Boulder Real Estate: Colorado: Boulder

Boulder, CO Condos For Sale: A market review of the past 12 months (through September, 2011), indicates that the overall Boulder condo market has improved.  Using IRES data as of today (10/12/11), you might be surprised at the variety of condo/attached dwelling inventory available in the City of Boulder, with units ranging in price from under $100K to nearly $6M!  And with 433 attached units on the market today, IRES reports that 65 (or 15%), are under contract.  Feel free to review a statistical report that summarizes the general Boulder condo market activity over the past 12 months:

It's typical for there to be some seasonality in Boulder condo-market stats, but the data in the above report reflects some note-worthy trends.  Specifically, the 13.8% increase in the median price of a sold listing is encouraging, as is the increase in the average price/square foot, the decline in the MSI (months' supply of inventory), and the decrease in the DOM (days on market).  The combination of all these factors is reflective of an improving market overall; however, it is important to note that these results do not apply to every market segment.  Boulder luxury condos have not performed as well in the past year, with longer marketing times and higher inventory being common.

If you've been considering buying or selling a Boulder condo or if you would like more specific information on a particular sub-market in Boulder, feel free to contact us at 303-441-5647 or visit us online.

Pricing vs. pricing strategy: How often have we all discussed how important pricing is when it comes to listing and selling homes?  There's no question that under any set of market conditions, the process of arriving at an appropriate list price is critical.  However, not all home sellers want or need to sell their home instantly, which brings into focus the difference between simply pricing a home vs. having a specific pricing strategy.

The process of "pricing" a home is common in our business, but in my 26 years' experience I've learned that one size does not fit all.  Clearly, some sellers do need to sell quickly and there's an appropriate strategy for that.  There may also be some value in not simply pricing a property with a cookie-cutter approach, but developing a pricing "strategy" that takes into account market conditions as well as the seller's specific objectives.

A lot of brokers who list REO's already do this routinely; the bank has a hightened sense of urgency to sell the property and, many times, wants to sell the property quickly.  As a result, they may list the property at a price that they hope will accomplish that.  What I think many of us may be overlooking is that the process works the other way, too.  Take, for example, the seller who has a well-thought-out reason for not wanting to sell in 5 minutes: What is the appropriate pricing strategy for them?  Don't most CMA's result in a suggested price range?  Where in that range is appropriate for this particular seller?

This is obviously not about the seller who is in denial about their $300,000 home being worth $400,000; there is no effective strategy for that.  It just seems to me that with something as important as pricing is to our clients' success, we should be developing pricing strategies that are as unique and varied as the homes and the clients we represent.

If you're interested in selling a Boulder home, let's talk about the most effective pricing strategy for you and get your home sold!

New Listing in Boulder!  1520 Lodge Ct. (MLS 651774), is a turnkey home that simply screams "pride of ownership".  This 4-bedroom, 4-bath home in Brookfield is warm and inviting, features a main-floor master suite, an open floorplan, wood floors, upgraded kitchen with stainless appliances, a professionally-finished basement and a unique guest bedroom upstairs with a kitchenette - very functional and rare.  This home has been meticulously maintained and upgraded by the owners . . . and it shows!  Priced at $629,900, it is one of Boulder's best values.

The Brookfield subdivision is conveniently located just south of Arapahoe and 55th, near the Flatirons Golf Course, in Boulder, CO, and is known as a low-maintenance neighborhood as the HOA takes care of the front yards as well as all the common areas.

If you've been thinking about buying a Boulder home in this price range, you have to take a look at this one.  With all the features and amenities this home offers and with the low HOA dues of only $130/month, 1520 Lodge Ct. might be the perfect low-maintenance option for you!  Feel free to call Phil Boren at 303-441-5647 for a private tour, or visit us online for more information and a virtual tour.

Downtown Boulder Condos For Sale: 2034 Pearl St., Unit 200 (MLS 647928) - If you've ever looked for a Penthouse condo in Downtown Boulder, CO, you've probably been faced with a dilemma:  either compromise on things like space, parking, or both . . . or pay more money.  With our newest listing on trendy Pearl St., you'll face no such dilemma!

