The Skinny on Real Estate

A blog about Broomfield real estate

Do your crazy relatives drive you over the edge this time of year? Don’t have as much money as you’d like? Having trouble keeping up with your mortgage payments? Wish you were thinner? etc.? etc.? etc.?

Put all of those things aside and visit the www.anysoldier.com website. Find a soldier who will spend the holidays far away from his/her family this year and write them a letter of thanks.

If this makes you feel a little better try going one step further and send them a DVD or some cookies or a good paperback book you just finished reading.

You have to give the site your name, home address and email address. The organization then emails you the soldier’s mailing address.

If you send a package most of the time you have to mail it from the post office unfortunately because you’ll need to fill out a very short form for customs. It only takes a minute or so, although I can’t always vouch for the line at the post office!

If you send a letter you can just send it from your house for the regular US postage rates.

Any Soldier, Inc. is a 501(c)(3) organization so you can deduct your donations from your taxes. (Keep your receipts!)

I sent a used Sylvester Stallone DVD to a Naval ship this morning along with a brief note. (The descriptions on the website will tell you what the soldiers are requesting.) It was a DVD that I was going to give to the thrift store anyway and it only cost $1.80 to send.

Such a simple and inexpensive gesture for soldiers who give us so very much!

If you heard that .002% of households went into foreclosure last month what would your reaction be?

I suspect it would not be one of shock and horror. It might even make you think that the real estate “crisis” is not such a crisis after all?

Well guess what. It’s true.

The media is trumpeting the most recent foreclosure news released by RealtyTrac. Foreclosures are up a whopping 68% from this time last year! And 1 in 617 homes went into foreclosure last month!

Loosely translated: .002% of homes nationwide, went into foreclosure last month.

In Colorado, .003% of homes went into foreclosure last month.

Nationwide, foreclosures dropped 10% since last month which, according to Realty Trac, is the first double digit monthly decrease since April 2006.

I have other issues with RealtyTrac and the way they count homes in foreclosure but that’s for another blog post.

Wow. What a month it has been for home sellers in Broomfield! The average home sale price in Broomfield, for the month of November, was a whopping $437,108 - up from last month’s price of $314,897. The highest sale prices all year. The average Year To Date sale price is $340,292.

This time last year the average sale price was $395,976 and the Year To Date average sale price was $326,493.

In August the Metrolist service reported that there were 408 active listings but in November that number had shrunk to 316. 18 listings expired in November as compared to 23 in August.

So what does all of this mean? For starters, there are obviously a lot of brand new homes in Broomfield which can drive prices up including Wildgrass, Anthem and the Broadlands. But this also seems to indicate that more people are obtaining mortgages and are able to close on the sale of their homes which was more of a problem back in August.

Yes, despite what the national media likes to cry about every night people are getting mortgages, people are PAYING THEIR MORTGAGES ON TIME (over 97%!!!), and home values are going up. Personally I don’t think that the national media should be making broad comments on the real estate market any more than they do the weather. Can you imagine the weather lady on Fox News telling you the average temperature of the United States for the day? What good would that do us in Broomfield? Real estate is LOCAL, LOCAL, LOCAL.

Okay, before I get too worked up here let’s move on.

For condos in Broomfield the average sale price was $192,817 which was down from $224,807 in October. It’s important to note however, that the average Days On Market in November was 88 compared to an astonishing 202 the previous month. Again this may very well indicate that credit markets are opening up a little which is obviously extremely helpful for home buyers.

For November of last year the average sales price of condos in Broomfield was $196,879 with 155 Days On Market.

All of this data came from the Metrolist service.

If you want to know what homes are selling for in your neighborhood please don’t hesitate to email me at beth@bethskinner.com for a FREE, no obligation, comprehensive 12-month report on sales data in your neighborhood.

My answer is a resounding NO! I know, I know, as a real estate agent I imagine I’m supposed to support this, but I’m a rabid “free-marketer” first and a real estate agent second. Selfishly speaking I already pay too much in taxes and am subject to some ridiculous regulations. For those who are in a lower income bracket and want to become home owners, increased regulation and lender liability, that a mortgage bailout will bring, will only hurt them and freeze these folks out of the home buying market.

The Denver Post had yet another article this weekend featuring some poor, downtrodden couple who was suffering under the weight of adjusting mortgage rates. This elderly couple who should have already paid their entire mortgage off, instead racked up numerous credit card debts and refinanced their house multiple times. A house that they bought for $57,000, 30 years ago, now carries a debt of $300,000.

The article goes on to point out that 85% of subprime mortgages are still being paid on time. Why not tell the story of ONE of those 85% who were able to buy a home that they wouldn’t have been able to buy previously? Because that’s just not as much fun! (Note that over 97% of mortgages overall are currently being paid on time, but the media isn’t going to emphasize that either because if it bleeds it leads, and 97% just isn’t very bloody.)

