Now, What Should I Do? [Coronavirus: Common Questions and What’s Next]
One word describes the prevailing mood: uncertainty. At times like these, it can be difficult to make a major life decision. And make no mistake, buying or selling real estate is a major life decision. Note: This post is specific to real estate transactions. It's based on actual questions we've received from our buyers and sellers in Boulder, Colorado. If you found your way to this post looking for general Coronavirus information, you're in the wrong place. Should I Break-Up the Deal? From an investment perspective, it largely depends on the price point/location of your home and your planned holding period. Your [...]
MLS Data Sharing Ends – Now What?
by Osman Parvez ---- Effective today, data sharing between regional MLS systems IRES and Metrolist ends. As of this writing, IRES controls 78% of the listings in the city of Boulder (as shown in the chart above) and 71% within Boulder County. Market penetration varies by city. On the front range, IRES controls a greater share of northern Colorado real estate. Metrolist controls Denver and the immediate suburbs. PPAR controls Colorado Springs. If you're a home buyer in Boulder or surrounding areas, make sure that you are receiving listings from both MLS systems. There are currently over 100 listings on [...]
Boulder’s Martin Acres Jumps 22%
by Osman Parvez ---- Looking for an affordable house in Boulder? Wonder where prices are headed in 2016? You should be tracking what's happening in the Martin Acres neighborhood. As usual, this isn't the typical Realtor happy talk or hand waving. Let's look at the numbers. In particular, let's focus on the Martin Acres Index (MAI). 25 houses sold in Martin Acres during the past year. Sale prices ranged from $443,000 (150 S. Lashley) to $749,000 (315 S 42nd Street). The average sale price for basic 3 bedroom, 1 bath ranch homes that matched MAI criteria was $492,500. The [...]
Coming Soon: Beautiful 4 bedroom, 4 bath.
The sign is up! One of our sellers is almost done packing and getting ready to hit the MLS. Guess the address and win a prize. ---- Want to get blog updates via email? Click HERE. Ready to buy or sell? Schedule an appointment or call 303.746.6896. You can also like our Facebook page or follow us on Twitter.As always, your referrals are deeply appreciated. -- The ideas and strategies described in this blog are the opinion of the writer and subject to business, economic, and competitive uncertainties. We strongly recommend conducting rigorous due [...]
When the Bubble Bursts
by Osman Parvez ---- The gig is up. The economy is much weaker than expected. Odds are almost nill that interest rates will rise in September, much less in October or November. Too much cash has been chasing too little inventory in Boulder, creating bidding wars for even marginal properties. Prices have risen quickly. This is called a bubble. Like all bubbles, it will burst. During the last downturn, Longmont saw sales stagnate and inventory pile up first. Longmont also corrected faster. Louisville and Lafayette followed. Boulder held up better. How do we know? Because [...]
Irrational Exuberance Returns
by Osman Parvez Years ago, I was working as an analyst for an investment bank. The bull market was coming to an end and the VIX was reaching astronomic levels. Economic news was all over the place and suddenly, our entire research universe was volatile. I remember my boss saying, "Osman, all of our companies are now rated Day Trade." He was joking, of course but it also marked the beginning of a financial market roller coaster ride. Fast forward to today. I'm not advising institutional investors on trading strategies. I advise buyers and sellers of residential real estate [...]
How to Handle Bidding Wars and Low Appraisals
by Osman Parvez The WSJ had a recent piece on the impact of bidding wars. From Bidding Wars Can Lead to Home Appraisal Headaches: If the appraisal comes in below the agreed-upon purchase price, the buyer will have to make some tough decisions. The buyer may ask the seller to agree to a revised, lower purchase price that’s in line with the appraised value. If the seller declines, the buyer will either have to walk away from the deal or put extra cash down to make up the difference between the appraised value and the purchase price. In such [...]
Sorry Boulder Sellers, You Blew It.
by Osman Parvez Ahh... Autumn's in the air. If you're a boulder real estate seller, I've got bad news for you. The summer selling season is OVER. The following charts show the percentage change in Inventory from about two months ago. As you can see in the charts above, active listings - those you can actually buy - have dropped nearly 10% for houses and a whopping 25% for attached dwellings (condos, townhomes, etc). Listings that are pending (about to close) or under contract have fallen a massive 38% for houses and 30% for attached dwellings, respectively. note: [...]
A Plumber Strikes Out [Referrals]
by Osman Parvez Story time. I closed a deal this week that needed several inspection issues addressed. I was the listing agent (i.e. represented the seller) and we had to replace an old hot water heater per the inspection resolution. What you will say when you get the bill My client has a very busy schedule including international travel, so I obtained estimates on his behalf, selected contractors, and attended the repairs. He's a repeat client and he trusts me. I work hard to ensure the trust stays strong. Pretty simple, right? By the way - I [...]
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Testimonials
Osman was a refreshingly honest realtor. He stressed through the entire process that his goal was to make me happy with my home purchase. I greatly appreciated the fact that he never shied away from pointing out the negatives as well as the pluses of different places while leaving the final decision up to me.
We can highly recommend Sophie. Her attention to detail and communication skills are great. Our home was in area that most realtors are not familiar with, but Sophie took extra time to get to know the neighborhood in order to give us quality service. She also brought in a professional photographer to make our home look its best. Even though the listing was in winter, the house sold quickly. With Sophie’s business and people skills, we have no doubt she will be a top realtor in the area.