This stunning Penthouse condo was just completed in 2010, with meticulous attention to detail and only the finest finishes.  Spanning 2 floors and offering over 2,900 square feet, this property is one of Boulder's finest residences.  With features like in-floor radiant heat, 10-foot ceilings, custom lighting and fixtures, 4 bedrooms including a main-floor master with its own washer and dryer hookup, 5 baths, plus a large office at the top of the stairs along with another laundry room, 3 parking spaces in the ground-level, heated garage, and elevator access, this is a rare opportunity to own a home in Downtown Boulder - not just another "unit".

The modern, open floorplan opens to extensive outdoor living areas on the main floor, and each bedroom has its own access to a private balcony with mountian and city views.  The kitchen has been appointed to satisfy even the most demanding cooks, with 2 Wolf ovens, a 6-burner gas range, a Bosch dishwasher, 2 sinks, custom cabinets, slab granite, a walk-in pantry, and a 48-inch Sub-Zero refrigerator.  There's also a separate dining room.

Check out all Boulder condos for sale at www.BoulderCondosOnline.com, or focus on the Downtown Boulder luxury condo market.  This new listing is a rare opportunity in Boulder, and is a place you will be proud to call home.  Call me for more information and a private tour today!

Selling a Boulder home: Are you commited or just dedicated?  Selling a home in any market today requires, in many cases, some sobering doses of reality.  I'm writing this post in honor of my college football coach, Lou Holtz, who is famous for many things - one of them being for his motivational quotes.  You can Google "Lou Holtz quotes" and read about many of them.  I've heard them all many times and have commited many of them to memory.

This one in particular relates pretty well to real estate, and specifically to the mindset necessary to sell a home in today's market.  As college football players at the University of Arkansas in the early 1980's, we were asked this question as it relates to winning.  The Lou Holtz version centered around the well-known breakfast menu of ham and eggs, and he would ask us if we believed we were dedicated to winning?  Believing we were, we answered in the affirmative (as if "no" was an option).  Coach Holtz would then ask, "OK, but are you commited?"  That's way too deep of a concept for 18-year-olds, so he goes on to explain the difference using the breakfast analogy:

"You see, men, make no mistake - the chicken is dedicated.  It takes a lot of dedication to do what they do, day in and day out.  But the pig . . . he's commited!"  That story always got a big laugh - more from freshmen than from seniors who had heard it dozens of times - but it drove home his point to us and I've never forgotten it.

Regardless of where you live, in today's real estate market it takes an extra level of commitment to be successful selling your home.  The "dedicated" sellers might say things like, "We'd like to sell", or "We want to sell, but don't have to", or maybe even, "We're in no hurry to sell . . ."  The "commited" sellers, however, take it to the next level and make it clear that they're prepared to listen and perform whatever task(s) are required, as well as price their home competitively in order to get it sold.  The former usually end up chasing the market down the hill; the latter usually sell and move on.

If you're thinking about selling a Boulder home, I hope this will help you make a solid commitment to the home-selling process and enable you to be successful in the face of what may seem like long odds.  For more information about Boulder real estate or more Lou Holtz stories, feel free to contact me.

Boulder Real Estate: Are we there yet?  If you've ever traveled with children, you've probably heard the "Are we there yet?" question more than once.  It's their sense of anticipation and lack of patience that tends to make them ask it over and over . . . and over.  A lot of home buyers in Boulder Valley seem to be asking a similar question these days, albeit in a slightly different way.  Their underlying question boils down to this: Is it the right time to buy a home in the Boulder real estate market?  For a lot of reasons, we think the short answer is, "Yes".  Let's look at some residential re-sale statistics from IRES for the City of Boulder over the last 12 months.  The first chart reflects the median price of a sold listing and of homes listed for sale; the second reflects the number of units over the same time period:

We have to remember that these are broad residential re-sale statistics and that results can vary if we break these numbers down by price range, but what these overall 2010 results reflect is that Boulder home prices have increased slightly over the past year, with the median price of a sold listing up about 2.5% to $549,450 in December.  It's also very interesting that the median price of active listings has decreased by almost 5% over the year, as sellers have tempered their asking prices.  So if median sale prices are up and asking prices are down, are buyers and sellers in Boulder getting closer together?  The data suggests that they may be - and that's a good sign.

