey players and a half dozen people who easily could have gone to Williams or Yale but thought the winters in New England would suck and therefore, came west to be intellectually fabulous and a mere two hour drive from Breck in their late model 4Runner. Everyone in the room is smarter than you. In the classroom are several future attorneys, surgeons, human rights activists, an individual that to this day is one of the brilliant political puppeteers in all of Colorado and yours truly. It’s the 1994 edition of Colorado College’s Greek History and Philosophy.

To keep it simple, here’s a Wikipedia synopsis of Aeschylus’ amazing Orestia, specifically Agamemnon.

The play Agamemnon (Ἀγαμέμνων, Agamemnōn) details the homecoming of Agamemnon, King of Argos, from the Trojan War. Waiting at home for him is his wife, Clytemnestra, who has been planning his murder, partly as revenge for the sacrifice of their daughter, Iphigenia, and partly because in the ten years of Agamemnon’s absence Clytemnestra has entered into an adulterous relationship with Aegisthus, Agamemnon’s cousin and the sole survivor of a dispossessed branch of the family, who is determined to regain the throne he believes should rightfully belong to him.

You wonder why the Greeks are rioting. They used to be great.  Clytemnestra is a 2600 year-old example that life is not resolved in a P&L. Agamemnon just won the flipping Trojan War people… he’s the conquering hero of the age. Clytemnestra, if motivated by a profit-motivation, is in the proverbial catbird seat. Her man is home, and her man owes. Instead, cause does not equal a neat and tidy effect, and she murders him. You really have to read Aeschylus (preferably out-loud with others, make some spanikopita, get some grape leaves and wine, it’s fun) to get the full effect of this early heroine of feminism’s motivation. Let’s just say it is timeless because life doesn’t work in mechanical input-equals-output ways. It is timeless because it is eerily true in a way that surprises us with it’s unpredictable familiarity. To accelerate the gamut of emotions, it’s something like this: “Wait… she did what? That way? Wow. Yeah. I could see that. Wow.”

Fast forward two decades and Aeschylus is as relevant as he was 2600 years ago. My advisor at CC said “there is truth, and then there is the meta-truth”. She was talking about the dot and the dot and the dot that people see as life’s datapoints… and then the artistry that was woven between those dots. To use math language, what if the dot and the dot and the dot that we see from a distance on one plain as a triangle are actually being influenced by poles on two additional planes… how will we know to even look for those poles? Well, immersion in the Classics (and Philosophy, and Political Theory and Ancient Language and all four major epochs of western history) has a way of getting one’s brain past simple face value. We read the Orestia in a night, then read large chunks in the round with assigned parts, and debated and tore it apart for three hours straight with two phenomenal teachers who usually didn’t agree with each other. Sure, knowing the facts and details is important for the bucket list of education; but knowing why it all worked the way it did, and how other examples can later unfold, that’s something else entirely different and far more potent.

People who buy their residence based on Excel are usually the same ones selling a year later. They came to a vital decision in what academia calls STEM-thinking (Science, Technology, Engineering, Math). STEM-thinking allows you to see  clearly all the objective pieces (the dots), even all the objective pieces interacting on the board. But it doesn’t tell you how they might interact on the board, why they interact, why things are not always mechanical or systematic… and it also doesn’t tell you to look for outside influences that can break down the relational structures. Mechanical STEM-thinking hates things like “personality”.

And if this all sounds like high-minded, ivory-tower horse pucky, well, it is horse pucky, but it ain’t ivory tower. A social psychology professor friend (CC ’97, represent!) posted this great article from The Economist today on Facebook, the need for more anthropologists on Wall Street. The Economist, an international standard-bearer of rational, empirical thought, is puffing up a colleague over at The Financial Times, another standard-bearer of the left-brain P&L crowd. And one of the sharpest tacks out there is a Cambridge educated Ph.D in… anthropology. Gillian Tett predicted a credit-default-fueled implosion in 2005, largely because she understood inter-personal relationships. To quote: “But the other thing is, if you come from an anthropology background, you also try and put finance in a cultural context. Bankers like to imagine that money and the profit motive is as universal as gravity. They think it’s basically a given and they think it’s completely apersonal. And it’s not. What they do in finance is all about culture and interaction.” This line of thought sees financial crises before they happen. It explains why banks, who are in the money of usury, are not lending money to suitable borrowers (inventing metrics for trust and relationships). It explains the political ramifications and vendettas of our present day.

