I was at the bank the other day and the teller asked me, “are we really in a seller’s market?”  I told her that we are, and described to her some recent experiences I have had with my buyers.  I was working with one buyer who was looking in the Stapleton neighborhood.  There were multiple occasions where the listing agent contacted me immediately after a showing to let me know there were offers coming in on the property we just looked at, and if we wanted an opportunity to bid time was running short.

Likewise, I’m working with some investors interested in Southeast Denver, and have gotten into several situations where the seller received multiple offers.  We’ve been asked for “highest and best” a few times and have been out bid on all of them.  To me, those were anecdotal evidence that Denver is currently a seller’s market.

I’ve also spoken to a few of the Stapleton builders lately and they are all raising their prices.  Again!   So even the builders feel confident this is a seller’s market.  Luckily, I have other buyers that just wrote a contract on a New Town Solaris Townhome three weeks ago, beating the latest price increased.

But now there is proof!  Land Title Guarantee Company just released the January real estate statistics and compared to 2012 home inventory is down 30%, the average sold price is up almost 11%, and the average days on the market is only 80 (down 22%).

This means sellers have all the advantages.  They can ask more for their homes knowing there is less competition, and the laws of supply and demand are allowing sellers to get what they are asking and they are doing it quicker.

So if you, or anyone you know, are considering selling your home, my suggestion would be to get your home on the market as soon as possible.  Why wait until the spring (the typical selling season) when demand is high right now?

As always, I am more than willing to help anyone who has a real estate need.

* UPDATE: Check out the recent 9 News story confirming that we are in a seller’s market:

http://www.9news.com/news/article/321648/339,188/Buyers-competing-for-scarce-housing-market

John Keene
303-547-7578

This is no April Fool’s prank.  HUD just announced they will raise the rate on Mortgage Insurance Premium (MIP) on most FHA loans by 0.10 points beginning April 1, 2013.  Not only that, they will continue to charge borrowers MIP for the entire term of the loan.  This is a departure from the past 10-years or so when they would drop the MIP after the principle of the loan was paid down to 78%.

What does this mean?  It means that borrowers will have less purchasing power.

So why is HUD making these changes, just as the housing market appears to be turning around?  According to HUD, they need the extra revenue the increased premiums will generate.  Unfortunately, some experts believe the increase will make access to these loans more difficult.  Especially for first time home buyers, who are the buyers most likely to turn to the FHA loan for financing.

That is why I think that anyone that is currently on the fence about purchasing a home needs to speak to a lender and get pre-approved, right away.  You don’t need to close on a home by April 1st, you just need to get a HUD case number assigned to your loan before then (which I believe happens at the time of appraisal).

Once buyers have the financing in order, my next suggestion would be to work with a Realtor to find your new home.  Obviously I am more than willing to assist.  Please give me a call, before it is too late.

But the rental market is equally as hot.  A fellow Stapleton Realtor is working with investors that are buying brand new homes from Wonderland and immediately turning them into rentals. In fact, I helped a friend move into one such home just before Christmas, 2 or 3 days after it closed.  This investor had zero vacancy and was able to find a quality tenant by word of mouth. That’s how fast rentals get snapped up.

Whenever I see a “for rent” sign anywhere in Stapleton, if one even goes up, the sign is usually gone in a matter of days.

Because of this, I welcome the opportunity to work with any investor interested in purchasing a property in Stapleton. Actually, I have several investors looking for properties in and around Baker, as well as North Aurora, so any investor can contact me.  But as far as Stapleton goes, I think the opportunities are ripe.

The proximity to Downtown Denver and the Anschutz Medical Campus make Stapleton an attractive place to live (see the beginning of this post about the housing market), but not everyone is in a position to buy.

In fact, there is an owner of a KB courtyard home that just signed new tenants to his property to a 2-year lease.  He was in town for a week after the previous tenants moved out and found the new tenants almost right away.  As he lives out of state he would be interested in selling to another investor, but really doesn’t feel the need to list his home and actively market it for sale.  It is paying for itself.

