Current Status of Colorado Market Other Than Denver

[Dan Mackin]

Figured it would be helpful to get and give an update on the Colorado market outside of Denver. Lots of posts about the state generally lead to the capital, but let's give the rest of the state some love. How about Fort Collins, Colorado Springs, Grand Junction, Greeley, Pueblo, Durango?

I'll give a general update on my area. I live 20 minutes east of Boulder, but west of I-25. New builds are everywhere. Everything from 1700 sqft to over 6000 sqft. The general base price is around 300k and generally gets you a two story home around 1700-2000 sqft. Even with the massive amount of building happening the prices continue to rise. One neighborhood even had raffles for lots since they have sold phase 1 so well. Cost of water continues to be a massive portion of the costs for building. We do live in a high desert, but grass is just so pretty and green...  Metro districts are the way for many of the communities to build the infrastructure so be highly aware of the taxes when looking in the area.

As for established builds. Inventory is low just like the whole metro area. Buyers all over are resorting to removing as many contingencies as they can to get a contract. Many are beaten out by cash offers. Established home pricing has risen consistently with townhomes and some condos leading the charge due to affordability. There was speculation that the oil and gas slowdown would affect the area a bit, but that does not seem to be the case. I have noticed some of the workers leave the area, but were very quickly replaced. Boulder and Louisville remain high in the price bracket and maintain a steady increase due to limited options for building. Lafayette is the next down the line and is looking like it wants to catch up with Louisville. 

Numbers are tight as far as investments go, but they can be made with diligence. I have come across multiple sellers who are selling off market and still attracting multiple offers. As for the time being there does not seem to be a slow down coming in the near future. Demand is high all over the area and supply just can't keep up.

So how is it in your corner of the state? Give some insight. We all know about Denver already :-)

[Dan Mackin]

Time for my update since the year is coming to an end.

There are actually areas in Northern Colorado where homes are finally going for below asking. Not saying there is a slow down up here, but the increases have been so dramatic that owners are just shooting for the stars and getting underbid for once. Don't get caught up in the thought that everything is going to have multiple offers over asking.

New builds are still going up like crazy and have very minimal stock. Affordable housing is still flying off the market if it's in livable condition. 

Everyone in the Boulder area is waiting for Google to open their new campus. It will add somewhere around 700 new jobs initially to the area once they ramp up. The capacity of the first leg of their building is 1000 employees and they currently have 300 in Boulder already. There will be a second leg if they decide to build which can accommodate 500 or so more.

General overview is that things are still hot, but it is a little slower right now. Could just be the season.