Metro Market At A Glance

2009 in Review

Sales

Single-Family Homes
2009 33,114
2008 37,988
% Change-12.8%

Condos/Townhomes
2009 8,956
2008 9,849
% Change -9.1%

Average Price

Single-Family Homes
2009 $264,803
2008 $270,261
% Change-2.0%

Condos/Townhomes
2009 $159,628
2008 $171,350
% Change -6.8%

Inventory*
(Year-End)

Single-Family Homes
2009 14,634
2008 17,663
% Change-17.1%

Condos/Townhomes
2009 4,850
2008 5,223
% Change-7.1%

Avg. Days on Market

* includes active and under contract. Based on information from Metrolist, Inc. for the period 9/1/08 through 9/30/09. Note: This representation is based in whole or in part on content supplied by Metrolist, Inc. Metrolist, Inc. does not guarantee nor is in any way responsible for its accuracy. Content maintained by Metrolist, Inc. may not reflect all real estate activity in the market.

Generally, walkable neighborhoods are in greater demand because of the benefits they offer in terms of health, community and the environment. Another study done in Washington State found that the average resident of a pedestrian-friendly neighborhood weighs seven pounds less than someone in a driving-only neighborhood. When residents drive less, they also pollute less and have fewer car accidents. Walkable neighborhoods tend to offer more public transportation options, allow for more face-to-face interaction with neighbors, and strengthen local businesses.

To measure your neighborhood's walkability on a 100-point score (and compare your ranking with Denver's average of 68), simply visit Walkscore.com and type in your address. The site ranks 2,508 neighborhoods in the 40 largest cities in the U.S. It also lists walking distances to specific transportation, restaurants, libraries, parks, schools, stores and other amenities.

Here are the walk score categories and descriptions:

• 90-100 Walker's Paradise: Owning a car is unnecessary, as most errands can be done on foot.
• 70-89 Very Walkable: It is possible to get by without owning a car.
• 50-69 Somewhat Walkable: Amenities exist within walking distance but many daily activities require a car, bicycle or public transportation.
• 25-49 Car-Dependent: Only a few destinations are within walking distance. Most errands require driving or public transportation.
• 0-24 Car-Dependent (Driving Only): You need a car to get to all shopping and amenities.

All homes listed for sale in our local Multiple Listing Service are assigned a Walkability Score. For more information on using the score as a selling point in your listing, or to evaluate the relative score of neighborhoods where you may want to purchase a home, please call us today. Happy strolling!

The Denver Green School:
Will it Help Our Home Values?

By now you know that we're "getting a new school" next fall: The Denver Green School. We're also in agreement that it will likely be an improvement over what we've had for the past many years - possibly even becoming a great school over time.

Now the question is: "Will it raise my home's value? Make it easier to sell? How much and how quickly?" The short answer is "yes" to the first two. The longer answer is below - my views from the perspective of selling homes in Winston Downs:

Common sense suggests that the quality of local public schools should be an important part of a home's value. . . more so for Buyers with children, but keep in mind that less than half of all homebuyers have children under 18 (NAR 2009 Study of Home Buyers and Sellers). Also it is difficult to isolate the effect of schools from the effect of other neighborhood traits. Good schools usually come bundled with other neighborhood qualities-- like as proximity to employment, shopping and recreational conveniences and neighborhood peers. Homebuyers who enjoy (and can afford) such amenities tend to congregate together . . .

Now, it is also also hard to disentangle the valuation of the schools themselves school facilities, curriculum, teachers and principals) from the valuation of the quality of peers available at the school. Common measures of school quality (such as test scores) typically reflect both the quality of the education being offered and the characteristics of the incoming students. Are homebuyers paying for quality schools or quality classmates for their children? Regardless, they are paying more.

How long before we see the benefits reflected in home prices? I think we're already seeing an increased demand for Wiinston Downs homes for this reason, and this will help protect home values from further erosion from current economic conditions. For further reading, check out these empirical studies:

• Greenville, South Carolina. This study has found that attendance areas with higher school ratings have higher property values, all else constant. Also, distance to the assigned schools has a negative impact on the value of the property.
• Proximity to Schools: This work affirms the perception that there is a significant relationship between a residential property’s proximity to public schools and the property’s value as predicted by sales prices.
• Mecklenberg, NC. Maybe the most interesting study from our Neighborhood's perspective: Looks at how school "assignment" affects home value. Is it Good Schools or Good Neighbors that raise home values?

Remodels that Matter: Maximize the Value of Your Renovation

Expressions of personal style and up-to-date amenities are what make a house a home. But when it comes to making changes, what makes the most sense in terms of building the worth of your home? Turquoise may be oh-so-trendy today, but will that still be true five years down the road? Before you invest in tiling your entire kitchen to match the Western sky, consider which upgrades will add lasting value to your home.

In today's tight economy, it's especially important to get the biggest bang for your home improvement bucks. Before you undertake a remodel — no matter how large or small — please feel free to call for advice or recommendations.

Here are five low-cost remodeling projects that can pack a punch:

• Replace light fixtures. Swapping out track lights with recessed can lighting on a dimmer switch can add instant ambience to a room. Pendant lights suspended over a kitchen island or peninsula provide classic elegance.
• Paint an unfinished basement. Hire a contractor to fill cracks in cement block or poured concrete, then paint with waterproofing paint and a layer of color to freshen up the space.
• Add or replace tile. Swap out dated ceramics or add pizzazz with fresh tile on a backsplash or bathroom wall. If you like the look of a granite countertop, consider using granite tile rather than a slab for a fraction of the cost.
• Install a breakfast bar. A cutout in a wall that separates the kitchen and the dining or family room can provide a platform for a cozy breakfast bar with seating for two or three.
• Recondition wooden kitchen cabinets and update hardware. Or, replace the cabinet doors and drawer fronts. Both techniques revitalize the look of the room for much lower cost than re- facing or total replacement.