Predictions for Colorado's 2020 Real Estate MarketPosted on Dec 23, 2019
Whether you are considering investing or selling in the Colorado market, it is critical to know what the expected performance of Colorado’s market will be in the upcoming year. While real estate prices are not as extreme as many other locations within the United States, they are still beginning to interest experts and non-experts alike. The three predictions listed below are of Colorado’s 2020 Real Estate Market - and may be useful to potential investors and sellers as the new year quickly approaches.
Real Estate Prices and Affordability
One of the most predominant housing market predictions for the United States as a whole is that affordability will continue to falter for those looking to purchase a home in a variety of markets. This may be a result of home values skyrocketing in other states around the US - some of the most expensive including areas of California and New York. However, in Colorado this predicament looks different from the point of view of out-of-state Realtors who are used to significantly higher prices in other ideal investment locations. This means that although median property prices in Denver-metro are relatively high, it is still much lower than that of other popular markets. Therefore, the Mile High is still expected to continue to attract both local and out of state investors in the upcoming year.
Market For Buyers
The 2020 housing market in the United States is predominantly a seller’s market. However, this seems to be untrue for Denver in particular. Denver’s housing market is expected to stay a relatively relaxed market for buyers. The steady increase in the number of houses available seem to exceed the number of buyers!
Appreciation of Real Estate
What is real estate appreciation? Appreciation is a term used in real estate meaning the increase in a home’s value over time. How much a property appreciates every year is dependant on the local real estate market and improvements made to the home over time. Appreciation is a factor to consider when speaking of home prices and Colorado’s current market. Within the past two decades, the value of Denver’s real estate has increased by almost 150 percent. This percentage exceeds both state and national averages. For current real estate investors, this can be considered good news, as real estate appreciation is one of the ways to make money from properties long term.
Although prices within Colorado’s market are steadily increasing as we approach the new year, our 2020 predictions reveal that the Mile High is still offering a balanced and stable market. Prices are still lower than competing states, and real estate appreciation is good for long term investors.
If you are considering making a move in Colorado, trust the team with over 40 years of combined real estate experience to assist you in navigating the market. From Castle Rock to Fort Collins, Team Lassen has experience in all areas of buying and selling. Get in touch with us today!