You’ve gotten pre-approved for a home loan, you have a stable job, you have enough money in the bank for a down payment and closing costs, and you have figured your budget a million times to make sure you can afford it.  Still, you wonder if this is a good time to buy a home in Denver.  Every time you hear something positive about the economy, there’s always a naysayer who says “What if….”

Recent facts indicate that the economy is picking up, with consumer confidence along with it. Of the 10 indicators tracked by the Metro Denver Economic Development Corporation (EDC), 10 show Denver is solidly on the road to recovery.

Customer confidence has been on the rise throughout the country, but according to Tom Clark, executive vice president of the EDC, “Consumer confidence has jumped 28 percent in one month.  While this has been an across-the-nation increase in consumer confidence, Denver saw twice the national jump…"

Some of the indicators included in the Denver EDC’s monthly tracking include:

·         Unemployment claims have decreased from the previous months, though the rates are still  higher than last year.

·         The unemployment rate of 7.6% is below the national average of 8.8%.

·         Despite some new foreclosures, foreclosure rates have fallen in the region 14.2% year-to-date from a year ago.

·         Companies are expanding in the area, including Fortune 500 DaVita Inc., which moved its headquarters to Denver.

·         Stimulus projects are underway, such as the Cooperative Institute for Research in the Atmosphere lab at Colorado State University.  This project received $64.4 million over five years to study atmospheric conditions.  Meanwhile, the National Renewable Energy Laboratory (NREL) received $64 million to construct a new facility, plus $4 million in annual funding for the next five years. Additional stimulus dollars will be pumped into internship programs in bioscience, energy, aerospace, and information technology.

·         Denver is viewed as the Number 1 city for a housing rebound as noted in our earlier blog Denver Poised to Recover First from Real Estate Slump, which was based on a Today show report.  Inventories of unsold homes are declining, which means that the supply and demand for homes are getting more balanced.

These indicators do not mean that Denver is totally out of the woods so far as the recession is concerned.  None of us have access to a crystal ball that will reveal exactly how the economy will play out.  However, recovery is fueled by consumer confidence which is on the upswing in Denver and throughout the country.  At the moment, you also have the $8,000 first time homebuyer tax credit to stabilize your position.

Buying a home is a great thing to do this spring.  If you are ready to go – or even if you have concerns – contact Bandy Homes.  We can find you an affordable home in Parker or other fine Denver area communities and even show you how the $8,000 tax credit can help out with your down payment.

Marianne Bandy