It is no secret that Denver's real estate market is red hot. Limited availability and rising home prices continue to put Denver's real estate statistics on the front page of national blogs and economic publications. Although many are timid to test their buying power in this market, real estate professionals will argue that there has never been a better time to invest. In order to be a successful buyer, you need to know exactly what you want, and what is available to you and your budget! Knowledge is power, and the more knowledge that you have in this market, the more likely you are to succeed.
This blog will be the first of many that will be comparing and contrasting what kind of real estate investment your money can buy you in Denver's market. I will be choosing two properties within a specific price point, and I will be weighing the features of each to attempt to answer the following question: œWhat Does œ$XXX,XXX Actually Buy You? It is my hope that these comparisons and pricing estimates may help you evaluate whether home ownership is a possibility for you, help you determine what type of property you want to search for, and provide an opportunity for you to explore Denver real estate from the comfort of your home! Fill up your wine glass or grab a cup of coffee, and get ready to explore some Denver real estate with me!
For this first comparison, I have chosen two very different properties between $330,000 and $370,000. According to REColorado's January, 2015 market report, the average sold price for a property in Denver was $329,141, so I have chosen two homes that are fairly reflective of this number. Without further ado, let's explore these properties! (To view and download the complete REColorado Report, click here).
Property #1: 639 E. 11th Avenue, Denver, CO 80203 - Attached Single Family Home
Sold Price - $367,000
Finished Square Feet - 1,347 Sq. Ft.
3 Bedrooms, 2 bath
Estimated Monthly Principal/Interest Payment - $1,576.11
Estimated Monthly Taxes - $147.00
Estimated Monthly Insurance - $104.00
(Estimated pricing is based on 5% interest rate and 20% down payment. Actual pricing will vary depending on lenders, rates, loan programs and individual qualifications. Click here to access Live Urban's Mortgage Calculator.)
This beautiful, two-story duplex was listed and sold by Live Urban's Susie Best. The property is an attached single family home, meaning that it shares a common wall with another attached home. It features three bedrooms, an additional bonus room, two bathrooms, and an open and spacious floor plan. Built in 1896, this beautiful home offers a great deal of historic charm and character that is not always found in newer properties. Original hardwood flooring, bay windows and a functional fireplace add to the special details that can be found inside. Modern upgrades including a renovated kitchen and beautiful granite countertops help bring modern beauty and functionality within this historic charmer. Additionally, a private and œdog friendly yard, deeded off-street parking space, central location, and non-existent monthly HOA dues further enhance the benefits of owning this home. Within six days of hitting the market, it was under contract and ready for its new owners.
Property #2: 4178 Winona Ct., Denver, CO 80212 - Detached Single Family Home
Sold Price - $333,000
Finished Square Feet - 702 Sq. Ft.
1 Bedroom, Loft Space, 1 Full Bath
Estimated Monthly Principal/Interest Payment - $1,430.09
Estimated Monthly Taxes - $86.00
Estimated Monthly Insurance - $104.00
(Estimated pricing is based on 5% interest rate and 20% down payment. Actual pricing will vary depending on lenders, rates, loan programs and individual qualifications. Click here to access Live Urban's Mortgage Calculator.)
Although this exquisite storybook Bungalow is much smaller than the first property, it is filled with upgrades and special amenities. Also listed and sold by Susie Best, this ranch style home offers a flowing and open floor plan, a vaulted master suite, and a beautiful loft space that has previously been used as an office space. State-of-the art lighting, bluetooth entry systems and advanced thermostat controls have driven this 1918 gem "directly into the 21st Century." A beautifully landscaped yard, finished basement, upgraded kitchen and bath, and Highlands location also led to a three day change in status from "Just Listed" to "Under Contract" for Susie's sellers.
It should come as no surprise that the closer you get to downtown, the more you will expect to pay for your investment. Although both of the featured properties offer different styles and beautiful amenities, square footage and number of bedrooms/baths plays a significant role in pricing. Additionally, both of these properties come with price tags that reflect their urban addresses. Despite the fact that the suburbs offer more space for the money, these properties provide value to their owners by placing them steps away from Denver's most notable attractions.
Your lifestyle, your personal architectural preferences, and your financial portfolio are all crucial factors to consider when choosing a home (or a potential decision to purchase). These factors should not be afterthoughts in the initial stages of your property search, but rather factors that help mold and shape your investment strategy and the location in which you find your home. Do not be scared off by Denver's hot market. Rather, do your homework! Create a game plan that will allow you and your real estate broker to successfully navigate these "fast moving" market currents, and that will place you in a neighborhood and a space that supports your lifestyle and your budget.
Wondering what your budget might buy you?! I would love to help you find out!Contact me!
**Insurance estimates provided by Lance Parzybok with Integrity First Insurance. All figures are estimates and actual insurance figures are dependent on credit, claim history and location of property.
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