MyTownCryer

From the Desk of Joe Hubert // jhubert@ltgc.com Land Title Guarantee Company

Listed below are Real Estate Market Update links for November, 2010 and a PDF attachment of likely MLS areas for DTC sales offices.  Combined DTC MLS Areas – Nov 2010

As a quick recap, November, 2010 combined MLS Residential Statistics had the following changes compared to November of 2009.

• Decrease in the Number of Closed Sales to 2,142 (down 22.1%)
• Average Days on Market increased to 108 days
• Number of Active Listings increased 12.2% to 15,232
• Absorption Rate increased to 7.7 months (up 47.2%)
• Average Sold Price increased (up 6 % from $265,498 to $281,466)

For more details on the combined MLS Residential Statistics, select the first link below titled “Total MLS” or feel free to contact me if you have any questions.

Total MLS
All Metrolist Areas as one download
Aurora North (AUN)
Aurora South ( AUS)
Brighton, Fort Lupton (BFL)
Broomfield (BRM)
Douglas County West (DCW)
Douglas Elbert Parker (DEP)
Douglas Highlands Ranch Lone Tree (DHL)
Denver Northeast (DNE)
Denver Northwest (DNW)
Denver Southeast (DSE)
Denver Southwest (DSW)
Downtown Denver (DTD)
East Suburban North (ESN)
East Suburban South (ESS)
Jefferson County Central (JFC)
Jefferson County North (JFN)
Jefferson County South (JFS)
Jefferson County West (JFW)
Jefferson County Northcentral (JNC)
Jefferson County Southcentral (JSC)
Lafayette (LAF)
Mountain Clear Creek (MCC)
Mountain Conifer Pine (MCP)
Mountain Evergreen North (MEN)
Mountain Evergreen South (MES)
Mountain Gilpin County (MGC)
Mountain Jefferson County (MJC)
Mountain Jefferson North (MJN)
Mountain Jefferson South (MJS)
Mountain Park County (MPC)
Mountain Park East (MPE)
North Northeast Suburban (NNE)
North Northwest Suburban (NNW)
North Suburban Central (NSC)
North Suburban East (NSE)
North Suburban West (NSW)
South Suburban Central (SSC)
South Suburban East (SSE)
Superior (SUP)

FROM THE DESK OF SCOTT PALMER:

Good afternoon everyone. The Wells Fargo Annual Economic Outlook 2011 is out today. A copy is attached for your reading pleasure.   Wells Fargo Annual Economic Outlook 2011

This is a very comprehensive look at the economy on a national scale. If you tire of reading the details, skip forward to page 18 to read the outlook for the residential real estate market. Lot’s of good information there, including this comment:

“Among major metro areas, markets that have seen supply and demand move back into balance and also seen general economic conditions improve include Boston, Central New Jersey, Denver, and Dallas/Fort Worth“.

This is good news for Denver and it means we should continue to see our inventory levels return to normal and values stabilize. Now the issue to be aware of will be INTEREST RATES!

Many of you will recall that we’ve been talking about the 10-year bond yields and how mortgage rates tend to track up and down with the bond yields. At one our last meetings we mentioned that rates are moving up. They continue to do so. In fact, since QE2 started, we have experienced an historically fast rise in the 10-year bond yield (ended today at 3.26%). As a result, mortgage interest rates have moved up significantly in the past few weeks and there are currently no signs that they will go back down. This increase in mortgage interest rates diminishes the buying power for most Americans. So as rates rise, we’ll see start to see clients looking at lower priced homes to compensate. Not good news on that front.

Christian, Travis, and I are all here and available to help you sell more homes in 2011 and to help your clients get the most possible from their financing. Please call us any time we can be of assistance.

Have a great day everyone!

Scott L. Palmer

Private Mortgage Banker

Wells Fargo Private Mortgage Banking

MAC C7200-031

9350 E. Arapahoe Road #350

Greenwood Village, CO 80112

303.792.4771 Tel

303.809.5951 Cell

866.459.7428 eFax

scott.palmer@wellsfargo.com

http://www.wfhm.com/scott-palmer

What is hurting Corporate Mobility for today's Transferee?

The year 2010, the Global Economy is humming along in various parts of the world, but what’s holding other parts of the world back?  Residential real estate is the albatross that hangs around the neck of Corporate Mobility.

This chart, sourced from Worldwide ERC reflects the top three issues affecting employee mobility are directly related to the current housing market.

Will this spawn a generation of “Corporate Gypsies” waving good bye to the thought of homeownership?  In the near months, and potentially in the foreseeable future, homeownership comes with more perils than benefits.  Especially for the employee interested in mobility within corporate boundaries, will the cost of ownership outweigh the benefits of inexpensive mobility?

There is no question that it is a mere fraction of the cost to the relocation of a renting employee than a homeowning transferee.  Sad but true, but has homeownership become a casualty of this new economic environment?

1. Harper Humanities Gardens
2. Mary Reed Building
3. Margery Reed Building
4. Barton Lacrosse Stadium
   
5. Centennial Halls
6. Newman Center for the Performing Arts
7. School of Hotel, Restaurant and Tourism Management
8. Penrose Library
9. Cable Center and Museum
10. Magness Arena

Walk Score

There, I’ve said it!  I’ve even cursed it!  I believe Walk Score is flawed!  Let me tell you why…

1. Walk Score does not HUP(Something from quantum mechanics, the Heisenberg uncertainty principle) crime statistics or school statistics into its calculations.
2. My house ranks extremely low even lower than the average in my community, and that’s just wrong. It’s my house!
   

   Convenient Places Near Home

3. I compared my current house with the other three homes my wife and I have lived in, and I have determined that Walk Score is flawed. While our first three houses were well into the high 60s, my current residence only registers 26.
4. All things Real Estate have embraced Walk Score blindly without understanding the unintended consequences of embracing something that is flawed.
5. I have not read any criticism of Walk Score.  Everything deserves a little criticism!
6. I contacted Walk Score about the crime issue, and to their credit, Walk Score did respond to my criticism.  So, at least I know they will get better.  But, they didn’t do anything about it!
7. If you go to Walk Score’s website, it seems like it is in the advertising business rather than truly delivering a valuable service.  It might be my jaded sense, but you be the judge.
8. The school system supporting my community is the best in the state!  Walk Score does not appreciate this.
9. I have a 5+ mile pedestrian loop from my house where I don’t have to cross a single busy street! Walk Score does not appreciate this.
10. And last but not least, Walk Score, is genuine, but the perception of what it is and what it does far exceeds what it is.

So, what’s my point?  As you can see, I currently live with in 1.25 miles of everything a modern American could possibly want.  I am even .81 miles from a Starbucks for my favorite Venti Unsweetened Passion Iced Tea! (Mmmm!)  How could I possible have a walk score of 26.  The Elementary School all three kids attended is .36 miles from my house.  I back to 120 acres of open space right out my door, and Walk Score says I live .21 miles away?  How could that be?

You’ve heard my rant, so here’s my point.  Before you bite into Walk Score, hook line and sinker, think about it.  I personally don’t think my current location is any more inaccessible than my other three highly rated locations even though Walk Score says it is.  Additionally, I have no crime where I live now, and I would never park on the street at night in any of those three other locations.

Now, here’s my bias.  I’m a suburban guy.  Don’t get me wrong, I love the city, and have traveled to cities all around the world, but I gain great peace and personal serenity from the quietness found in my backyard.  Something that could not be achieved at any of my other three homes regardless of their Walk Scores.