Anyone Else Sitting Out the Denver Real Estate Market? (Lakewood: house prices, neighborhoods)

[Phil P]

Originally Posted by SkyDog77

HOA fees in Condos can suck. If the goal is to hold it as a rental, condos can be alright, but if you plan to sell it to use the equity for a down payment on your next home, I would stay away from condos.

True I did forget about those. Especially for smaller condos $250 is a lot, like almost as much as a mortgage for a 80k one.

[2bindenver]

Phil,

Learn all that you can. Start with a homebuying class near you CHFA - homebuyer education or Home Buyer Education | Colorado Housing Assistance Corporation

Then, talk to and interview local brokers and lenders. Begin with the end in mind. The end is the day you move. Do you have a lease? Credit issues? (rhetorical) Job changes? Those will need time to iron out and then you can proceed with viewing properties that meet your needs and selecting one to make your home.

[bowlersp]

A house just went up in my neighborhood where I am renting for $150,000 above what the sellers bought it for 2 years ago. Do any of you think that is a sign we are in a bubble?

[2bindenver]

no. The owners may be testing the market. The owners may have gutted/rehabbed the place. The owners may have unrealistic expectations regarding value.

one property does not make a market.

[SkyDog77]

Originally Posted by bowlersp

A house just went up in my neighborhood where I am renting for $150,000 above what the sellers bought it for 2 years ago. Do any of you think that is a sign we are in a bubble?

Did they make improvements? Is it under contract or just being listed at this price? Did they get a good deal 2 years ago?

[DougStark]

I'm a smart real estate investor, and I wouldn't touch the Denver metro real estate market (residential) with a 10 foot pole right now.

Why would I want to buy into a city that looks like Kansas at near California prices? No thank you.

[Deezy303]

Originally Posted by DougStark

I'm a smart real estate investor, and I wouldn't touch the Denver metro real estate market (residential) with a 10 foot pole right now.

Why would I want to buy into a city that looks like Kansas at near California prices? No thank you.

#1. Denver looks nothing like Kansas
#2. Denver's real estate prices are nowhere near California's

Nice try tho

[rtloucks]

Originally Posted by Deezy303

Littleton, Centenniel and Highlands Ranch aren't the "hot" places to live in Denver nor are they the areas of the metro that most people are referring to "sitting out."

As a matter of fact, two of those are their own cities in the FAR flung suburbs of the metro area (including Littleton). In the Denver metro area, the major "hot" markets are the neighborhoods within the Denver city boundaries (and perhaps parts of Lakewood).

Unlike those southern sprawl cities like Charlotte, people here actually want to live in downtown and the surrounding ring neighborhoods. These urban areas are what people are looking to buy in.. or wait out of, not Littleton, Centenniel and Highlands Ranch..



...?

Incredibly uninformed.

I'm willing to bet you've never actually been here. Good luck on your move.

I don't disagree that the neighborhoods of Denver are hot, What I am saying is that the Denver area isn't necessarily Hotter than other markets.

And Yes I have been there multiple times and been researching the markets for 4+ years. I just think its ignorant of you to put such claim to only the neighborhoods of Denver and think that some of the Burbs and small cities around Denver aren't affected As a matter of fact, I complete disagree with you on that aspect. Most Families with children are not moving into Denver yet, they are hitting the burbs and small cities like Littleton, Centennial, Lakewood, Golden etc. all for different reasons, but the main one being schools. Denver schools have not caught up in reputation value yet. Hopefully they will soon, but not yet.

So the neighborhoods are appealing to young couples or singles, but not so much to responsible families. Plus not everyone wants to live DOWNTOWN. We want to be close to things, but s smaller city close to Denver is great for us. This is why we chose Littleton. Older homes, lots of families, rec centers, parks, shopping, main street, golf, theatres, easy access to interstates, etc. without having to deal with DT traffic and congestion. It all depends on age too. Not sure if you are older, younger or where you fall in age, but we may just appreciate different things as do may people.

So waiting out the market.... To me I think the whole market includes the burbs and small surrounding cities.

[ShampooBanana]

Originally Posted by bowlersp

A house just went up in my neighborhood where I am renting for $150,000 above what the sellers bought it for 2 years ago. Do any of you think that is a sign we are in a bubble?

There is very little info to go off of here. What did they buy the house for? If it was $100k then yes, they are probably delusional unless it was a total gut job rehab and flip. If it was $1,000,000 then a $150k price increase over the past two years from appreciation alone isn't unreasonable.

I personally think it's funny that everyone is crying "bubble" just because prices have rebounded from recession lows and are still going up. Denver is hot right now, but it's really supply/demand that creating the push upwards. Demand because jobs are plentiful (and many of them higher paying) and because of high desirability due to lifestyle (the two M's - mountains & marijuana) and lower costs compared to California and the East Coast where many are moving from. Supply because it is historically low - mainly due to the complete drop-off during the recession and the subsequent lack of ability of homebuilders to keep up with demand, especially with lack of construction labor and higher land costs (plus water issues).

If the issue was due to loose underwriting standards and people qualifying for homes who shouldn't be qualifying then I'd be worried - but fortunately that's not the case. Still, it will level off some once interest rates rise and/or wages not catching up leads to a ceiling on affordability. Until that time, though, enjoy the ride and expect that prices will continue to go up - but don't expect another crash anytime soon. Denver ain't getting any cheaper, folks. Get in while you still can.

[foggnm]

If you are staying in the area forever, then buy. Unfortunately, the market right now makes options sparse, which to me is the reason not to buy. I just cant see paying 300k for a mediocre place in the suburbs. I got outbid on a condo similar to what you live in and at that point I felt people are willing to pay so much for this little condo in the not-so-interesting suburb of Lakewood, let them have it.