In addition, the number of units sold over the period was up about 10%, but the number of units for sale - or the inventory number - increased by 29%.  It's easy to spot the seasonality that is built into our local market here in Boulder, but the increase in the number of Boulder homes for sale also contributed to the modest decrease in overall list prices.

In general, home prices tend to be a lagging indicator, meaning that they tend to react after sales volume - both up and down.  When we see increases in both prices and the number of homes sold (volume), it can be an indicator that it's a good time to buy.  When you couple this with the historically low interest rates we have right now, the indication becomes even stronger.

If you're considering buying or selling a Boulder home, contact us and we'll be glad to dig a little deeper into specific area(s) and price range(s) that you're most interested in and come up with a plan that is right for you.  Feel free to browse the Boulder MLS and read more about Boulder, CO at www.BoulderHomeResource.com.

Spanish Towers condos for sale in Boulder, CO (MLS# 645496):  We just listed a beautifully-remodeled Penthouse unit in Spanish Towers, right across from the University of Colorado campus!  This is a rare 3-bedroom 2-bath, two-story floorplan with a main-floor master bedroom, that rents very well and is very neat and clean.  Located on the top of the south tower on the 5th floor, this unit features a stunning contemporary kitchen with upgraded cabinets, stainless steel appliances, and sleek slab granite - very easy to maintain.  The kitchen opens to a large living room with a brick fireplace and access to the balcony.  New carpet, new paint, and remodeled (full) bathrooms are also outstanding features, and it has a rare in-unit washer and dryer that keeps residents from having to use to the main-floor laundry facility.  Finally, there's a large, private balcony that offers nice outdoor living space, and a beautiful mountain view.

Spanish Towers is conveniently located near the University, shopping, and the bus line, and also features a security entrance and elevator access.  Residents enjoy the private use of a year-round pool, fitness center, and clubhouse.  There's also a private courtyard and on-site parking.

If you're looking for a really nice, clean Boulder condo that's near CU and is move-in ready, you have to see this new listing!  Feel free to browse all Boulder condos for sale at www.BoulderCondosOnline.com, or see just Spanish Towers condos for sale.  For more information or a private tour, please contact us at 303-441-5647.

The importance of a floorplan: All square footage is not created equal!  I was inspired to write this post after a conversation I had with another broker the other day; during our negotiations, he made the point that a particular home had recently sold for much less and, based solely on the square footage difference, the home we were negotiating a sale on should also sell for less.

Of course, there are circumstances where it can be pretty accurate to make this case, i.e. tract-home subdivisions where the lot sizes, quality of construction and floorplans are all within a pretty narrow range.  To break sales prices down using this unit of comparison will probably give you reasonably consistent results.  No problem.

The problem is that the many homes in the Boulder real estate market don't really fit into the definition of tract-home subdivisions.  As a result, the price per square foot may not be a good indicator, and it brings into focus the value and importance of a home's floorplan.

In general an open, flowing floorplan with practical and functional spaces will appeal to more buyers today than a home with the same square footage that is compartmentalized and "choppy".  Buyers will say they just don't like the "feel" of a particular home, or that the kitchen is too far removed from the rest of the living space, etc.  What they're really saying is that despite the fact that the square footage of a home is similar to another home on paper, they prefer the layout, or floorplan of one over the other.

It can be difficult, but home sellers today have to be made aware of these nuances in the real estate market, because many times they tend to compare what they hear about a comp to their home - specifically the square footage.  If their home is bigger than a home that recently sold down the street, theirs should sell for more, right?  Well, maybe.

Here's an example: I've seen many homes that are listed as short sales that have some sort of functional deficiency, i.e. a bad floorplan or wasted space, which contributes to the fact that the home is worth a lot less than what the seller owes on it.  If we could go back to the point in time when they bought that house, we might find that these issues were ignored or minimized because the market was much different at that time.  Now that the market has changed, the issues are actually magnified.

