One of our most recent home remodeling projects was inspired by HGTV's Fixer Upper. Joanna Gaines has great style! But it got me thinking about the differences between home buying and fixing up in reality vs. what it looks like on reality TV. I asked one of my favorite Realtors in the Denver metro area, Holly Carpenter, to give us the low-down on three of the key differences she sees between reality TV and home buying reality - especially in this hot Denver market. Holly is truly wonderful both as a person and a real estate expert. I would highly recommend her to anyone who is looking for a home!
HOME BUYING IN THE REAL WORLD
By Holly Carpenter, Broker Associate
LIV Sotheby’s International Realty
If you’re considering buying a new home, it’s likely that your weekly TV line-up includes thereality show, House Hunters, on HGTV. We all love to weigh the pros and cons of the three homes the buyers have toured and guess which one they’ll choose. They make it look so easy!
If you’re a first-time buyer or if it’s been years since your last home purchase, you might be basing your homebuying expectations on your favorite reality show.
Here’s some insight on what buying a home in the Denver metro area is really like.
Low Inventory – While the rapid year-over-year price appreciation in our metro area has cooled, the inventory of available homes is still at a historical low. This means, unlike shown on House Hunters, there may not be three homes to see in one weekend that match your search criteria. Depending upon the neighborhood your targeting and your price range, you may need to watch for new listings over a period of weeks before you find three that are worth a look.
Competition – Lack of inventory fuels fierce competition amongst buyers. On television, buyers leisurly select their favorite house and decide to move forward with an offer. In reality, our Mile High market requires buyers to act rapidly. Homes that are priced right and show well often have multiple offers and “sleeping on it” isn’t an option.
Timing – The period from the day your offer is accepted to the day you move in is longer than a commercial break. Typically, it’s a 30-day process from contract to closing, but it could be longer if the seller needs to find a replacement home. In a competitive situation, the move-in date is a negotiation point you’ll want to address in your offer. Being flexible with your move-in date is just one of many terms that can make your offer stand out from the competition.
Inventory, competition and timing vary widley across price points. For example, a home in the Denver metro area priced under $500,000 has a much larger pool of potential buyers than a home priced over $1,000,000. If your budget is under $500,000, be ready for some competition. If you’d like a micro-market report for more insight on your specific price point and neighborhood of choice, contact me anytime.
Buying a home in the real world is a bit different than reality television. It’s a process that takes time, patience, and perseverance, but owning a new home is well worth it!
Bunn & Sons Home Renovations is a full scale general contracting business specializing in design/build kitchen and bath remodels in Broomfield, Boulder, Louisville, Lafayette, Superior, Arvada and Westminster, Colorado. Give us a call today at 303.625.4045 or firstname.lastname@example.org.
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