The local resource in the state for affordable housing education, information and advocacy, Housing Colorado, released a report describing the comparison of wages and rents for jurisdictions in Colorado. The report "calculates the amount of money a household must earn in order to afford a rental unit in a range of sizes at that area’s fair market rent (FMR), based on the generally accepted affordability standard of paying no more than 30% of income for housing costs."

In Colorado, rents have risen 7% in the last year due primarily to low vacancy rates and increasing rental demand from the foreclosure crisis. The Fair Market Rent (FMR) for a two-bedroom apartment is $924. A household must earn $3,080 per month, or $36,957 per year to be able to afford a home in this price range. Based on the assumption of a 40-hour work week and 52 weeks per year, the Housing Wage to afford a home at FMR is $17.77.

Rental amounts are surpassing affordability rates at an alarming pace. With Colorado's minimum hourly wage at $7.25, a renter would need to work 98 hours per week to be able to afford a two-bedroom apartment at FMR, or have two minimum wage earners working 40 hours per week. The average wage in Colorado is $13.46 per hour, still below the affordability level of $17.77.

In Northern Colorado specifically, the hourly wage needed to afford a two bedroom is $16.33 in Fort Collins/Loveland and $13.71 in Greeley. However, the estimated mean renter hourly wage for 2011 in Fort Collins/Loveland is $9.94 and in Greeley, the mean is $9.84 - well below the income needed to meet the affordability standard. When looking at housing costs, the average two bedroom apartment will cost $849 in Larimer County and $713 in Weld County; and yet renter households in Larimer County can only afford $517 per month or $512 in Weld County.

It remains obvious that affordable housing and rental availability will continue to be an issue for Northern Colorado. Owners who have been unable to sell their homes in a tight real estate market are considering leasing their property or offering a lease to purchase option. If managed and negotiated with a knowledgeable real estate professional familiar with both property management and sales, and includes legal counsel, a lease to purchase is a viable option. Multi-family property will also be in high demand in the upcoming years due to affordability.

For more information on the Colorado Wage and Rent Data, follow this link.

Related Articles:
http://www.examiner.com/real-estate-in-fort-collins/migration-to-northern-colorado-creates-demand-for-housing

http://www.examiner.com/real-estate-in-fort-collins/need-for-rental-housing-northern-colorado-is-getting-extreme

http://www.examiner.com/real-estate-in-fort-collins/northern-colorado-rental-vacancy-rates-fall

According to a news release from the National Association of Realtors on April 28, 2011, pending homes sales rise again to 5.1%. NAR's pending home sale index is released at the beginning of each month as an indicator of housing activity based on signed contracts of exisiting single-family homes, condos, and co-ops. 

The index of 94.1 in March is 11.4% below 2010 levels, however activity was elevated at that time due to the push to meet contract deadlines for the home buyer tax credit.  Pending home sales in the South and the West (including Colorado) saw the most significant increases with 10.3% in the South and 3.1% in the West.

Regarding the pending homes sale index, NAR chief economist, Lawrence Yun, was quoted as saying “Since reaching a cyclical bottom last June, pending home sales have posted an overall gain of 24 percent and demonstrate the market is recovering on its own,” he said. “The index means modest near-term gains in existing-home sales are likely, which would be even stronger if tight mortgage lending criteria returned to normal, safe standards.”

Yun is predicting that exisiting home sales should rise 5-10% this year, with the majority of sales in the lower price ranges.

(Source Realtor.org)

Take Me Home Real Estate, LLC helps people relocate to Northern Colorado and part of that responsibility is going above and beyond to create a sense of community for those who may be far away from the familiar. When it is said that "home is where the heart is", the true meaning is revealed when we are challenged with the loss of our home or the health and safety of our friends and family, as that is the core of what truly matters. Colorado offers a safe haven and a place to escape in the awe of it's natural beauty. When those moments are captured on film or in a camera, they can inspire others to expect a miracle.

Instead of storing those moments on a media card for another day, Take Me Home Real Estate will publish a weekly slideshow of the Colorado landscape and wildlife for viewers to enjoy. The "Northern Colorado Slideshow of the Day" will be published on the homepage of our company website http://www.takemehomerealestate.com .  Enjoy!

