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Limited Choices
Pretend that customer walks into our office and tells us they are looking for a single family home in Fort Collins. We would tell them that there 
are 314 to choose from. But if they told us their price range is up to $300,000, their choices would be limited to just 10 homes.
Our Crystal Ball
Last week Windermere’s Chief Economist Matthew Gardner joined us for our annual Market Forecast events in Colorado. We were pleased to
host over 500 customers at two events in Denver and Fort Collins.
How Interest Rates Impact Your Buying Power
Know your risk. How will your buying power be impacted with increased interest rates?
Check out this infographic for an understanding of how much interest rates affect how much home you can afford.
Source: www.simplifyingthemarket.com Read the full article here: http://www.simplifyingthemarket.com/en/2016/12/16/the-impact-your-interest-rate-has-on-your-buying-power-infographic/?a=79696-9675764dc3b9cb63398c8d3c043b0717
100K
The City Manager for Fort Collins, Darin Atteberry, recently visited our weekly sales meeting. He had several interesting and valuable facts to share, including this…
Based on the City’s research, Fort Collins will grow by 100,000 people over the next 25 to 32 years. That will bring the population to approximately 255,000 people. It means Fort Collins will essentially add the equivalent of Boulder’s population over the next two and a half decades.
The Trump Tantrum
Since the election interest rates have jumped from 3.77% to 3.95% according to the Mortgage Bankers Association.
“This week’s increase in mortgage rates, being dubbed the ‘Trump Tantrum,’ is the biggest one week increase since the ‘Taper Tantrum‘ in June 2013,” said Bankrate’s chief financial analyst Greg McBride.
Economists say the anticipation of Trump’s pledged spending plans and tax cuts have investors anticipating some inflation and a dose of adrenaline to the economy which have caused a great deal of volatility in the market.
A little perspective is in order- rates today are still lower than the 3.97% recorded last year at this time. And, rates today are still essentially half of their long-term average.
Using a $400,000 home as an example with a 20% down payment, this interest rate increase translates to an additional $34 per month.
Many economists believe that we are now seeing the beginning of a long-term rise in interest rates.
source: Inman News
Beware of Low Down Payments
First-time buyers can borrow with little down, but that may not be wise
Financial planners warn: "Borrowers should not overlook the true measure of home affordability: monthly cash flow."
Is your down payment going to affect your cash flow in the end? Check out this article to see what they suggest.
http://www.cnbc.com/2016/09/02/homebuyers-beware-of-banks-offering-too-much-cash.html
