Denver Affordable Housing- Hitting the buyers that are out there.
I think we all would agree that in this market there are certain groups that just aren't buying and selling Real Estate. Why would they, it's a tough time to sell, values are low and getting a loan is very hard. So as a profession do we throw in the towel? NO, of course not. You focus on who IS in the market.
Working in the Denver Affordable Housing Program, and specifically in the Stapleton Affordable Program, I am seeing some positive trends, at least as far as Real Estate is concerned. This economy and market are causing 3 potential buyer's and even seller's scenarios to raise to the surface and are perfect for the Affordable program or any entry level price point.
One is first time homebuyers. Yes, the tax credit slowed this market down for a while. But it has been 6 months since that stopped and this group is growing quickly, and will probably continue to. Interest rates, some job growth and raised rental rates should keep this group active in the market for some time to come.
Another big group unfortunately are divorces. This is quite obviously a very negative effect created by this economy and is typical in a recession. These folks are selling and buying, with some urgency and quite often are very specific in what they need because they need to stay close for kids, schools etc. These buyers can be a perfect match to the affordable program because they are downsizing in price but get to stay in the neighborhood. One or both of the couple quite often qualify for the Denver Affordable Housing Program.
The last group that is becoming a big buyer and seller group that I have seen in the Stapleton Affordable Program is the retiree or empty-nester. First of all baby boomers have and will continue to move to the next level in life. Typically kids are gone and they are working towards retirement and usually will tie moving into those plans. For many it is because they are retiring, they will be on a set income and they need to get into a smaller financial situation. On top of that they are maybe getting a little older and maybe don't want to take care of the yard and or a bigger house. I have actually seen a lot of this type of buyer(and seller) recently and am encouraged. The affordable is a natural fit for them as well, especially in Stapleton where almost all of the Stapleton Affordable homes are walking distance to a town center, a lot of them are one level units and are part of an Home Owners Association so the maintenance is taken care of. They also quite often fit into the income levels but can also be downsizing and paying cash for the unit, which gets rid of the need for a loan which can be tough to get these days.
I guess it is me just looking for a positive angle again, which I have recently been criticized for, but it still amazes me that in this market we don't have buyers coming out of the cracks left and right. I think even with all of the great deals out there, interest rates where they are and some slight turn in the economy which seems to be happening, we are just on the edge of coming to what we may all look back and say was one of the best buying markets ever. I think it is our job to make this happen and I think we should start with buyers that are out there looking because of the effects of the economy. The Denver Affordable Program and these units in particular are great products to put them in. If you would like to know more about the Affordable Programs of Denver and Stapleton, please feel free to go to my web site or read a couple of the blogs and posts I have written about it.