Colorado Landmark, Realtors is "Leading the Revolution"

Last week, Colorado Landmark, Realtors sent four of our top agent/managers to "Leading the Revolution" - the 2010 Annual Leading Real Estate Companies of the World convention in Las Vegas. The convention was a wealth of information and education about everything pertaining to the real estate industry today. This included topics like new technology, social media, luxury marketing, risk management, short sales, and relocation, to name just a few.

I participated on a panel regarding Luxury Portfolio, the Luxury property marketing division of LeadingRE (stay tuned for a post about that later this week) and the Director of Business Development and Relocation at Colorado Landmark, Pam Metzger, contributed to a panel about social media.

Colorado Landmark was one of four brokerages in the whole network who hosted a booth on "networking night", and we shared some fabulous "Taste of Boulder" products including Justin's Nut Butter, Bobo's Oat Bars, Madhava Honey & Agave, and Pangea Organics. (Thank you to all those wonderful companies for their contributions!).

Leading Real Estate Companies of the World® is a global network of over 600 premier real estate firms with 5,000 offices and 150,000 sales associates in 35 countries around the world.
Collectively, this group has sold over 1 million homes worth $300 billion in 2008, more than any national real estate brand.

LeadingRE member companies dominate the United States' list of top 500 real estate firms, with more of the Number One market leaders in the top 90 markets than any national brand. All member companies are independently owned, and are the top one or two firms in their marketplace.

Colorado Landmark, Realtors could not be more proud of our affiliation with LeadingRE. If you are thinking about buying or selling a home, or simply have a question about Boulder or the surrounding areas, please give us a call.

Jennifer Fly

Broker Associate

(303) 443-3377

jenniferfly@coloradolandmark.com

Twitter: @jenflycolorado

Part 2 - State of the Real Estate Market in Boulder - Words for Home Sellers in Boulder County

This is Part II of a 3-part series. Stay tuned for Part II!

Part 2 - Mortgages, Prices and Interest Rates

While there is hope that the government's Making Home Affordable Program for loan modifications will help, the current numbers indicate that of the 3 million people that requested help in 2009 only 31,000 received permanent modifications. In short, at this time the program is doing little to stabilize home ownership.

While we don't want our clients and friends to panic and overreact, we do want to make sure that all of our Colorado Landmark listings are priced correctly for today's market. If you want or need to sell your home, waiting out the market is NOT the right strategy. Ken Hotard, senior vice president of the Boulder Area Realtor Association, thinks that the worst is likely over, but home sellers cannot expect a quick recovery. "Jobs are still a problem," he said. "Until we see job growth there will be no significant recover in the housing market." Phyllis Resnick, lead economist for the Center for Colorado's Economic Future, projects that unemployment in Boulder-Broomfield will hit 7.1% this year and "It's going to take us close to five years to recover," to pre-decline levels. Boulder Valley's high-end real estate market (homes priced over $1.0M) will continue to lag behind in 2010.

On January 8, 2010 the Wall Street Journal reported on the Fed's plan to stop buying mortgages by the end of March 2010. The article quoted Ronald Temple, portfolio manager at Lazard Asset Management, who sees mortgage rates rising by a percentage point when the Fed stops buying. A withdrawal of government support, combined with high unemployment and rising mortgage foreclosures, could push home prices down 20% he said. What does that mean for you as a homeowner? If you are waiting for the market to improve, don't hold your breath, unless you can hold it for about 4 years! Price your home to sell now, before home prices slide any further.

All this being said, real estate continues to be one of the best long term investments out performing the Dow, S & P, and the Nasdaq over the past 10 years. We are encouraging our clients to buy now before interest rates spike up, and do so quickly.

Stay tuned for Part III!

Part 1 - State of the Boulder Real Estate Market - Essential Words for Home Sellers in Boulder

This is Part I of a 3-part article. Stay tuned for the sequels!

Part I - INVENTORY

Colorado Landmark, Realtors is proud to approach 33 years in business in Boulder and Broomfield Counties, and we are filled with gratitude for the wonderful clients we have been fortunate to work with throughout the years. While our nation and our community faces many challenges, those of us who are fortunate to live in this area have many blessings to be thankful for.

We hope market conditions will improve over the coming months. Regardless of what happens we must make thoughtful decisions based on the way things are and what can be best projected for the future. If you are selling a home, Colorado Landmark's primary focus is to see that your property is sold in the next 120 days for the highest and best price. Locally in 2009 over 68% of properties in our area sold with a market time of 120 days or less. If your property has been on the market for more than 120 days you need to seriously visit the market activity and reconcile that with your pricing strategy. To wait and "test the market" almost always guarantees a lower sales price, longer time on the market, and fewer dollars in your pocket when you walk away from the closing table.