This is a 3-bedroom, 2.5 bath home, with 1556 square feet, and is centrally located in Stapleton.  The home is probably valued at around $300,000 and rents for $1800/month.

Anyone interested in making this owner an offer on his property and assuming this lease should give me a call.

Besides investors, I work with buyers and sellers on traditional sales, short sales and foreclosures, throughout the Denver area.

The inventory of homes for sale in Denver is currently down 30% compared to 2012, prices are up, and homes are selling faster.  In Stapleton things all these things seem to be the same, if not more so.  I’ve worked with a few buyers interested in Stapleton lately, and we have looked at every home on the market.  One buyer was able to find a McStain row home, which will close next week, and the other ended up putting a contract down on a new construction New Town.

But I’ve even heard complaints from other agents at Perry & Company about the lack of Stapleton inventory.

Fortunately, as a Stapleton resident, I try to keep tabs on what’s happening in my own back yard.  As such, I recently learned from a fellow parent at the Logan School, that there will be an Infinity 4 bedroom, 5 bath, plus a loft and an office, and a fully finished basement coming on the market in late February.  This home will be priced around $860,000 and is located in the very desirable Central Park North area of Stapleton.

While I do not have the listing on this home, I would welcome the opportunity to work with any interested buyers.  If someone is in a real hurry, I could even arrange an early showing with the seller.

Give me a call if you are interested in this Infinity, or any other home in Stapleton.

I occasionally come into contact with people who are thinking of selling, if the right offer comes along.  For example, I know an owner of a KB home who just sign a 2-year lease with a new tenant.  This owner is out-of-state and would sell to an interested investor, but he has no interest in actually listing and marketing the home.

Last year the City of Denver gave out free trees to 23 target neighborhoods.  However, in 2013, any Denver resident that is willing to pick the trees up and dig the holes.  (Actually, if you are physically unable to dig a hole volunteers will do it for you).  These free trees are part fo the Denver Digs Trees program.  Get it?  We DIG trees…

There is also another program being offered by the City’s Mile High Million project.  These trees are also free and the City does all the planting.  The difference is, the trees in the Denver Digs Trees program go along the street, to help reduce street noise, increase air and water quality, and beautify our neighborhoods.  Whereas the Mile High Million trees must be planted along the west side of your home in an effort to reduce energy consumption and provide lower utility bills for residents.

To learn more and apply for your free trees, follow the links below:

Mile High Million
Denver Digs Trees

Trees also enhance your property value.  So if you are thinking about selling your home give me a call and I can provide  you with a free market analysis.

Enjoy,

John

Have you ever wanted to live in a model home?  Now is your chance.  Many of the builders that have model homes in Stapleton’s Central Park West neighborhood are gearing up for the move to Conservatory Green (that’s the first residential area north of I-70, coming in the Spring of 2013).

While this is a great opportunity, the terms vary by builder and depend on how many models must be sold.  Usually, when they sell the model that is being used for the sales office the builder will need to be leased back the home for a short period of time.  But the neighboring homes that feature the different floor plans can be sold like any other inventory house.

I currently live in Central Park West and I now have new neighbors in what were recently the David Weekley “Yuma” and the New Town Zero Energy “Southmoor” models.  The great thing about buying a model home is that they are always loaded with upgrades.  Yet, the builder at this point is a motivated seller.

It’s not like selling homes in Bluff Lake, where they can use the sales offices in Central Park West because they are selling the same product.  Conservatory Green is going to have completely different elevations and floor plans, so the builders need entirely new models.

The asking price for the models homes also reflects the motivation of the builders.  The New Town “Berkeley” I posted about previously was marked down $68K from the builder’s original asking price.

What buyers probably don’t know, is that many times the model homes are not even listed on the MLS.  So the only way to find out about them is to visit the builder directly.  Anyone who would like me to visit with a particular builder here in Stapleton, to check on the status of the current model homes for sale, can give me a call (303-547-7578) or shoot me a quick email.

