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Old 02-13-2017, 12:09 PM
 
Location: In The Thin Air
12,566 posts, read 10,620,001 times
Reputation: 9247

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Yikes. I am surprised it isn't listed for less.
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Old 02-13-2017, 12:52 PM
 
1,260 posts, read 2,044,625 times
Reputation: 1413
The house is in a horrible shape but the roof is new!

Quote:
Originally Posted by Timmyy View Post
Yikes. I am surprised it isn't listed for less.
'Cause... new roof!
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Old 02-13-2017, 12:56 PM
 
Location: In The Thin Air
12,566 posts, read 10,620,001 times
Reputation: 9247
Quote:
Originally Posted by OhioToCO View Post
The house is in a horrible shape but the roof is new!



'Cause... new roof!
Sold, I am putting an offer on it!
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Old 02-13-2017, 03:52 PM
 
Location: Denver CO
24,201 posts, read 19,215,171 times
Reputation: 38267
Quote:
Last week, almost a quarter of the people who bought a home paid more than its asking price. The differences ranged from $100 extra to a full $60,000 more.
Five Denver homes that sold for way more than their asking price last week
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Old 02-13-2017, 04:02 PM
 
352 posts, read 713,527 times
Reputation: 316
Yes. It's usually a 7 year cycle, give or take. Prices rise till no one really wants to spend $400k on some beater Berkeley fixer-upper. Less demand (along with other factors like rising interest rates) drive the prices down. Real estate can't keep appreciating forever.

Real estate brokers want you to believe prices will just keep skyrocketing so BUY NOW!!! But they always come down eventually in "marginal" neighborhoods, maybe stay static in the best of markets (Boulder etc) but the majority of neighborhoods in the Denver area just don't have much staying power when buyer demand goes down.

All the current hysteria about prices going for more than listing price? Been there, sold for that...but look at 2008-2011 for a little reality check.
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Old 02-13-2017, 04:26 PM
 
Location: Berkeley Neighborhood, Denver, CO USA
17,710 posts, read 29,829,274 times
Reputation: 33301
Quote:
Originally Posted by lmh182 View Post
When a market heats up the way Denver has over the past few years, investors tend to take notice.
Data. Good table.
Calculated Risk: Lawler: Some Data on Institutional Holdings of Single-Family Properties

"There are a few striking things to note. First, none of the properties held by these companies are in either the Northeast of the Mid-Atlantic regions of the country. Second, the different entities have decidedly different geographic concentrations, though none would be classified as “geographically diverse” relative to the US as a whole. And finally, the entities’ single-family rental property holdings are especially large relative to the size of the overall housing market in Atlanta, Charlotte, Orlando, Tampa, and (to a lesser extent) Phoenix."
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Old 02-13-2017, 04:40 PM
 
2,762 posts, read 3,186,661 times
Reputation: 5407
Quote:
Originally Posted by lmh182 View Post
Do you think Denver housing will come back down in price? I don't have a problem with paying $350K for a place to live, but I will have a problem if in 3-5 years that house is only worth $200K.

So any thoughts on whether prices will decline?
It will slow down some, may even go negative just for a bit, but unless there is something that causes mass layoffs, there is not going to be a major downturn, i.e. bubble pop.

The days of affordable housing in Denver is gone forever and over the long term it is only going to get more expensive.
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Old 02-14-2017, 07:15 AM
 
Location: Way up high
22,339 posts, read 29,439,446 times
Reputation: 31497
Quote:
Originally Posted by Timmyy View Post
Yikes. I am surprised it isn't listed for less.

First of all, anyone who pays that money for that house is an idiot. It clearly hasn't been taken care of. The people selling it couldn't even make their bed or put dishes away for pictures. No thanks
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Old 02-14-2017, 07:30 AM
 
Location: Denver CO
24,201 posts, read 19,215,171 times
Reputation: 38267
Quote:
Originally Posted by himain View Post
First of all, anyone who pays that money for that house is an idiot. It clearly hasn't been taken care of. The people selling it couldn't even make their bed or put dishes away for pictures. No thanks
the people living there are renters, not the sellers. The listing states it's two currently occupied rental units.
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Old 02-14-2017, 08:02 AM
 
Location: 0.83 Atmospheres
11,474 posts, read 11,562,622 times
Reputation: 11986
Quote:
Originally Posted by Timmyy View Post
Yikes. I am surprised it isn't listed for less.
Quote:
Originally Posted by himain View Post
First of all, anyone who pays that money for that house is an idiot. It clearly hasn't been taken care of. The people selling it couldn't even make their bed or put dishes away for pictures. No thanks
You guy need to look at it from an investment standpoint.

The listing description states that they are currently getting $1000 a month for the upper unit, $700 for the lower unit, and $450 for the garage. That's $2150 a month or $25,800 a year. $25800/$239,900= a 10.7% annual return on cash assuming no vacancy and maintenance. I always assume one month of rent a month is gone so that brings the return down to 9.8%. Still really good, but it depends how realistic existing rents are and how much work the house needs immediately and in the short term.
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