HR3915 the Mortgage Reform and Anti-Predatory Lending Act of 2007 enacts stringent new rules for mortgage underwriting and mortgage brokers that will ultimately make mortgages more expensive and harder to get for everyone.

Mortgage brokers who pushed loans through for folks they knew couldn’t afford them were irresponsible and greedy. By that same token, folks who borrowed that money, thinking they’d “gladly pay you Tuesday for a hamburger today” were also irresponsible and greedy. Unfortunately if HR3915 or some other over encompassing reform is passed we’ll ALL pay for it.

Real estate professionals who support this type of legislative reform now, because it will appear to make things better in the short run, will only decrease their potential pool of clients in the long run.

This lovely home is priced to sell at $6,999! It’s in an adult only community so you have to be 45+ to live there. You can have a small pet though. It’s a single-wide, 1970 Geer model. The furnace is brand new and is worth $2500. The north facing windows are reinforced with plexiglass to help keep winter out. All appliances, including the swamp cooler, are included. Call me at 303.887.1883 if you would like to see this quaint and pristine home. It’s located in the highly acclaimed Grand Meadows Mobile Park.

Whether you’re a real estate agent or just hosting your own open house event it’s important that you be mindful of your own safety and your valuables!

Check out this recent article about thieves in New York stealing things from open house events.

The best thing you can do is don’t have an open house alone, invite a friend, neighbor, your local mortgage broker (just don’t let them lock themselves in the bathroom - long story, you don’t want to know), or someone else to keep you company.

Also, store any valuables that might be easy to cart off in someone’s pocket outside of the house. Get a safety deposit box or leave them with a trust friend or relative.

Should you consider going FSBO (For Sale By Owner – pronounced “fizbo”) in this market? My answer as a real estate agent might surprise some because it’s basically, “Sure!”

As a Realtor I don’t really care if you decide to tackle selling your home on your own. If that is something that you want to take the time to mess with, then more power to you.

If you don’t want to deal with all the potential buyers, the paperwork, the legal issues, the marketing and so on, call a real estate agent and pay them to sell your house. That’s why we’re here. You pay folks to clean your home, write your will, install flooring, fix your plumbing and/or deliver your groceries. You pay a real estate agent to sell your home, same concept.

Do real estate agents have a lot more knowledge than consumers? I would say it depends. I’ve met a number of consumers who have a surprising amount of knowledge about real estate. I will also say that agents in Colorado are required, by law, to take a certain number of continuing education classes each year and I certainly hope that most agents take additional classes beyond their required credits – just for the sake of knowledge - I can say that I most definitely do.

You may want to consider FSBO if you have very little equity in your home and don’t have enough cash to pay a higher commission rate. (Although keep in mind you may be able to talk a listing agent into selling your home for a lower rate because of your financial situation.)

If you’re going to try FSBO I do recommend that you automatically (especially in this softer market) offer at least 2.8-3% commission to a buyer’s agent. You want to give them an incentive to show your home to their clients!

I would recommend against doing FSBO simply because you’re convinced that your home is worth far more than the Realtor told you. You can look up the recent “sold prices” of homes in your neighborhood with your county office. Your home will sell for roughly the same amount. No ifs, ands, or butts. If your home has been updated and is in PRISTINE condition it may sell for a little more than average, but in the end it will only sell for what the market can bear. Realtors don’t dictate that rule, the market does. The most successful FSBO sellers (and Realtors!) understand that and price their home accordingly.

Understand also that even if you can convince someone to pay $x amount for your home, if it fails to appraise for that amount (hint: the appraiser will use recent “sold” data from the county) the lender may not allow your buyers to get a mortgage for that amount.

I also strongly suggest that you hire a real estate attorney to help write the contracts and assist with closing. That way you can be sure your bases are covered.

In terms of marketing, get a nice sign for the yard and make sure the phone number is posted in large, clear numbers. I see a lot of signs where you’d have to get out of the car and get right next to the sign to read it. If you’re offering a commission to buyer’s agents, you may want to indicate that on the sign.

Flyers, flyers and more flyers! Don’t’ force people to call you. If they see what they’re looking for on the flyer they’ll call. Plus your neighbors can take a flyer to their friends and family who might be interested in the house.

Reserve a domain name with your address on it and make a web page featuring LOTS of pictures. I personally think that godaddy.com has the best prices.

Consider mailing postcards (or delivering flyers) to everyone in your neighborhood. Again, someone in the neighborhood might be looking to move up to your house, or they may have friends or family who are interested.

