House buying in area (Denver, Highlands Ranch: days on market, credit, how much)

[mangymutt]

We are moving to Denver in the next month - and looking forward to it. We are going to start our housing search in the Castle Rock/Parker/Highlands Ranch suburbs. My husband's job is in Englewood. Question - what are houses going for in relation to their asking price? I know every case is different - but what is the estimate on how much negotiation we have on the price? (We are moving from the Dallas area).

All advice is appreciated...

[2bindenver]

Ask your buyers agent to do a market analysis. A market analysis should say what the average list to sold price is. Besides, there is no rule of thumb for setting an offer price. HR houses have been going for 98% of asking.

When looking at a market analysis offer close to fair market value, close being 3-5%.

Generally, the longer a property is on the market the better deal you may get. The newer the property is on the market the more confident the seller is on getting their price.

There is nothing wrong with offering the list price if it is close to or under fair market value.

[BenWolfe]

I will second most of what 2bindenver said and I will add that the discount can vary significantly from one neighborhood to another. Overall Denver is a buyer's market, but in the neighborhoods that are highly desirable with low inventory you may have to pay very close to asking price. In neighborhoods with numerous homes on the market you may be able to get as much as 5% off asking. This will also vary based upon the price point.

Your discount can also vary significantly depending on your Buyer's Agent. Make sure your Buyer's Agent is a seasoned negotiator who is really looking out for your best interest. When interviewing Buyer's Agents ask them about their experience in negotiating on their Buyer's behalf.

Are you being relocated by your company? They may refer you to an agent, but you can interview and choose your own agent.

[jamellan]

From my experience, which mind you is limited, houses in the Parker/Highlands Ranch are seem to be staying on the market for an average of 3 months. There seems to be a decent number of house on the market in the $200-275K range although there seems to be a lot more in the $275-400K.

I've noticed through my own search of the market, that sellers have had to lower their asking prices, so therefore they might not have the room in their equity to accept too low of an offer. It seems to me, that it is a buyers market and there are deals to be had if you look.

Good Luck!!

[2bindenver]

December's numbers from our MLS system (pm me if you want other market stats)

Active count 492 in the Lone Tree/Highlands Ranch market area (80124, 80126, 80129 & 80130 zip codes)
Average price $477,100
137 new properties
139 sold
Average sold price $403,334
Average list to sold price 97%
Average Days on market 96.

[gpraceman]

2bindenver,

Interesting stats.

137 new properties - Are these new listings or new construction homes?

Average list to sold price 97% - Does this mean that, on average, sellers are getting 97% of their listing price?

Mangymutt is also looking at Castle Rock and Parker. Do you have the stats on those areas?

[2bindenver]

Yes GP 137 new to MLS properties. Builders generally don't put their houses in MLS until they are 90 days to completion.

Douglas Elbert Parker
1085 Active, $533,205 Avg price, 233 are new, 119 sold, average sold price $380,955 list to sold price 98% 131 days on market.

Douglas County West
1059 Active, $699,994 avg price, 214 new, 119 sold, averge sold price $508,595 list to sold price 96%, 156 days on market.

[tfox]

Originally Posted by mangymutt

We are moving to Denver in the next month - and looking forward to it. We are going to start our housing search in the Castle Rock/Parker/Highlands Ranch suburbs. My husband's job is in Englewood. Question - what are houses going for in relation to their asking price? I know every case is different - but what is the estimate on how much negotiation we have on the price? (We are moving from the Dallas area).

All advice is appreciated...

Be aware that Englewood is pretty much a catch-all for the entire south metro, not just the town of Englewood. In fact, I'd bet your job is probably in the DTC or thereabouts, not in Englewood.

[mangymutt]

Thanks all - that helps so much to put things in perspective. What do you know about new construction and the current incentives in those areas?

[2bindenver]

I know the last house new house I sold I negotiated a great price reduction, knowing the buyer had great credit, and could close in 30 days.

I have several strategies, depending on what your needs are...I suggest which to use and why.

The only time you'll pay full price for new construction is when you buy one from dirt start.