What Hannah and I do in real estate, finance, economics, is far more about culture and interaction then it is about a gravitational attraction to profit. Today I got to speak to someone that was looking for 500 acres to lease for wild horse habitat. There is, let’s see, exactly no money to be made in this project if I’m thinking like a banker. Like, um, nothing. And since most 500 acre land owners in eastern Colorado subscribe to the theory of highest and best use (see Banning-Lewis Ranch and it’s dangerous infatuation with gas leases of late) putting a very small number of horses that need huge range on an oversized property is what economists call “a sunk cost”. How do Hannah and I see that? First, educate on the prevailing winds of sunk cost, but then flush out the angle of what the opportunity cost looks like: Good will. Story-telling. Common hearts. Who are the players. How do we get Catamount Institute involved? Who in CC’s Environmental Science Department might be a catalyst? Can we get media, the visuals are superb, but media will likely have to pay for a night’s lodging with the day long drive to Montana so we really need to craft a home run here to get them on-board… etc.  What will Hannah and/or I make on this? Are you serious? Anything? Probably nothing. In the short-term.

Will we learn something? In the short and long-term, we will.

We don’t have it nailed. Goodness no, we don’t. That’s why we don’t do this blog for SEO. We do it for a finite audience that wants something different, who doesn’t trust easy answers and wants to make lasting decisions of value.

The Stat Pack is well into it’s sixth year, bigger, fuller, richer with more data than ever. About 85% of the Stat Pack is data and charts. What we do differently is that 15% of subjective. It allows us to craft lessons and strategies that are not as universal as gravity and are completely personal.

 

The Stat Pack after the Downgrade

This post rated AA+.

From the subjective analysis that concludes the forthcoming August 2011 Stat Pack.

Advice for market participants:
SELLERS: You are right to believe that absolutely everything favors buyers right now including the price tag on your house. The question you must ask yourself is this: if you were a buyer in this market and this was the first-time you encountered your house, would you buy it? Would you buy your house during a time when the future of Fannie Mae and Freddie Mac is questionable? When the US lost it’s AAA credit-rating? When job security was so tenuous? Yes, this is made up for by the fact that values are depressed, interest rates are incredibly low, and there are 20% fewer homes to choose from then just one-year ago. While all the data is positive as far as “the deal” is concerned, buyers are taxed with everyday concerns that make ANY compelling decision to buy your home  or someone else’s, extremely difficult. Whatever you can do to mitigate those concerns: do it.
BUYERS: This is the very definition of a kick-yourself market. Will you kick yourself for buying in this market? Or will you kick yourself for missing the boat and not buying? EITHER could be true. YOU are the only one that can answer that question, and it must be answered based on your personal situation. In the last 40 years, housing has not been this affordable. And at the same time, the perceived risk of making any major financial investment due to multiple circumstances beyond your control has never appeared greater. If you are in it for the long-haul, and that is defined as a period of time longer than five years of occupancy and ownership, then this is a brilliant market of markets to buy into. If you have any degree of uncertainty about five years of ownership, you best act quick on any decent rental, because there is only 1 – 3% occupancy out there in single-family rental properties.
Analysis:
A memory from my time studying history at Colorado College: freshmen regularly observed that “we learn from history” and “history repeats itself”. These comments would then be thrown out like fresh meat to a pack of starved lions, also known as the upperclassmen, who would pepper the room with their Aristotelian intellect, essentially rehearsing their law school application interview with startling logical brilliance. Of course we learn from history. Of course it repeats itself. But the implications of x and variables y and z will later cause the following courses of action, either action A or action B. It was simple. We were post-Cold War, Clinton-era wunderkids. We had it all figured out. Here was an orderly, systematized world that was easily understood and readily grasped.

