Today the weather in Denver is moving towards the triple digits as our local forecasters tell us to expect daily high temperatures in the 100’s.  There is one building amenity that is coveted in these hot days of summer.  That amenity is the swimming pool.

Those few fortunate Downtown Denver loft and condo residents who have a pool suddenly find themselves more popular than they were during the winter.  Friends seem to magically pop out of the woodwork asking “so… what are you doing this weekend”.

We have many many clients that live in these coveted amenity buildings and we are here to tell you.  They know who their real friends are.

But, the pool amenity is more than just a fun feature for summer months.  It is a huge value addition for a modern Denver loft or condo high rise.

A swimming pool can have a major impact on property values and rental incomes.   We always remember the classic real estate philosophy of “location, location, location”.

Equally important is “amenities, amenities, amenities”.   High rise residential Denver condo and loft buildings without pools, fitness centers, club lounge or movie theaters have a difficult time competing with great buildings like SPIRE, Glass House, or ONE Lincoln.

Those looking at investment properties can understand why.  When we run a rent comparison for a Downtown Denver building that has amenities it factors into a significant increase in the per square foot rental rate.

A building with a pool is not that much different than a ski in ski out condo at the Ski Resort.  The easier it is to have fun, the more it rents for.

Here are just a few of the pool friendly residential or investment property opportunities in our great Downtown Denver condo area.

• Glass House (maybe one of the biggest pools)
• SPIRE (smaller pool, but also hot tubs)
• ONE Lincoln
• Brooks Tower
• Larimer Place
• One Cheesman Place
• Landmark Tower

To learn more about these great Denver lofts and condo opportunities please feel free to contact anyone on our New Era Team today.

FHA qualified programs are a great thing for many first time home buyers.  FHA or Federal Housing Administration, is a program that creates an additional funding/mortgage loan resource for many home buyers who ordinarily might have difficulty qualifying.

Terms for FHA loans are almost always much more attractive than those of conventional loans.  FHA Insured Mortgages have low interest rates and more friendly qualifying terms for entry level downtown Denver condo and downtown Denver home buyers.

Perhaps the greatest aid FHA loans give to home buyers is the low down payment requirement.  FHA insured mortgages have a low 3.5 percent down payment and more flexible underwriting rules.

What many don’t realize is how difficult it can be for a condo developer to qualify for FHA financing.  FHA financing is not an automatic option.  It takes time, money, and many steps for a building to qualify for FHA financing.

So many wonder why a developer would opt to take on all the cost and time involved with getting their Denver loft or condo building qualified for FHA loans?  The answer is simple…. More sales.

FHA qualified buildings can appeal to a much larger range of buyers.  SPIRE, the Downtown Denver condo tower located in the heart of the Theater district launched during what would be considered a rough patch in the real estate market.  By allowing FHA buyers to qualify they were able to attract numerous first time buyers and that most likely contributed to the rapid sales of the lower priced residences.

In comparison, the building most consider the biggest competitor to SPIRE is the Glass House.  Similar amenities, similar architecture, and both were even built by the same general contractor… they are vastly different in terms of financing.

The Glass House launched during one of the strongest real estate markets in Denver.  The developer had no need to apply for FHA financing and the building sold out quickly.  In comparison, SPIRE still has inventory to sell after years of sales.  Although it is certainly one of the most popular downtown Denver condo buildings in Denver the timing of it’s launch benefited greatly from the FHA offering.

Unfortunately, FHA rules are getting tougher and developers are finding it more difficult to qualify as reported in the Denver Post article.  There are still may great FHA properties in Denver and New Era Realty is your expert to help assist in your first time home buyer search.  Contact anyone at New Era Realty today.

Downtown Denver condo and loft owners often discuss why they love living downtown.  They love the hundreds of restaurants that surround them.  They enjoy walking from their downtown condos and lofts to our three downtown located sporting arenas to catch any of the games for the Colorado Rockies, Denver Broncos, Colorado Avalanche, or Denver Nuggets.  They love the great entertainment, theater and shopping our city has to offer.

