The Academy School District 20 Real Estate Market

The Academy School District 20 Real Estate Market

The prime buying season has started for Academy School District 20 as reflected in the increased sold properties, up 35% over February. Average and median sale prices are relatively unchanged and average days on market dropped 15%.

We are starting to see more move-up buyers in the market, which is a good sign for the Colorado Springs economy. As buyers move up, more homes become available in the lower price range for first time home buyers.

Move -up buyers realize that the low interest rates aren’t going to be around forever. With the low interest rates they can purchase more home for their money. For instance, at 5.5% interest and a payment of $1700 a buyer can purchase a home with a $299,000 mortgage. But at the current rate of 5% this same $1700 can purchase a home with a mortgage of $316,700. $16,700 could be a third garage…

Also, move-up buyers realize that as they move up in house size and value, they are obtaining the larger home with a greater discount than what they sell their smaller home. For instance, their $300,000 new home may have been valued at $350,000 at one time, while their smaller home sells for $200,000 and at one time was valued at $220,000. A gain of $50,000 on the larger home, loss of $20,000 on the smaller home for a net gain of $30,000. The bigger the home, the greater the discount. Just something for you to think about.