Inventory in Boulder and Broomfield Counties declined over the last 24 months by 11-20% depending on the area, yet we still have 6-7 months worth of active properties on the market as of today, and that is if NO new listings are added. According to historic trends, a market with 5-6 months of supply is considered a "normal" market where prices hold steady, while markets with 7-8 months of supply experience single digit depreciation. As of today Boulder and Broomfield Counties have 6.7 months of inventory on the market, meaning that our markets will be luck to show any small amount of appreciation this year. Prices will likely stay flat.

The bigger issue looming is the mountain of foreclosed properties that banks have held (7 million units across the US) that will be released to the market starting in the first half of 2010 that will put even more downward pressure on home prices. There is clear evidence of a contagion discount effect on neighborhood pricing trends due to the impact of nearby foreclosures. In Boulder and Broomfield Counties there are many bank-owned properties which have not hit the market yet.

George Feiger, chief executive officer of Contango Capital Advisors, expects housing prices in our area to continue to fall as more foreclosed homes come on the market. Foreclosures also should rise, he said, not only because of unemployment, but from strategic defaults - people walking away from mortgages that are deeply underwater.

Stay tuned later this week for Part II - Foreclosures and Mortgages!

The Boulder Home for Sale Next Door is a Foreclosure - What Does that Mean?

What does it mean when a home is a foreclosure? Foreclosure is the legal process by which a borrower in default is deprived of his/her interest in the mortgaged property. When a home is foreclosed on the ownership usually reverts back to the lending institution. People used to think home foreclosure was just a problem for down and out folks, and those with bad credit. Not so anymore. The financial profile of borrowers who experience foreclosure now includes prime borrowers, as even the most credit-worthy folks face economic hardships in the current economy.


What does it mean for a neighborhood when one or more homes go into foreclosure? Foreclosure has consequences beyond those felt by the distressed homeowner. Neighbors will experience a decline in home values, loss of equity and the increased possibility of vandalism and theft. Additionally, the effects of foreclosure on the surrounding community include a reduced taxpayer base. This could mean higher property taxes and/or reduced community services and amenities.


If you know a homeowner at risk of default or who has defaulted on their mortgage, also know that there are agencies who can help distressed homeowners avoid foreclosure. Colorado established the Foreclosure Hotline (1-877-601-HOPE) that connects callers with local HUD approved housing counseling agencies. Nationally, homeowners may find HUD approved foreclosure avoidance counseling agencies by visiting the HUD Foreclosure web page.


Homeowners in a distressed mortgage situation should be proactive and get advice as soon as they think they might be in trouble. Contact the counseling agencies listed above, as well as a local real estate professional who can tell you what the real estate market is like in your neighborhood. You will need to know how easily your home would sell under current market conditions and the likely sales price as compared to your mortgage amount.




Information in this article generously provided by:
Shauna Steingrebe
Broker Associate, Colorado Landmark, Realtors
shauna@coloradolandmark.com
303-588-1721 (direct)

Environmental Landmark in Boulder Real Estate SOLD by ... Colorado Landmark!

Joel Ripmaster, President and Owner of Colorado Landmark, Realtors, has successfully closed on the Next West Home, at 429 Spruce Street in Boulder, CO for a sales price of $2.2 million.

The home garnered local and national attention for its LEED Platinum certification and "Net Zero Carbon" status - one of the first homes in America to hold such a title. Built by the Zero Carbon initiative, the home is a mixture of luxury features and sustainable building techniques, employing technology such as solar panels, geothermal heating and cooling, gray water and direct plumbing systems. Materials included 100-year old recycled brick, FSC certified wood, LED lighting, energy star appliances, and a garage pre-wired for an electric car.

"With this house we are really building for the future," says Ripmaster. "The quality and workmanship, the ability for the house to take care of itself off the grid, appropriate size and livability, the Next West House is truly a look into the future. In 50-100 years people will look back at this house as the beginning of a new age of building, and as evidence that our generation finally 'got it'."

The buyer was represented by Laura Whittaker-Morningstar, also with Colorado Landmark, Realtors. For more information on this unique home visit http://www.429spruce.com/ .

This remarkable home was also featured on the Luxury Portfolio Fine Property Collection website and blog. Luxury Portfolio is the world's most exciting and innovative luxury home marketing program. Colorado Landmark, Realtors is the only real estate company in the entire Boulder-Denver area to hold the distinction of membership in the Luxury Portfolio Fine Property Collection program. To see all of Colorado Landmark's luxury listings on this fascinating website click here.