Whether they are a sports fan, arts buff, comedy lover, or foodie they all share one thing in common.  They love that they have the convenience of walking or biking to enjoy whatever their passion is.

From a Denver real estate perspective clients seeking this car optional lifestyle usually target key neighborhoods such as Riverfront Park, Downtown Denver, LoDo or LoHi.  The density of neighborhood amenities in these Downtown Denver condo neighborhoods is enhanced by access to the many existing and recently added pedestrian bridges, the expansive bike and jogging trail systems, and the 16^th street shuttle.

Denver’s new transit oriented development is expanding the reach of car optional living throughout Denver.  As each new light rail line is completed a pattern of transit oriented development soon follows.

The Downtown Denver life style is not just for those living downtown.  It’s also just a short light rail ride away from those who live within footsteps (or bike pedals) away from these great new light rail stations.

In this regard Denver’s transit development is creating a new extension to Downtown Denver, and the city is celebrating.

This past week the new Union Station plaza held their opening celebration.  The new Union Station Plaza is the entry point for these new light rail lines and acts as the hub of our city, whether you are coming in from Golden or returning from your beach vacation at Denver International Airport.

Today the news got even better.  RTD Announced that the new light rail line to Golden will be opening 8 months early. The line starts at Denver’s Union Station, travels through parts of Denver, Lakewood and stops at the Jefferson County Government Center in Golden. The line is expected to serve an estimated 19,300 riders per weekday and will run every five minutes along most of the line during peak hours.

Denver’s transit just keeps getting better.  Contact us today to learn more about downtown Denver living or any of these great transit oriented locations.

The Denver Union Station Project is picking up steam and it’s time for an opening celebration.

This Friday, May 18^th the Denver Union Station Project Authority (DUSPA) and the Denver Regional Transportation District will be holding a Lunch Time Grand Opening Celebration.

It’s not quite time for Downtown Denver loft and condo residents to celebrate the new light rail line from Union Station to Denver International Airport, but it certainly is time to celebrate the plaza that will eventually serve as the hub.

From 11:30 to 1 PM the public will be able to enjoy live entertainment and a short program to be held just before 12:30. Visit the Denver Union Station website for more information about the grand opening celebration.

Denver Union Station is a pretty special project.  For Downtown Denver loft and condo residents of LoDo and Riverfront Park, this project will put the new transportation hub of Denver just footsteps away.

It also means new restaurants, shops, and downtown Denver loft and condo opportunities in and across the many city blocks that compose the Union Station Neighborhood.

Transit for our city is becoming more and more important for Downtown Denver condo lifestyles and for the transportation benefits.   For those who live downtown the new Union Station network of lines will provide access throughout the city and to the airport.

For visitors to Denver the new Union Station plaza will be the welcoming point when they arrive at our city.

For those who commute to Downtown Denver for their work days or nights this will provide a method of transportation to avoid traffic jams, congestions, pollution, rising parking costs, and rising gasoline prices.

Of course, the best way to avoid all these headaches is to enjoy the Downtown Denver condo and loft car-free lifestyle with a residence in Downtown Denver.   That is part of what the new celebration is all about.

Come join us celebrating the new Union Station light trail plaza opening and please contact anyone on the New Era team to learn more about the great Denver real estate opportunities.

The Denver area is expanding with new restaurants, shops, and amenities throughout our great city.

Perhaps no area has experienced as much growth as the amazing Lower Highlands (also known as LoHi) neighborhood.  Connecting Riverfront Park and the Historic Highlands neighborhood, this prime Downtown Denver condo and residential area is booming.

What was once a buyers market has transitioned into a solid and fast moving market for those who are quick to act.  With a demand side that hasn’t been seen for many years informed buyers are finding that the best listings and those under $500,000 don’t stay on the market for long.

With our own New Era Realty office located in this thriving neighborhood, our agents are constantly studying and monitoring the rapid growth  and general trend of this neighborhood.

As the market continues to evolve it has been noted that the positive market trend for LoHi has been expanding to follow the Platte River line.   Downtown Denver, as a city, offers one the largest opportunities for waterfront and riverfront development.