Whether you're buying or selling a home today, this is one area where you can and should rely on the expertise of your agent.  Look at other homes on the market with a critical eye towards the functionality of the space, not just the square footage numbers.  Remember, all square footage is not created equal!

If youare thinking about buying or selling a home in our area, feel free to use our online resources below to help or simply contact us.

When is it a good idea to pay points on a mortgage loan?  This is a common question for people buying a new home, but it also comes up when an existing mortgage loan is re-financed.  In general, the practice of paying "points" on a loan is fairly common and is often viewed as simply a cost of obtaining the loan.  The question that people obtaining a mortgage should ask is, whether paying points is a good idea and a sound financial decision based on their specific circumstances?  In order to answer this question, borrowers have to look at the mechanics of the way points are charged, and do some simple math that will make the decision much easier.

Here's the problem: Many borrowers shop for mortgage loans based solely on the interest rate, or "face rate" of the loan, and don't really pay enough attention to the APR.  The difference between the two has to do with fees and costs associated with the loan that typically cause the APR to be slightly higher.  Loan points can be a big part of those up-front costs.  So, what is a mortgage loan "point" and how is it calculated?

A point is simply 1% of the loan amount, so on a $250,000 loan, one point would equate to $2,500 regardless of the interest rate involved.  Many times borrowers will want the lowest possible interest rate, and will agree to pay points in order to get a lower face rate.  Depending on the circumstances of the borrower, this may or may not be a great decision.  Here are some practical tips to help you decide if this practice is right for you on your next mortgage loan:

• How much money are we talking about? Convert the number of points into dollars.

• How much less, in dollars, will my monthly payment be if I pay these up-front points vs. not paying them?

• Calculate the "payback" period, i.e, the number of months it will take to break even on this expenditure, by dividing the cost by the amount saved per month.  For example: Paying $2,500 in points to save $50/month, yields a payback period of 50 months ($2,500 / $50 = 50).

• Compare the payback period to the amount of time you expect to be in the home from this point. In the above example, if you felt like there was a good chance you would be in the home for less than 5 more years (60 more months), it might not be a good financial decision to pay those points.

This is a simple example, but many borrowers never make this connection and unnecessarily pay way too much up front to close a loan.  I've had some seasoned home buyers ignore this relationship in their zest to squeeze out the lowest possible interest rate, when the payback period was longer than they've ever owned a home before!  Also think about the flip-side: What if you are planning to be in this new home for another 20 years?  It might make sense to pay even more points up front and come out ahead over time.

In the world of real estate and home mortgages, your circumstances should dictate whether or not paying points is best for you.  Knowing the payback period is just one way to help you make that important decision.  If you're thinking about buying or selling a Boulder home, please feel free to contact us.

Boulder Condos For Sale: Powderhorn unit at 4799 White Rock Circle just listed (MLS 641511).  Conveniently located on the north side of Boulder just off the Diagonal Highway, between Jay Rd. and 63rd, this Powderhorn unit shows the pride of over 10 years' ownership and offers a great value in the Boulder real estate market.

4799 White Rock Circle, Unit C, is a rare end unit near the outdoor pool, tennis court and year-round hot tub!  Tastefully updated with Pergo flooring, stainless appliances and A/C, and is move-in ready - even the washer and dryer are included!  Pets are OK at Powderhorn, and the location is ideal - just steps from the community walking trails and dog park.  Great HOA with low dues and high owner-occupancy (FHA approved).  Features include an open floor plan, vaulted ceilings, cozy wood-burning fireplace, private balcony, and ground-level x-tra storage closet.  2nd bedroom with double doors would also be a great study or nursery.  Powderhorn is close to public transportation, area employers like IBM, and is one of Boulder's most popular condominium projects.

If you've been considering buying a Boulder condo, this Powderhorn unit and this condominium complex represent a great opportunity.  For more information feel free to contact us.  If you would like to browse the Boulder MLS for every condo listed for sale, feel free to visit and bookmark www.BoulderCondosOnline.com.