RE/MAX Alliance Agent Nicki Thompson Shares Her Thoughts on the Arvada Real Estate Market!

RE/MAX Alliance agent Nicki Thompson answers questions regarding the current real estate market and what’s happening specifically in the Arvada area. Nicki earned her Colorado real estate license in 2002 and is a member of the Jefferson County Association of Realtors. She is the recipient of RE/MAX Alliance 100% Club and is the number one relocation agent for RE/MAX Alliance in Colorado, serving homebuyers moving to Colorado from locales throughout the globe.

What are today’s consumers most concerned with when it comes to buying and selling real estate?

Value. Value. Value. Today’s buyers are savvy, knowledgeable, and are buying for resale. They are not only buying “to fit their needs”, but they are also “buying out of fear”. Does this neighborhood have good schools? Will the neighbor next door ever repair his roof? Does this house back to a busy street? Does it front a school? If the house fits their needs and all the other variables create a feeling of security…they will buy and (everyone take a deep breath)…THEY WILL PAY MARKET VALUE! Market Value is at a low and they know that!

What are some positive signs in the Arvada real estate market? In comparing residential sold properties from 2009 to 2010 in Arvada; Arvada saw an increase in the number of sold homes priced above $300,000. We had a 30% increase in the number of sold homes for those price ranges between $400,000-$500,000. We doubled the number of sold homes in the $650,000-$800,000 market.

What are the current market trends in Arvada? Arvada is known for its strong resale market. Those who grew-up in Arvada tend to always come back to the area. Statistics show that nearly 50% of new construction in Arvada is purchased by current residents. This unique feature gives builders the confidence to move forward with construction projects. Remington Homes is a prime example of a successful builder offering both move-up and patio homes to Arvada’s residents for over 30 years.

Where are Arvada homebuyers coming from? Homebuyers in Arvada come from all over the world. It has an ideal location near Golden, Boulder, I70, and nestled close to the foothills. Arvada has always enjoyed buyers moving from the east coast, California, Arizona, Michigan, and Texas (among others). We have seen an increase in the number of single females in Arvada over the last year. Arvada offers an ideal location close to the mountains and downtown, but it also has many unique features as well including: the Arvada Center, Old Town Arvada, Two Ponds Wildlife Refuge, and many parks and trails.

Why is now a great time to buy a home? Buyers are beginning to realize a major opportunity. If they are in the right financial position to upgrade their family home or buy a second home, there has to be a fundamental transformation in the way they view this purchase. In an up market they sell high and buy high. In this market, buyers that are also sellers can sell a bit low and buy even lower. With the vast amount of inventory consumed by foreclosures and short sales, there are very few “move in ready” homes available. This will help sellers that have kept their home in good shape get a better value on their current home. Buyers can find great deals right now and, if they are willing to put in a little work, buyers will usually end-up with equity on day one and have a dream home they never thought they could afford.

What do you think is a realistic outcome for 2011? I think that 2011 will be a great year for what some may define as a “stable market”. Although we had a decrease in the number of sold homes throughout the Denver metro area, we did see an increase in the average price by nearly $20,000. This is a good indicator that we are beginning to enter the resale market and not the investor market as we have seen in the years past. Consumer confidence will continue and we will see an increase in relocation to Denver and more reliable, qualified buyers.