Denver Real Estate Discussion / Opinion Thread (NO Data Charts) (townhome, living)

[robertgoodman]

Originally Posted by Chelito23

Why are prices in Metro Denver so high, considering there is what seems like an unlimited supply of open and developable land to the north, east and south? I understand the high COL and desireability, but it seems like there should be more affordability due to more open space. Or isn't all that land really avaibale for develpment?

This comes up a lot and is probably better suited for the opinion thread. It's a fallacy that having land all around that can be developed will necessarily lead to lower housing prices, many desirable cities outside the states disprove that notion (london, paris, etc). For various reasons in the USA our coastal cities have historically been more desirable therefore more expensive and people assume it's solely because they are coastal and have geographic constraints.

That being said some of the land around Denver cannot be developed due to water laws and arguably DRCOG's voluntary growth boundary. But perhaps more importantly the cost to develop some of those far flung areas excèeds what people are willing to pay to live there (given enough money you can find a water source). Obviously that math can change, and some select exurban areas are in high demand (Evergreen, Castle Pines, etc), but right now that's the case.

[vegaspilgrim]

Originally Posted by Chelito23

Why are prices in Metro Denver so high, considering there is what seems like an unlimited supply of open and developable land to the north, east and south? I understand the high COL and desireability, but it seems like there should be more affordability due to more open space. Or isn't all that land really avaibale for develpment?

Need to spend some time studying the geography (both physical and man-made) of Denver and the Front Range in detail beyond just a cursory overlook and you will see that statement simply isn't true. There is not unlimited land to the south. Not even close. In fact, south of Denver is almost built out. Starting right at the southern stretches of Lone Tree, Highlands Ranch, and Parker, from there to Colorado Springs, and east to Franktown, Elizabeth, Kiowa, even east beyond that, almost all the way to Limon, you have the Black Forest/ Palmer Divide region of bluffs, hills, and stretches of ponderosa pines. It's a fairly hilly region, not a lot of buildable land to built massive urban/ suburban grade developments, and once the current wave of development in Castle Rock, Parker is done the whole region south and southeast of Denver will be pretty much built out with just isolated pockets here and there.

East of Denver-- more of a man-made problem than a natural restriction, but there are some huge pieces of land that limit development: Lowry Bombing Range (the part west and south of the Aurora Reservoir has already been developed but the part east of Aurora Reservoir hasn't even been touched and may never be-- it's a cold war era disaster full of toxic waste and unexploded ammunition-- not to mention that east of the Aurora Reservoir, south of I-70 is actually quite hilly and not really suitable for mass development until you go WAYyyyy out east, half the way to the Kansas border), Denver Area Disposal Site, an air force reservation, Buckley AFB (although development has leapfrogged to the east), DIA (which takes an absolutely enormous footprint of land), Aurora Airpark, Adams County Dump, Rocky Mountain Arsenal. If you go east far enough, like a solid hour+ east of Denver, the land gets flatter and the contaminated dump sites go away, but then you're already way of town. Not to mention, you get to a point where the mountain views go away, the wind speed picks up, overnight lows are colder, tornadoes risk increases, blizzards shutting down the highways, etc. It doesn't really seem like it since the mountains tower over Denver only to one side with no mountains to the east, but Denver is actually in somewhat of a "valley" and in a sweet spot, climate wise. Go too far east and the climate becomes noticeably harsher-- all out high plains environment. Even the eastern stretches of Aurora and out by DIA are a little bit harsher than even the central/west Denver metro area. Might as well just live in Kansas or Nebraska at that point. There's also a lack of water in many areas.

North of Denver-- this is where I think significant growth could occur-- and is happening. It's mainly agriculture with existing water rights that can be more easily converted into development. Unfortunately, Denver to Fort Collins and Greeley could be one uninterrupted megalopolis. But even then, it's not exactly "unlimited" either-- there are certainly limits. Plus, you get to a point where once you're far enough north, you're not really in "Denver" anymore.

[davebarnes]

Rocket City: Denver home prices take off, Zilow reports

"When growth is “driven by solid underlying economic fundamentals like strong job and wage growth, true housing demand and limited supply and not rampant speculation — which is the case in Denver,” no matter how high the prices rocket, it doesn’t mean that a bubble in inevitable, according to Gudell.

“I think anytime you get into double-digit price increases in terms of housing, you get a little nervous,” said Patty Silverstein, chief economist for the Metro Denver Economic Development Corp. and the Denver Metro Chamber of Commerce.

[davebarnes]

Cherry Hills Village among Top 10 'Most Boring' small towns in the US, report finds

Moderator cut: link removed, linking to competitor sites is not allowed

"There aren't too many other small towns in America where more people are married than in Cherry Hills Village, a Denver suburb. More than 3 in 4 people are hitched, and the median age is pushing 50. Not an exciting place to whoop it up.
It's been said golf is a very boring activity, and you've got your fair share of golf here."

[philberf]

Originally Posted by davebarnes

Cherry Hills Village among Top 10 'Most Boring' small towns in the US, report finds

Moderator cut: link removed, linking to competitor sites is not allowed

"There aren't too many other small towns in America where more people are married than in Cherry Hills Village, a Denver suburb. More than 3 in 4 people are hitched, and the median age is pushing 50. Not an exciting place to whoop it up.
It's been said golf is a very boring activity, and you've got your fair share of golf here."

Correct. Because if you make 3 million a year, you can afford to go to any number of other places around the world to "whoop it up."

[katharsis]

Just read a recent article that the median price of a single family home in metro Denver is now going for almost exactly $400,000 and inventory is at a 30-year record low.

How soon do you think prices will fall? According to my research, in my zip code, 80127 (in south Jeffco) there are now only 11 single homes available for under $500,000, with an additional four "to be built" -- and at least three of the "already built" homes are fixer-uppers! This is a shock, considering the population of 80127 is over 45,000, with the great majority of residences being single family homes, and most of those are"just" middle class.

Also, do you think more people will consider selling this summer, or do you think most will "stay put" and see what the market does in the next couple of months, at least?

[bluescreen73]

Originally Posted by whocares811

Also, do you think more people will consider selling this summer, or do you think most will "stay put" and see what the market does in the next couple of months, at least?

We're standing pat til after the election. No way I'm buying a new house if ColoradoCare becomes the law of the land. I'll be selling and leaving the state and taking my equity with me before the caca hits the fan if that passes.

[Timmyy]

Stop complaining about rent in Denver. San Francisco is still getting worse.

https://www.yahoo.com/gma/san-franci...-and-home.html

[Dirty-Mill]

Originally Posted by Timmyy

Stop complaining about rent in Denver. San Francisco is still getting worse.

https://www.yahoo.com/gma/san-franci...-and-home.html

Ok, that's screwed up... I don't feel nearly as bad about my 10% rent increases.

San Francisco was such a nice city before all the tech bros took it over.

[Timmyy]

Originally Posted by Dirty-Mill

Ok, that's screwed up... I don't feel nearly as bad about my 10% rent increases.

San Francisco was such a nice city before all the tech bros took it over.

I agree. I loved going up there when I lived in San Diego. I had some friends move up there in the early to mid 90s when it was still somewhat affordable.

Before I moved to Colorado I lived near the beach in San Diego and I had to have roommates to make it work. That was also in the 90s.