One of the builders in Stapleton is selling the model home containing their sales office and offering to lease the home back for the next 6-12 months. This is a 2457 square foot, 4 bedroom, 3.5 bath, two-story home with a finished basement. The home also features a formal dining room, loft, study, 2.5 car garage, and brick wrap around front porch.

As a model home, there are more upgrades than I can mention, but I will summarize. The chef’s kitchen has slab granite and stainless steel GE Profile appliances throughout, as well as java colored Mastercraft cabinets with upgraded hardware, and a single basing Kohler sink and Delta Pilar faucet with Touch20 technology (meaning you simply have to touch the faucet and it will turn itself on).

The bathrooms are equally decked out, as is all the flooring and custom paint. All in all, there are over $180K in upgrades.  But the upgrades are not only cosmetic.  The HVAC system includes a 16-seer compressor and high-efficiency furnace, which runs on three zones.  There is also an oversized, 50-gallon, high-efficiency hot water heater.  Adding to the energy-efficiency of the home is a pre-paid solar lease.

The asking price for this home is $563,900 (currently discounted over $68K) and the builder is offering to pay $4000 per month in rent.

This means with a conventional loan the purchaser of this home would have instant equity, and a positive cash flow from day-1.

This is a wonderful opportunity for anyone considering buying new construction, with the ability to wait approximately 9-months for a dirt start to be completed.  Why not turn a profit while waiting to move in?

It is also a great opportunity for an investor as well.  This is a turnkey investment, and with a strong high-end rental market in Stapleton there should be no problem finding a residential tenant once the builder moves out.

Either way, anyone interested in learning more about this home buying opportunity and setting up a showing, give me a call.

John Keene
303-547-7578

Congratulations to The Berkshire Restaurant in Stapleton for being named to the Top 10 best spots for brunch according to Open Table.  Located in the 29th Ave Town Center area of Stapleton, “The Berkshire serves refined comfort food…heavy on the pig.”

Something I’ve always wanted to try there, but have just never found the time, is their bacon Bloody Mary.  However, now that they’ve received such recognition, I don’t know if there will be a table available this weekend!

This Saturday is the Sweet Williams Market, followed by the Stapleton Farmer’s Market on Sunday.  If you get a chance, stop by to see what everyone at Open Table is talking about.

For the men who do happen to go to the Berkshire in the near future, be sure to check out the Simpson’s quote in the bathroom.  Hopefully it is repeated in the ladies’ room, but I’m not sure they have quite the same sense of humor.

Wonderland Homes has nearly sold out all of their Edge Townhomes in Central Park West, so Forest City had agreed to release the lots on either side of the Brownstones along Martin Luther King Blvd. Check out the video below:

Listed at $439,000, buyers will appreciate the wonderful architecture of this mid-century modern home, while enjoying the updated kitchen and baths, enclosed sunroom, and sitting area off of the master bedroom.

A stunning, two-story rock fireplace separates the tile foyer from the family room. Surrounded by floor to ceiling widows, the family room is drenched in natural light and features a high timber ceiling.

The gourmet kitchen includes an extensive island, providing ample workspace and can accommodate several stools for informal dining.  The kitchen is open, with a gas cooktop, stainless steel appliances and plenty of storage.

Also on the main level is an enclosed sunroom, a powder room and access to an enclosed patio.

There are four large bedrooms on the upper level.  The master bedroom features a separate vanity table and two large closets, while the updated master bathroom features natural Jerusalem stone.   The enclosed porch brings in plenty of sunshine and provides a relaxing get-away, making this room a true master retreat.

The fifth bedroom can be found on the lower level and includes a three quarter bathroom, en suite, as well as a cedar closet.  Also located on the lower level is a large rec room, which can be used as a playroom or media center.  A laundry room, including washer/dryer, deep sink, and additional storage is also located on the lower level on the way to the attached garage.

Dual furnaces and air conditioning units, along with programmable thermostats and ceiling fans throughout the house, help to maintain all the rooms at a comfortable temperature year round.

Close to shopping, transportation (I-25 and the Light Rail), and great schools  mean this home is in a perfect location.  Call John Keene at 303-547-7578 to set up a personal showing.