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Property Taxes Will Increase Next Year

Colorado homeowners have just received their latest Assessed Value report by their local county assessor. This reported is based on the difference in property values from June 30th 2018 to June 30th, 2020. Boulder County homeowners are seeing the biggest value increases at 11%, Jefferson County at 10%, Adams and Douglas Counties at 8%, Arapahoe,…

Great National Housing Data

· New single-family home sales soared 20.7% in March to a 1.021 million annual rate. Sales which are reported when contracts are signed are up 66.8% from a year ago. · The months’ supply of new homes fell to 3.6 in March from 4.4 in February. The median price of new homes sold was $330,800…

Rental Refinance Rates are Soaring

Refinance rates on rental properties have increased substantially thanks to FHFA and the Treasury and the number of lenders even offering refinances on rental properties has dropped substantially to just 4 lenders and us selling directly to Fannie or Freddie. Normally, we have over 20 choices, not anymore. Besides the 50 bp fee added last…

Will the 1970’s Return?

No, I am not talking John Travolta, ABBA, or the Bee Gees. I am talking about inflation and what former NY Fed William Dudley said when he was recently interviewed by Bloomberg’s Tom Keene and Jon Ferro. Here are some insights from the interview- · The current Fed will be much slower to tighten than…

Will We See Mortgage Rates of 6%?

One of my favorite economists is Brian Wesburg at First Trust Portfolios. You need to watch his video below. He believes inflation will average 3% to 4.50% over the next 18-24 months. If he is right we will see mortgage rates less than 5% and probably 6% in the next 2 years. Why? Our M2…

Denver is Not Alone

The Denver real estate market is NOT alone in experiencing a housing shortage and soaring home prices. Across the country home inventory levels are down 40% and dropping. According to Black Knight the median single-family home sales price has risen by 16% across the country. In fact, nearly 75% of the largest 100 metro areas…

“How to Fix the Housing Market Inventory Crisis”

This column appeared in Housing Wire on April 6th and was written national housing economist Ralph McLaughlin. Ralph acknowledges that the $15k FTHB tax credit would only make housing inventory scarcer and prices rise even more. Instead he says D.C. needs to use a carrot-based approach to homeowners, such as capital gains tax exemptions for…

Why Denver Home Price Growth May Finally Slow in 2021

This story appeared in the Westword on April 7th based on a new report by Core Logic. Their deputy chief economist believes metro Denver home prices will only increase by 1.9% between now and next February. Why? Because soaring prices and rising mortgage rates are making housing more unaffordable. Second, she believes more people especially…

Only 9 Days of Homes for Sale

Here are the latest 7 county MLS stats for the month of March courtesy of REColorado and SMDRA. ·        4,931 properties closed last month, up 10.5% from March of last year and an increase of 17.2% from March 2019. ·        Detached homes saw the smallest increase in sold properties with 3,271 sales, a 5.4% increase from last…

Should Your Clients Consider a Townhome?

This was the topic of a very personal story on Housing Wire written by a Millennial who had recently purchased a single family home in desperate need of remodeling who watched a friend of hers buy a townhouse instead. “They ended up closing on a townhome, and while this wasn’t their original plan, the perks…

Many Second Homes May Need to Be Financed as A Rental Home

Effective with loan applications on May 1st Fannie and Freddie have new more restrictive requirements for loans on Second Homes as follows- Property must be a 1-unit property, no 2-4-plexes anymore. The borrower MUST HAVE EXCLUSIVE CONTROL over the property. The property can’t be rented out at all. The property can’t be subject to any…

Who’s in Charge in D.C.?

Effective with loan applications on July 1st Fannie and Freddie will no longer buy conventional loans under the 8 year long GSE Patch which allowed lenders and Fannie and Freddie to close loans with debt to income ratios above 43%. Instead, the CFPB’s new definition of Qualified Mortgage Rule will apply even though the CFPB…