Why You Should Sell this Spring

Why You Should Sell this Spring

April 2022 Newsletter

As we jump into spring, historically we see an increase in homes available for sale. Coming off the lowest months of inventory to date, this would be welcomed by eager home buyers as interest rates also continue to rise. Beyond the seasonal uptick in listings, there’s a chance we may see a wave of new builds on the horizon as well. 

Before we take a look at inventory, let’s quickly revisit mortgage rates and home prices. As you know, they both continue to climb, but to what extent? 30-year fixed rates are about 1.5% - 1.75% higher than in January, sitting between 4.875% and 5.25%. In comparison, throughout 2021 rates were somewhat steady, but now we’re finally seeing spikes with the help of rising inflation, geopolitical uncertainty, and actions from the Fed.

Mortgage Rates graph- updated v2

Where are mortgage rates headed through the rest of the year? The National Association of Realtors’ Senior Economist and Director of Forecasting Nadia Evangelou says, “While higher short-term interest rates will push up mortgage rates, I expect some of this impact to be mitigated eventually through lower inflation. Thus, I expect the 30-year fixed mortgage rate to continue to rise, although we aren’t likely to see the big jumps that occurred over the past few weeks.”

 

On top of increased mortgage rates, Colorado saw an average of 20% appreciation last year. While prices continue to rise, this also means big equity gains for homeowners. If you’ve been waiting for the right time to buy, this may be the perfect time to make a move. Locking in a (still historically) low mortgage rate is a no-brainer, but let’s not forget the shortage of homes. Spring is the time of year when we usually see listings come back into the market, but a new build may also be a great option. Housing permits in the Denver Metro grew 16% in 2021 according to census figures, the highest rate in five years.

 

While 5.00% doesn’t sound as nice as the sub-3% rates we saw over the past year, let’s look at an example that demonstrates why it’s still a great time to buy, and why waiting will cost you. Say you purchased a $400,000 home today. With 10% down, you’d have a $360,000 mortgage at 5.00%, resulting in monthly payments of $1,932 (not including homeowners insurance, taxes, private mortgage insurance, or other fees as they vary based on location). Let’s say appreciation ends up at just 10% for 2022, even then your home would be valued around $440,000 in just one year. If you divide that $40,000 increase in equity over 12 months, that’s about $3,333/month, which is over $1000 more than your monthly payment.

 

If you’re ready to buy, waiting will only cost you. I have a number of programs to help you lock in your dream home, two of which are perfect for our current market: 8z Cash Buyer, allowing you to submit an all-cash offer, and 8z Modern Bridge, which allows you to buy and move into your new home before selling your current home. Give me a call today!

Monthly Market Snapshots

Monthly Market Snapshots

Denver-Metro---Mar-2022
Boulder-County---Mar-2022
Northern-Colorado---Mar-2022
Colorado-Springs---Mar-2022

Glass Half Full: Denver’s Premier Philanthropic Food & Drink Event

Glass Half Full: Denver’s Premier Philanthropic Food & Drink Event

2022-03-22_11-27-46

For those of you who may not be familiar, Greenhouse Scholars is a diverse community of leaders using education to transform underserved communities in our backyard and around the world. They empower promising young students with the personal, professional, and financial resources they need to create lasting change in their own lives and the lives of others.

Glass Half Full is Denver’s premier philanthropic food and drink event - featuring cocktails, beer, wine from local purveyors, cuisine from top local restaurants, and not-to-be-missed silent and live auction items. This year’s event is a great opportunity to meet Greenhouse Scholars and other community members. 8z has worked closely with Greenhouse for years, sponsoring 7 scholars thus far. For the first time, 8z Real Estate is a Valedictorian Sponsor for this year's event - taking place Friday, May 13th from 6pm - 9pm at McNichols Civic Center in Denver.

Prepping to Sell? Cleaning Up the House for Summer? Don’t Miss these Key Items!

Prepping to Sell? Cleaning Up the House for Summer? Don’t Miss these Key Items!

Spring Cleaning Checklist

All Rooms

  • Dust ceiling fans & light fixtures
  • Clean windowsills and window tracts
  • Vacuum curtains and window blinds
  • Wipe down shoe molding and dust room corners for cobwebs
  • Test batteries in all your smoke detectors
  • Disinfect door knobs, cabinet handles and light switches
livingroom-SpringCheck
kitchen-SpringCheck

Kitchen

  • Wipe down microwave, coffeemaker and other small appliances
  • Empty the crumb tray in your toaster or toaster oven
  • Empty refrigerator and defrost freezer
  • Clean your oven and scrub the stovetop/range
  • Clear out cabinets and wash shelves
  • Sanitize the sink and clean the inner rim of your sink guard
  • Clean refrigerator shelves

Outdoors

  • Remove everything from your garage and reorganize
  • Pressure wash your deck and outdoor furniture
  • Hose-out your garbage can and recycling bins
  • Remove screens and wash with a soapy sponge and water
  • Wash the outside of your windows before replacing your window screens
  • Clean out your gutters & downspouts
Outside-SpringCheck

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