One thing helping homeowners right now is price appreciation, especially in the entry-level market. In the latest Home Price Insights report, CoreLogic reveals how home prices increased by 4% year-over-year and projects prices will rise 5.2% by December 2020.
Why is this good news for the homeowners?
When prices appreciate, homeowners gain equity. In addition, those planning to sell this year, especially in the entry-level market, can potentially earn a substantial profit.
Dr. Frank Nothaft, Chief Economist at CoreLogic, says:
“Moderately priced homes are in high demand and short supply, pushing up values…Homes that sold for 25% or more below the local median price experienced a 5.9% price gain in 2019, compared with a 3.7% gain for homes that sold for 25% or more above the median.”
As Dr. Nothaft indicates, the lack of inventory continues to drive home price growth. This means there’s a high demand for homes in this tier of the market, making it a great time to consider using your equity to move up to a bigger or more premium home.
When you upgrade your home, you may be able to find the amenities or features you’ve dreamed of – such as a yard to plant or garden in with your family this spring, or more outdoor space for entertaining this summer. Maybe it’s the master bath you’ve always hoped for, or a garage to finally park your car inside.
Whatever you choose, if you’re moving out of an entry-level house, you’re likely going to be in the driver’s seat as a seller.
If you’d like to own a bigger home, let’s get together to discuss your situation. You may be surprised by the current value of your home and the equity you’ve gained.
Search Denver Area Homes:
Start the process today by searching the MLS for your next home. Mortgage interest rates are still historically low and the metro Denver market has more housing inventory that it did a few years ago. Explore the homes available today to get a feel for price points, types of homes, and locations so you have a better feel when it comes time to take a more serious look. My Denver real estate blog is full of useful information for homebuyers considering buying a home. Please call me, or send me an email / text, to discuss your thoughts about your next home.
Please contact me before you look at new construction, remember the builder’s real estate agent represents the builder’s interest, not your’s. There is no cost for you to have a buyer’s agent represent you in a transaction with a sophisticated seller. In fact, I may be able to help you save money and negotiate for extras which the builder may not let you know about.
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Time To Sell Your Home?
When it is time to sell your home in the Denver area, I encourage you to work with a real estate agent who has the experience and knowledge to provide an accurate market comparison so you can determine the right asking price. The market is more balanced now and your asking price is an important component of your selling strategy. And if you are selling your home to then buy a new home, you’re in luck, we are now in a “goldilocks” market ideal for that type of transaction. Contact me today to learn how your home stacks up against the competition and how we can position your property to sell quickly and for a fair price.