Home prices in central Denver are overpriced (apartment, to rent)

[wil45]

Does anyone else here agree? I'm a single professional with a moderately above average income and NO debt. Yet, I can't find anything afforable in a decent neighborhood except SW Denver which I won't live in. My options there are little chicken coop houses in the "hood". I'm a native of Mn. and considering a move back to Mpls because of this situation. In N. Mpls (higher crime area) there's wonderful architecture and SFHomes from the 1920-30's going for 35-80,000$.

[formercalifornian]

Sadly, what you say is true. Housing prices are very high compared to median salaries.

[cobeachgirl]

Yes, most homes we have looked at to purchase in the last 2.5 months are overpriced according to the recently sold comparable homes in the same area.
edit: I'm sure not ALL homes are overpriced, just the ones in our price range.

[Count David]

What is your price range?

[mafaldam]

yeah, housing prices here bubbled waaaaay beyond salaries, IMO. and it's come down some, but not as much as they went up. i'm amazed at what it would cost to rent a decent apartment/townhouse now, compared to a few years ago.

[downtownnola]

I agree. I think that the housing market in the Denver metro area is over-priced in general, especially when compared to average salaries.

[ocean2026]

I think they are overpriced but it depends on where you are comparing with.

I also hope prices continue to decline so maybe I could pick up something reasonable.

Compared with Buffalo or Corpus Christi Denver is hugely expensive. Its easy in Buffalo to find a 2000 sq ft house for $25or 30k, Corpus Christi, El Paso, Pittsburgh and Cincy are all more exp than Buffalo but way cheaper than Denver. Cleveland and Detroit are also really inexpensive but in most people's opinion, not nice places to live.

Miami and much of California, NYC and Seattle are more expensive than Denver. Miami is getting cheaper quickly but still more pricey.

It seems, and the stats back me up, that houses in central denver sell for quite a bit less than the asking price. Make low offers until you get what you want for what you want to pay.

[Mikieo415]

Unfortunately this is supply and demand. The prices are way too high because people are willing to pay them. All we can hope for is a market correction.

[steveindenver]

I'd say prices are better than most cities that offer as much and only going to increase in Central Denver as the exurbs then the suburbs (that don't have light rail access) are abandoned given increased energy costs.

The central Denver market has not seen a large runup in prices during the last cycle, so don't expect to see a huge decrease within the urban core.

The downside to Denver has always been a large group of people willing to work for less than they can earn in other areas because they want to live in Denver. If this trend came to a halt you might see a decrease; but I see that as unlikely.

[DenverR.E.Helper]

Prices here sure are higher than in other cities. But, just like the price of gasoline, there is not much we can do about the price of Denver homes as compared to incomes. Everything I see in the market today indicates that Denver's home prices have just recently leveled out and are now starting to turn back up in the more desirable area. Homes in even the least desirable areas of metro Denver are expected to be appreciating again by the end of this year or the first half of next year.

My two boys pointed out to me some time ago that even professional job incomes have not gone up anywhere near as fast as the price of homes (on a percentage basis) over the past five, ten, fifteen & twenty years. It is considerably more difficult to afford a home today than anytime in the past. The melt down of the mortgage industry has now made it even more difficult to qualify for a home loan. Unfortunatelly, home ownership will not be easier to achieve in our future.

If you are at all serious about buying a home, be sure to first talk with a local lender to see what their requirements are. They can also quickly check your credit and then discuss with you the types of loan programs available that will best meet your needs.