Beginning, April 11, 2011, buyers purchasing a Fannie Mae foreclosure (HomePath property) will receive up to 3.5% in closing cost assistance through June 30, 2011.  According to their announcement, "Fannie Mae wants to help more buyers afford to purchase their new home. That is why we are offering up to 3.5% in closing cost assistance for HomePath® properties"  The details for the special offer are as follows:

The HomePath property buyer must meet the following qualifications to be eligible:

• Buyers and/or selling agents (the agent representing the buyer) must request the incentive upon submission of initial offer in order to be eligible.
• The initial offer must be submitted on or after April 11, 2011 and close by June 30, 2011. If an initial offer was made prior to the effective date, the offer is not eligible for the incentive.
• The sale must close on or before June 30, 2011. No exceptions will be made to this deadline.
• Only buyers purchasing a HomePath property as their primary residence may receive up to 3.5% in closing cost assistance. Second homes and investment properties are excluded from the incentive.
• Buyer must sign the Owner Occupant Certification Rider to the Real Estate Purchase Addendum.
• If a buyer's total closing costs are under 3.5%, the difference will not be available as a credit to the buyer.

For more information about the Fannie Mae Incentive and to search for HomePath property in Northern Colorado, follow this link http://bit.ly/tmhomepath

The positive news continues in the Northern Colorado area with more companies choosing the state to launch new projects – creating thousands of jobs and giving our State a much needed boost.

One of the most anticipated announcements came on April 5, 2011 (reported by the Loveland Reporter Herald).  NASA chose the Agilent campus in Loveland, CO to house it’s new technology park which will create upwards of 7,000 jobs in the region.  Not only will new jobs be created, it will bring a new energy and confidence to the local economy and the housing market.

Leprino Foods, a leading cheese manufacturing company, will open it’s first phase of operations at the Greeley plant this fall.  The dairy industry will need to grow substantially over the next few years to accommodate the amount of milk needed for cheese production.  This will increase the demand for dairy acreage in Weld County.

Weld County also recently approved a new hybrid energy park that will combine natural gas, solar and wind power.  The Niobrara Energy Park will be one of the largest data centers in the nation.

The positive news has increased awareness that Colorado is on it’s way to recovering from the recession and looking forward to a bright future. 

The real estate market in Northern Colorado, and across the nation, is changing daily and there are mixed messages as to the current state of the housing industry.  In an effort to keep consumers informed, Take Me Home Real Estate is conducting a survey to hear directly from homeowners, buyers, sellers and renters as to their perception of the real estate market in their area.  The results will be posted on Examiner.com giving consumers the opportunity to comment and share with others.

To participate in the survey, follow this link: http://www.surveymonkey.com/s/KD7NF5W

Your time and input are greatly appreciated!

The much anticipated Northern Colorado real estate auction held in Loveland on March 17, 2011 drew a diverse crowd of over 600 people including investors, brokers, title reps, farmers and local residents all curious to see the outcome.  Approximately 100 registered bidders had the opportunity to purchase residential and commercial lots, commercial retail buildings, industrial sites, water and mineral rights, and luxury patio, attached and single family homes - all owned by local developer, Martin Lind.  Mr. Lind is a native resident of Northern Colorado and there were many loyal friends and colleagues at the auction offering support and a smile.  The respect and admiration towards him was undeniable, and those waiting on the sidelines who were asked how they felt about the auction all had the same thing to say: "I hope it goes well for Martin."  Mr. Lind launched the auction saying, "God bless Northern Colorado!" 

Whether the auction was a success or failure for Northern Colorado depends on which side of the fence you stand.  For buyers, it was a raging success with green grass, trees and flowers.  For sellers, it was a brown pasture with some thorns and yet there was a path that led to greener pastures ahead. 

Here are some of the results:

11 properties sold "Absolute" to the highest bidder - those properties will sell at the auction price within 30 days.  All sold for well below market value, ranging from .26 cents - $5.00/square foot and $2900 - $3500/acre.  Only 5 of the 24 patio home lots available sold for $30,000- $60,000 (previously listed from $85,000 - $125,000).  The auction bids on commercial and industrial buildings, water and mineral rights, development land and four residential homes are still pending seller approval.

Most of the active bidding came during the sale of retail buildings and single family residences in the Water Valley subdivision in Windsor, Co.  Three leased commercial buildings saw bids ranging from $450,000 - $850,000, a 16% cap rate which is unheard of in this real estate market.   A waterfront home that was previously listed for $975,000 and is currently assessed at $450,000, received a high bid of $400,000.   Two patio homes around 3500 square feet, previously valued in the upper $500's, came in between $330,000 and $375,000.  Finally, a 2 bedroom condo that sold in 2004 for $267,755 saw a bid of only $170,000.

Whether the seller accepts the current bids or receives higher bids post auction remains to be seen. What is obvious from the results of the auction, however,  is that the buyer's market in Northern Colorado remains strong and attaining financing is key.