Fast forward 15 years…
Standard and Poors just downgraded America’s credit rating to AA+. And the historical precedent for this is what exactly? Beyond that, the administration of this variable onto the system known as global finance will cause what future courses of action? A, B… Z?  Why did Standard and Poors downgrade Fannie Mae and Freddie Mac this past Monday, and not in 2009? Why is France with a substantially larger percentage of debt to GDP still rated AAA? Why can’t I defend away $2 trillion mathematical errors? Does it matter?
The bizarro land of real estate invokes the immortal words of gonzo journalist Hunter S. Thompson (which strangely becomes more relevant with each passing year) “when the going gets weird, the weird turn pro”. There is no editorial accident in constructing a SWOT analysis to lead-off this month’s Stat Pack that shows all strengths and all opportunities as the present condition of the real estate market. Without getting too subjective, it is pretty safe to say that everything out there in the real estate market is really good right now: prices are mostly stable, inventory levels are down substantially, foreclosures are down by over 30% from a year ago (which was down off of 2009), interest rates are microscopic at 4.25% as of this writing, prepaid PMI programs give buyers with high credit, real income and the knowledge to buy in good areas incredible opportunities right now and quite a few sellers want/need to make a deal. Everyone of those statements is objectively, measurably accurate.
The problem has to do with everything else that is beyond the consumer’s ability to control. When you buy real estate you participate in world finance, like it or not. All those subprime mortgages were tied to Mexican banana farms which were tied to Thai import/export companies which were tied to Korean manufacturing which were tied to Irish discount airlines. The series of dominoes from one man’s excessive spending in 2005 and subsequent foreclosure in 2007 ended up carrying global implications because bits and pieces of his mortgage and hundreds of other defaulting mortgages were scattered around the globe to investors in all corners. Everybody, everywhere owned just a little bit of everyone else’s little debts. No problem, until a bunch of those (ahem, AAA-rated) debts start to go bad. In the thunderclap that followed this meltdown, the economy of trust was broken. Banks slammed the doors of trust shut in late August 2007 and have barely cracked them back open. Now ten years removed from 9/11 and the beginnings of a war that has seen the sacrifices of a volunteer armed forces, we live in a society that suffers from disaster-fatigue, where meltdowns are increasingly common and increasingly expected. What’s the next order of magnitude to steal away the headlines? Just when you think you have seen it all, something new happens. And the backdrop for this is an ever-more-toxic political climate, where civil discord is a relic of the past.
Why this matters: Sellers more often than not bought in a feel-good era. Buyers today are buying in a feel-worse era. When sellers bought, their motivations were very different than today’s buyers. More likely, the reasons to not buy were not nearly as pronounced as they are today. This makes a seller’s job of marketing their property to a cynical, distrustful audience extremely difficult. This makes buyers more resistant to making decisions that are based on feeling good. People make real estate decisions electively for one of two reasons: pleasure or pain. It is easier now to market with language like: “pain-free”, “move-in ready”, “all-set”; rather than “luxurious”, “masterpiece”, “incredible views”. The first set of phrases use language that dominates the mind of the buyer: pain; inconvenience; problems; doubt; it then overcomes these fears and pains. A seller must speak the day-to-day language of the buyer in order to demonstrate value in today’s market.
This is all talk about the emotional climate of real estate and the difficulty of gauging cause and effect in today’s economy. The day after the S&P downgrade that basically discounted America’s ability to repay it’s debt, what happened? Wall Street went into shock, losing more than 5% and treasuries – the repayment of which was the very thing S&P was calling into question – saw a surge of money, propelling 30 year mortgage rates down. In the midst of all this chaos, the real estate side of the ledger improved yet again.
Year to date, Colorado Springs Real Estate is having a decent year that no one seems to know about. It is all relative and all compared to the last several years which have not been the rosiest of real estate sales years. This year, there will be about as many sales as 2008, more than 2010, slightly fewer than 2009. But what is most intriguing is that the number of listed properties, while still high based on the last ten years of inventory, is lower than at anytime since 2005. For six consecutive months, inventory has been at 6.1 months or less, a stable balance between supply and demand. Because there are fewer homes for sale and slightly higher demand than this time last year, the earlier drops in average sale price will probably balance out as the year finishes because buyers that are buying are less likely to see new listings come on the market and are more likely to try and make a deal with what is out there now, thus stretching slightly upward in price.
The best advice we can give: if you’re participating in a real estate decision for long-term reasons, ignore the toxicity of the present.