Finally, here are some helpful FSBO articles:

Selling Without a Broker

Should I Get An Agent or Sell My Home On My Own

Sell Your House Yourself

P.S. If you don’t want to handle your own real estate transaction, give me a call at 303.887.1883 or email me at beth@bethskinner.com! I’m currently offering a special rate of 4% commission. This includes extensive Internet marketing, open house events, neighborhood mailings and lit drops, and qualified help right through the closing. I’m a no-nonsense Realtor who works hard for her commission!

I’d read the reviews and hoped that somehow they were all wrong, that the movie August Rush wasn’t as bad as they said, that somehow if I just suspended all belief and reality it would be okay. Unfortunately, it doesn’t just require the viewer to suspend her belief it forces her to take that belief let it hang from a noose and swing and twist in the wind, occasionally allowing the belief to twitch and spasm as all the life is choked out of it.

Matt Brunson of Creative Loafing claims that it takes about 128 coincidences to keep this story going and unfortunately he’s right. Every good movie needs a hearty twist of fate to make you believe in miracles. But this one takes twists of fate and beats them into submission, which is a shame because the basis of the story is pretty good and could have made a decent movie if done right.

Robin Williams plays “Wizard” a bizarre character that is downright creepy and borders on perverted. Of course there is often a place for characters like this but in this case it’s just uncomfortable.

Of course to top it off there was a strange man in the movie theater (okay, not the fault of the movie but it definitely didn’t help things) who kept talking on his cell phone. It was the most bizarre thing I’ve ever seen in a theater; I swear he was acting like he was just sitting at home watching the flick on his couch and talking on the phone. Although maybe it was so bad that he was positive he couldn’t have shelled out $8 for it and he really was at home watching it on DVD.

The most redeeming quality of this movie, aside from the decent soundtrack, is the inherent hotness of Jonathan Rhys Meyers who plays Louis Connelly the father of the musical prodigy August Rush. If you appreciate a healthy dose of eye candy, he’s your man. Otherwise, I recommend waiting until it comes out on DVD and either getting it through Netflix or at one of those 99 cent DVD machines at McDonalds.

12569 Dale Ct.: 1916 square feet; 3 beds/3 baths; 42 days on mkt.; $203,000
2806 Calkins Pl: 1943 square feet; 3 beds/3 baths; 106 days on mkt; $234,000
2754 Bethlehem Cir.: 2871 square feet; 4 beds/4 baths; 173 days on mkt; $255,00

The average sale price per square foot came out to $141 in October. The average sale price per finished square foot was $129 per square foot in October. In the last year however, the average sale price per square foot in Willow Run was $151.

(Please note sold homes for October 2007 were all listed by other Realtors.)

It’s that time of the month again! Home sale statistics are out from Metrolist and while sale prices are below what they were in Broomfield this time last year they are up since last month.

In October the average home sale price (for Broomfield) was $314,897 which is up from $312,505 in September (2007). The average condo sale price was $224,807, up substantially from $182,000 in September. Right now it takes an average of 109 days to sell your home in Broomfield. It takes about 202 days to sell a condo.

The average sales price in Broomfield for this time last year was at $349,470 with 101 Days on the Market. The average condo sales price was $187,573 with 114 Days on the Market.

Anecdotally, I am seeing sellers who are upset that their homes aren’t selling, but aren’t doing what needs to be done to actually get it sold. (Granted, some sellers are in a tough spot, because they owe more than (or pretty close to) what the home is worth and have very little wiggle room.)

Still other sellers aren’t quite getting it, as evidenced partly from the Days on the Market figure above. They’re asking too high of a price for the condition of their home and neighborhood. They aren’t adhering to the “pretty, pristine and priced right” principle. It is a very competitive market out there right now for sellers, because buyers have their pick of homes and time is on their side. You need to give them a really, really, really, GOOD reason to buy your home.

The fact that you love your home just isn’t enough. I’ve had sellers tell me on the one hand they just need someone who loves their home like they do and oh yeah, they need to sell it tomorrow. It places expectations on buyers that buyers just don’t need to put up with in this market.

I understand it’s easy to get used to having things the way they are in your home. Right now one of the lights on the outside of my garage doesn’t work. Frankly I don’t care that it doesn’t work and I have no immediate plans to fix it. However, if I were planning to sell my home I’d have the electrician out here ASAP to fix it. That’s the difference between selling your home quicker and for more money or just hoping that everyone else doesn’t care about those little things that you’ve grown comfortable with.

If you would like my FREE no-nonsense report on how to sell your home in a tough market click here to download the 2 page report, free of charge!

Would you like to know what your neighbors got for their house? Email me with the name of your neighborhood and I would be happy to find out for you.