Here's a sound bite from the auction: http://www.youtube.com/watch?v=l7-Xi-OrgVs

Follow this link to search real estate in Northern Colorado: Search Real Estate 

Last week, Take Me Home Real Estate attended a Broker event presented by Martin Lind, President and Owner of Water Valley Land Company in Windsor, CO.  Mr. Lind plans to offer up some of his most valued properties at an auction scheduled for this Thursday, March 17th at the Embassey Suites Hotel in Loveland.  In his presentation that evening, there was an obvious enthusiasm from him regarding the future for what is called "The Golden Triangle" of Northern Colorado - where the natural growth will occur between Fort Collins, Loveland and Greeley.  

The majority of properties being offered at the auction are located within "The Golden Triangle" including vacant land, commercial lots and buildings, master planned community parcels, industrial sites, lakefront lots and patio homes, and luxury homes - some of which Mr. Lind has owned for a long time.  The preferred portfolio also includes mineral and water rights.  He said he is ready to let go of some of his favorite sites or "pass the baton" to someone else and bring a new energy to Northern Colorado - the "E-Factor" as he called it.  J.P. King Auction Company out of Gadsden, Alabama will conduct the auction this Thursday.

Martin Lind was recently interviewed on "Business for Breakfast" on KRCN-AM 1060 Denver where he was asked what he would consider to be his favorite property for sale.  He said, "I'd have to say that the stuff around the Bud Center is just...you can feel it!"  Then he added, "You know, the prices are not at all where we thought they would be 10 years ago when we saw this model coming. To be honest with you, we all kind of needed this - we were all getting way too arrogant and complacent.  It was too easy, and all of a sudden this financial crisis and the meltdown of the economy and we've now survived the worst recession in the history of America and we're coming back out."  

He remains very optimistic about the future of real estate and employment opportunities in Northern Colorado.  "You can't pick up a newspaper in Northern Colorado without seeing positive headlines.  There's no question that NASA's project is going to land somewhere north of Thornton and they claim that's going to be announced on the 15th, which is two days before the auction.  But aside from that, we've got Vestas, Hexcel, PVH - all of the major employers are coming to the distinct triangle in Northern Colorado."

The upcoming auction will weigh, to a certain extent, on the future values of homes, vacant land, new construction and commercial space in Northern Colorado.  Take Me Home Real Estate will be attending the auction and will keep you informed on the results.

Last fall, Take Me Home Real Estate launched a new women's group called NoCo Who-WIRE (Northern Colorado Women Helping Other Women in Real Estate).  The Meetup group meets once a month for a luncheon to discuss the local real estate market and network with other women in the community.  Recently, the Loveland Reporter-Herald caught wind of the group and wrote an article in their local paper.  Here is a copy of that article written by Jennifer Lehman:

Women’s group brings together a variety of experiences in real estate

By Jennifer LehmanSpecial Sections Reporter

On Tuesday, members of NoCo Who-WIRE (Northern Colorado Women Helping Other Women in Real Estate), discussed expectations and goals for the real estate market and their businesses in the coming year, including optimism for Weld County’s growing economy and the rise of lease-to-own homes in response to the rental demand and tight lending atmosphere.

NoCo Who-WIRE is a women’s real estate group started last fall by Lori Jarrett, broker and owner of Take Me Home Real Estate.

Jarrett, in the real estate business for 20 years, and an independent broker for the last five, wanted to create a group where women with varied interests and professions in real estate could be a part of an educational and supportive community.

The catalyst came while seeking financing for several female clients last year who were on the verge of loan approval.

“I had about 12 clients, and they had two things in common, Jarrett said, “They were all women, and they all couldn’t get financing.”

She sought local investors she had worked with before, “but they were all men, and it just wasn’t fitting with my clients,” Jarrett said.

NoCo Who-WIRE grew out of wanting to connect women to support each other in the purchase of a home, real estate investment and financial independence.

While real estate industry groups for women exist in the area, typically status as a licensed professional is required, Jarrett said.

She wanted a more informal outlet for combining not only women throughout the business of real estate, but also women interested in learning more about real estate, from financing to home improvements.

Group members are mostly real estate professionals who are also mothers, grandmothers, community leaders, volunteers, teachers, counselors and owners of side ventures.

Christa Petersen with Chicago Title in Loveland, began attending the Who-WIRE group meetings after helping Jarrett close on a property.

Petersen usually doesn’t participate in industry groups, but likes Who-WIRE’s emphasis on education and discussion rather than only pitching projects and services.

The group’s informal style allows women to be more open about priorities like family and community in addition to real estate issues and trends, Petersen said, something that can be lost in coed groups, where women sometimes tend to shy away from being vocal.

“I think that first and foremost we are all women and parents, and I don’t think that is always something that we share first when we are at a table with men,” Petersen said.