Mid-Year Review: July 2011 Market Stats

Click Here for Mid-Year Review Market Report

The Summer Viewing at Pikes Peak Urban Living is on the cat fight between two market metrics: Average Sales Price and Months of Inventory.

Months of Inventory is a handy-dandy metric to forecast, predict or… guess… what the market will do next. The barometer that has traditionally held sway is a 6 month supply of housing equals a neutral market. Get below six months and stay there and the market should see appreciation and increased seller-control. Go above six months, and that much to choose from sways control to buyers and prices drop. The majority of the last four years have been in excess of 6 months with a few brief months in 2009 under 6 months supply. July 1 showed a reading of 5.5 months. After three previous months from 5.9 to 6.1 months of inventory, that should be a predictor of prices going up.

Yet they haven’t done that.

Average price year to date is off 4% from a year ago. A lot of this was the post-tax-credit malaise that wrecked the market last spring. REALTORS went from running their engines at 110% in April to idling them in May, and never really getting them out of neutral the rest of the year. This year has been somewhat spastic, but overall, prices are steady to down then they’re showing appreciation.

Most everyone has an easier time understanding what has happened as opposed to grasping at what might happen, and correspondingly average price gets a lot of press. But as I spoke about last week, the relationship between units for sale and units sold is pointing to possible to likely improvements. The market has crested in inventory and is in the six to seven month cycle of fewer, not greater listings. There will be new listings each month, but not at the rate that they were before, and many good new listings will be recognized more readily as valuable by active buyers because buyers operating in the second half of summer and early fall generally have to make quick decisions. These are general conditions that don’t always hold, but with fewer than 4800 listings for sale, and two more months under 6 month’s supply likely… it will be interesting to see what happens to pricing over the next six months.

To see the active market numbers, Click Here for the Stat Pack.

Does Supply & Demand Rule Everything? If So, Which Way is the Market Heading?

I’m having more fun with math than any man should be allowed this morning.

Here is a quick snapshot in chart form of what the Pikes Peak MLS Market looks like in Single-Family Sales terms at Mid-Year.

Pikes Peak MLS Mid-Year Snapshot

Now, this is a graph of what the relationship between Supply and Demand looks like at Mid-Year, expressed as Months of Inventory (Total Active Listings Divided by Unit Sales per Previous Month).

2010 Tax Credit Expired on June 30, 2010.

 

 

April 2011 Colorado Springs Real Estate Market Report

How about that for an SEO Title?

April continued the trend of “we don’t know anything” from one month to the next. In January, sales were lousy, but price was decent. In February, sales were again lousy, as in really lousy, but price was outstanding. Additionally, listing volume continued to be lower than expected. Then came March. March had pricing go down to where it was in January (sigh) but saw a 7% increase in closings over the tax-credit fueled March 2010 (hurrah!).

In other words, predicting the market is like predicting when it will snow next in Colorado. Good luck.

Here is the info:

 

April 2011 Stat Pack

On a side note… April marks the Five Year Anniversary of the Stat Pack. I was either the first real estate goober to start obsessively tracking the market (be glad my blog wasn’t around for my 13 page July 2007 edition…) or the last one of the first adopters still standing, but I do not think there is a market report with 60 consecutive months and four consecutive annual reports worth of real estate data tracking the local marketplace. Not to say that term of length makes this any more relevant, just saying. I’m happy this project has gone on five years. Thanks for reading it.