The age old “when should I sell” question. Prices on homes are high in Colorado now, but more and more people are moving there. Does that mean prices will go even higher? It’s always a possibility, but not a guaranty. Remember the 2008 bubble burst? Price corrections exist for a reason, and even the most coveted neighborhood has its price ceiling.
The Denver area may just be ready to hit its limit.
According to the Time.com article, The Hottest Real Estate Markets for the Next Five Years, the growth in industries like energy extraction and aerospace have created high housing demand in Denver. This has pushed up home prices.
However, with demand comes new home construction, and Denver hasn’t been immune to that trend. Because of a spurt of new home construction home prices will most likely not go much, if at all, higher.
If you are thinking that holding out for all those new people to move there and selling your home at an even higher price, that’s a great pipe dream, but probably not your best strategy.
Prices for homes in most areas are already high and Days on Market stats have been increasing. Knowing that you can get the most for your home now is a rather good incentive to sell. That’s not to say that it won’t be a bit more difficult to sell.
Higher prices mean it’s more of a seller’s market. Just rely on your Realtor’s advice.
Selling now while prices are still high is an especially good idea if you are moving out of the area.
If you are downsizing, selling your larger home now for a higher price means more money in your pocket after you buy your just right sized home. Will that be at a higher price too? Yes, probably, if you stay in Colorado. But if you are moving elsewhere it could mean a substantial nest egg to purchase and live.
You could even buy a bigger house out of the area as one of our past clients did when moving from Westminster to the Tampa Bay area. Lower house prices there meant that they could take their “Denver Money” and buy a significantly larger home in a gated community there.