Jeannie Perkins, a client of Jarret’s, is a caregiver and jewelry maker whose interest in real estate lies in maintaining the vitality of historic homes and districts. Perkins said the group connects her to the people of the region as she seeks to become a full member of the community after recently moving to Loveland from Parker.

Jarrett sees this diversity of interests, in business and caring for home and family the focal point of why she entered real estate in the first place.

“Our lives are centered around the home, and I wanted to create the whole set where women could get together and support each other in their home, and in their interests of real estate.”

The combination helps ground the real estate business at a time when competition is cutthroat, Jarrett said.

I'm putting “real” back into real estate, she joked.

Jarrett is incorporating this into the group with presentations and market updates from local businesswomen and experts within the group on things surrounding real estate and the home.

At Tuesday’s meeting, Lorry Schmitz, owner and founder of STAT (Safely There Animal Transportation) in Loveland, shared her story and how her business could be beneficial to real estate professionals looking to assist their clients in relocation.

Upcoming presentations will include information on topics like lending, an area of the market that changes every day, Jarrett said.

“(Lending) is a big thing right now because a lot of people are looking for a home and they just can't get financing.”

In the long-term Jarrett hopes to turn that education and discussion into something group members can pass on to their communities and peers, potentially helping people with financing, investing, home improvements that will help sell their properties and Habitat for Humanity projects.

“There are lot of people who have struggled with this in a way that has really made a significant impact on their life and I want to be able to turn that around and start helping those people, Jarrett said, both clients and business acquaintances across the the community.

To find out more information about NoCo Who-WIRE, go to www.whowire.com. 

The 11th annual Northern Colorado Home Improvement Show will be held this weekend at The First National Bank Exhibition Hall at The Ranch in Loveland.  Starting tomorrow and continuing through Sunday, home improvement vendors will showcase their products including windows, doors, flooring, landscaping, roofing, solar panels, fireplaces, green products, interior design, and even organic food, to name a few.  It's a great opportunity for anyone wanting to learn the new trends in home improvement and affordable ways to increase the value of their home (whether they intend to sell the home or keep it for years to come).

The schedule for the event is as follows:

Friday, January 28  from 12:00 PM - 5:00 PM

Saturday, January 29 from 10:00 AM - 5:00 PM

Sunday, January 30 from 11:00 AM - 5:00 PM

The recommended contact for this venue is Gary Krahn at 970-218-5645, email: GWP80527@aol.com

The Northern Colorado Home Improvement Show is a free event for the public organized by Great Western Publications

The 2010 Census Data released this week showed the greatest population increases over the past decade were in the West and the South.  Colorado ranked as the 9th fastest-growing state with a population of 5,029,195 and a growth rate of 16.9%.  Colorado's unemployment rate is currently 8.6% which remains below the national average of 9.8% and recent job numbers showed three consecutive months of job gains with a total of 12,300 jobs added.  Gov. Bill Ritter recently commented on the job numbers saying, 'While families, businesses and the state's economy as a whole continue to struggle, these numbers demonstrate the recovery has started and our economic-development startegies are working.'

The increasing population in Colorado will likely continue.  Fort Collins, CO consistently makes the "Best of" lists for places to live, retire and run a business.  For the past two years, Forbes has chosen Fort Collins as the #4 Best Place for Business and Careers .   Northern Colorado also made the list for Best Places to Live and Best Places to Retire in 2010.

Why do you love Northern Colorado?  Do you think we'll see more people moving to our area in the upcoming years?

Within the next year, Northern Colorado could see 10,000 jobs created by NASA.  On December 13, 2010, NASA signed an agreement with the Colorado Association for Manufacturing and Technology (CAMT) to create a technology park along the Front Range.  This center would house 60 to 80 businesses specializing in aerospace and clean energy technologies. Lori Garver, NASA Deputy Administrator, said 'this park will use Colorado's existing competitive strengths to boost economic growth while creating new jobs and products for aerospace and energy industries.' 

In yesterday's (Dec. 23) Fort Collins Coloradoan, Maria Servold mentioned NASA is considering the old Hewlett-Packard/Agilent campus as a potential site for the technology park.  NASA representatives were in Loveland this past Wednesday assessing the site.  The staff at Colorado's Office of Economic Development and International Trade has been negotiating with NASA over the past several months and they have viewed different sites along the Colorado Front Range from North Denver, Boulder to Loveland.

NASA choosing Northern Colorado for their new technology park would be a huge boost for our economy and ultimately our housing market as jobs create stability and positive growth.  NASA should be making their decision in early 2011.  Go NOCO!