Summary: The Colorado real estate market is somewhat neutral right now, but prices are expected to pick up over 2020. Certain markets, however, are very hot right now, including Colorado Springs and Grand Junction, due in large part to shrinking inventory. Mortgage rates are extremely low in Colorado right now as well, and considering how prices are expected to rise more quickly in 2020, now might be a great time to break into the market to capitalize on low rates and get in before prices start to take off.
1. Home Values Are Up
The average home values in Colorado increased by 2.6% over the past year. Today, the average home value in Colorado is currently $398,700, according to Zillow.
2. Home Prices in 2020
Colorado’s average home is expected to increase by 2.8% over the next 12 months to reach $409,900 from today’s price of $398,700.
3. Housing Inventory Shrinking
According to the Colorado Association of Realtors (CAR), the supply of homes for sale is decreasing across Colorado. Pueblo, El Paso, and Garfield Counties saw the biggest drops in 2019.
4. FHA Share
FHA-backed loans made up approximately 18% of the overall share of the mortgage market in the calendar year 2019.
5. 30-Year Fixed-Rate Mortgage Ra
Current mortgage rates in CO are currently 3.45% for a 30-year fixed-rate mortgage, 2.97% for a 15-year fixed-rate mortgage, and 3.32% for a 5/1 adjustable-rate mortgage (ARM), according to Freddie Mac.
6. Sales Up in Denver
Sales were up 5.8% in Denver in 2019.
7. Colorado Springs – CO’s Hottest Market
Colorado Springs is expected to be one of the state’s hottest markets in 2020. According to Realtor.com, home prices are expected to increase by 6.3% over the next 12 months.
8. Grand Junction Market Hot in 2020
Grand Junction is also projected to have a hot housing market this year, with home prices expected to rise 5.6%, according to Zillow.
9. Cooling in Boulder
Boulder’s housing market cooled over the course of 2019. And while prices are expected to start inching upward in 2020, the market is still expected to be a rather subdued one. Zillow predicts prices will rise by 2.0%.
10. Colorado Real Estate Ranking
According to data from littlebighomes.com, the Colorado real estate market ranked 28th in all states in the US in 2019.
Need a Home Loan in Colorado?
If you have questions about home loans in Colorado, we’re happy to help. Sammamish Mortgage is a mortgage firm local to Bellevue, Washington, serving the entire state, as well as Oregon, Idaho, and Colorado. Our experts will walk you through our mortgage programs to see which one is best suited for you. Contact us today with any questions you have about home loans in Colorado.