One of the most commonly asked questions is whether now is a good time to buy or sell a house in Northern Colorado. If you’re curious about it, too, continue reading on to find out our answer!
Making the decision to buy or sell requires careful consideration, especially in today’s hot market. Given the dramatic recession and real estate market crash in 2008/09, the question on everyone’s minds is: is now a good time to buy/sell?
Northern Colorado real estate market
It’s true that the global real estate market dynamics are not ideal right now. Mortgage interest rates have significantly increased, home prices are up, the stock market is down, unemployment rate has dropped, and wages are up.
So, what is the situation in Northern Colorado? Well, compared to 2008 and 2009, the inventory for our real estate market is extremely low. There are around 150 homes on the local market right now, which is significantly lower than the 1500 homes we had in 2008 and 2009.
At the end of the day, supply and demand are what dictate the state of the housing market. So, we would need an extreme surge in inventory to see a significant change in the market.
Is now a good time for you to buy or sell a house?
Instead of asking yourself about the current market conditions, the question you should be asking is: is now a good time FOR ME to buy/sell?
If you’re buying, ask yourself whether homeownership is even a goal of yours. Or if you’re selling, why are you selling? Here are some pointers when buying or selling a house:
Buying a house:
- Market conditions: Research the current state of the real estate market in your area. Factors like housing supply, demand, interest rates, and price trends can influence your decision.
- Financial readiness: Assess your financial situation, including your savings, income stability, and credit score. Ensure you have a down payment and can comfortably afford mortgage payments, property taxes, and maintenance costs.
- Future plans: Consider your long-term plans. Are you planning to stay in the area for a while? Buying a house makes more sense if you intend to live in it for several years (4+ years).
Selling a house:
- Market conditions: Evaluate the local housing market to determine if it’s favorable for sellers. Look at factors such as inventory levels, average days on the market, and recent sales prices for comparable properties.
- Equity and profit: Assess the equity you have in your current home. If you’ve built up significant equity, selling could potentially provide you with funds for other investments or a larger down payment on a new property.
- Relocation or downsizing: If you’re considering moving to a different area or downsizing your current living situation, selling your house might be a practical step.
It’s important to remember that real estate markets can be regional and can vary over time. The decision to buy or sell a house depends on various factors, including the local real estate market conditions, your personal financial situation, and your long-term plans. Don’t get caught up in the panic and fear of the current market. Instead, focus on your goals.
There’s never a perfect time to buy or sell
Another important thing you should know is that there’s never the perfect time to buy or sell a property. So, don’t try to time the market. Sometimes you will make smart investing decisions, other times, you won’t. That’s just how life works, so don’t beat yourself up about it too much. Instead, focus on what you can control.
Ask yourself what your goals are with either purchasing or selling. And if those don’t change with the outside noise of recession, market crash, and real estate trends, then go ahead with your plan. Become a homeowner, sell your property, or make that investment!
And if you need any help along the way, we would be happy to discuss with you what it would look like to buy or sell in Northern Colorado. At Soukup Real Estate, we help our clients set personal goals and make decisions that meet their expectations. We’d love to help you, too, so feel free to reach out to us.
