Fremont County Colorado: Changes Coming?

The economic analysis we have been hearing on the radio, TV and other sources have been predicting the current real estate market will flatten out and possibly start to decline by November 2018. Mid-year elections will possibly change things like interest rates, the legalization of marijuana in more states and Congressional seats. In the little corner of the world known as Fremont County, we’re starting to see the market change already.

Canon City, Cotopaxi, Florence, Penrose and Fremont County, on the whole, has started to see sellers dropping their asking prices. The days on market has increased by 12.5% over last year. We are still seeing a lack of inventory but buyers are moving on with their search instead of settling with what is available here in Fremont County.

Buyers are also asking for sellers for:

• closing costs (3-5%)
• more repairs than we’ve seen in the past
• Upgrades such as appliances that are financeable with the mortgage
• HVAC improvements
• Landscaping changes (to help with insurance costs).

Other factors real estate agents are currently struggling with:

• Increased fire danger and property insurance
• Drought, low (less than 3 gpm) & non-producing wells
• Increasing interest rates &  Mortgage Insurance Protection (MIP)
• Deals are terminating after inspections, no repairs being requested.
• Appraisals are not meeting contracts
• Lenders are not approving buyers last minute (loan objection)
• Indecisive buyers due to all of the above

Potential buyers that were going to moving here are deciding to stay where they currently live, Colorado lifestyle is great but at what price? Appraisers (very important) are having more and more difficulty finding comparables due to lack of inventory. They are treading to the conservative side.

What does this all mean to you as a seller? It means I’m still going to work hard for you to get the most money as quickly as possible. But, you need to price your property with the above factors in mind. You will need to make the property as appealing as possible, try looking at it with new eyes as if it were the first time you’re seeing it. And try to keep an open mind, the real estate market is changing and flatten out.

Feel free to contact me if you have questions.