Entry Level and Investment

3223 Iron Forge K-113.    Like I tell my clients, if you qualify for affordable housing, consider it.   This 922 SQFT, 2 bedroom, 1 bath condo in the Steel Yards sold for only $131,000 on 10/15.    There are downsides to affordable housing, namely that you’re giving up potential long term appreciation,  but you’ll be in something that fits the budget *and* leaves you enough for a ski pass.    


3266 Cripple Creek 8-A.    I’m a big fan of Cripple Creek;  steps from great open space, reasonable HOA fees include an RTD EcoPass, on the SKIP, and the best rated schools.   I would NOT however recommend you buy a 1 bedroom unit, like this one.   In a typical market, they are harder to sell and in the long run they won’t appreciate as nicely as 2 or 3 bedroom units.  Of course, in this crazy market, almost anything will sell because there is so little inventory.    This one sold for $207,000, took 3 weeks to obtain an offer, and the original ask was $220,000.    The last owner paid $183K and bought in 2011.   


2890 Shadow Creek #306.    Over the years, I’ve sold a bunch of condos at Shadow Creek.    The location is great (especially for students and young professionals), the HOA has decent amenities  and the overall design of the complex is appealing.      It makes for an easy to manage investment property and you’ll always find tenants after your little one has finished their fifth year at CU.  Sometimes it catches on fire, but that’s another story.    Tell your agent to get one in the new building with sprinklers.   This particular 1,200 SQFT, 2 bed/2 bath condo sold for $270K.   It was on the market for only 8 days before receiving an offer and the original asking price was $289K.     Frankly, that’s a surprising discount given how little time it was available and the fact the seller paid $305K in 2009.   I guess they needed the money. 


Speaking of money, have I mentioned that I can save you a bundle?    In general the fourth quarter is the best time of year to negotiate discounts from sellers who overpriced, blew the summer selling season, and are now losing patience.    Although inventory this year is absurdly low, there are still some attractive options on the market.   You just need to be ready to negotiate.  Call me to discuss.   ph: 303.746.6896. 


p.s. I tossed the words “investment grade” into the title of this post.    Don’t sue me, it’s a joke.   No rating agency has analyzed these properties, not that you should trust S&P or Moody’s anyway.   Personally, I think that condos at Cripple Creek and Gold Run might make for good cash flow investments, but don’t even think about buying and subsequently renting out Affordable Housing.   Boulder’s Ministry of Housing Inefficiency will come and get you.    
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