Colorado Springs Market Oct 2018

I’ve run into several people already who wish they bought a home a few months ago, so I figured a good topic for today is to talk current market conditions in Colorado Springs and El Paso county.  Most of you know we’ve seen a rise in mortgage interest rates in the last month…last I checked average was around 5.2%, up from  4.5% just a few weeks ago!  With that we’ve seen more homes come on the market, up about 5% from this time last year. Median home prices are down about 6% from their peak in June, and homes are staying on the market for a longer time.  What’s all this mean?  Sellers, be prepared to wait a little longer for an offer, and don’t be tempted to “test the market” at a high price.  Buyers, you’re going to have more homes to choose from, but you’ll probably see a reduction in your buying power by 8% or more due to higher mortgage rates (assuming you aren’t paying cash).  Don’t be surprised if the spring brings us higher rates and only a slight increase in home prices.  All indications show that our super inflation days of 10-12%/year are over.

 

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