Areas within walking distance to the Lower Highlands or any of the new light rail transit stations are drawing an interest for Downtown Denver condo and Downtown Denver home shoppers looking to find a value and potential developers looking to buy in areas that will be the next to grow.

Businesses are also looking to take advantage of the market growth in these areas including the new Prost Brewery going in near the I-25 exit on 20^th just steps from Riverfront Park.

Within the Riverfront Park and Platte River area thousands of new rental units are expected to be delivered within the next 3 years.  This influx of additional density is considered to be another driver for additional restaurants and lifestyle amenities.

As prices continue to strengthen for LoHi and other Denver loft and condo markets we are working actively with clients with the intention of buying in these growing neighborhoods while pricing opportunities are still attractive and rates remain low.

To learn more about the growing Denver LoHi neighborhood or any of the great downtown Denver lofts and condos, please contact anyone on the New Era Realty Team.

If you or someone you know has listed or purchased a home recently, it should come as no surprise that the Denver real estate market is one of the hottest in the country! The national and local media have caught on as well with recent reports of Denver ranked 2^nd only to Oakland for the best housing market in the U.S. (Denver Post). The average home in Denver is listed for a mere 33 days before it sells (the average for the rest of the country is 89 days)!

Digging into the numbers, we have seen a rapid and dramatic turn of events in our housing market compared to a year ago. Inventory is still very limited with only 10,325 active listings on the market at the end of March. And that number continues to fall. Last year at this same time we had nearly 18,000 active listings. Now, with over 7,400 properties in an Under Contract or Pending status, we are selling through our inventory of available homes and Denver lofts at an alarming rate. Home builders too have fallen behind with the current demand, with most builders 6+ months out on their availability of new homes.

Where is pricing headed?   I see homes and Denver condos continuing to appreciate at a good rate this year. The average home appreciated 3.7% from March 2011 to March 2012 and condos appreciated 1.25% from last year. Keep in mind that we haven’t even hit the “high season” in real estate yet (typically June through August), so this bodes well for the local housing market and the overall economy along the Front Range. Rents have also continued rising with the average rent increasing 5-10% from a year ago, often making home ownership more affordable than renting in most metro areas, Denver included. Most Americans, have a much more positive outlook when it comes to home ownership and this will continue driving demand across price points. Recent studies indicate that over 73% of Americans believe now is a good time to buy a home!

As always, we are up-to-date on the latest market happenings. Please don’t hesitate to contact me whenever you or someone you know is considering buying or selling a home!

New Era Realty is proud to announce the continued growth of our experienced realty team.  New Era Realty recently added a second agent Aaron Pearson to the Northern Colorado team and we are pleased to announce that Chris Behrens on our Downtown Denver real estate team has been brought on as the 3^rd full owner and partner of existing broker / owners Brian Lehnerz and John Stegner.

New Era Realty is currently seeking other qualified and customer driven brokers to join the city team which has continued to grow and develop.

New Era Realty has a strong focus on customer service in all forms, one of which is technology. Using mobility applications and IPads in the field to better serve our clients, New Era Realty agents are equipped with the tools and expertise to excel.  Our high traffic website is being updated to bring new search technology to make it easier for our clients to know about homes the moment they hit the market and search the MLS easily.

Better tools, better experience, and better agents are all part of how New Era continues to move forward in providing the highest level of customer service.

New Era Realty is on pace to again increase the company’s production by as much as 30% this year.

We are also proud to announce a relationship with Guild Mortgage to

enable New Era Realty Clients a full solution on both the lending and the real estate side.  The goal is to make sure our clients have outstanding transactions across the board and at every step of their dream home or investment transaction.

To learn more about New Era Realty, downtown Denver real estate, or our customer service advantage, please contact anyone on the New Era Realty team.

Agents interested in learning more about joining the New Era City Team please contact John, Brian or Chris at 303-991-9878 or 800-392-1950.

We never get tired of sharing great news with all of our clients and readers here at New Era Realty.

The latest bit of good news was reported in the Denver Business Journal Article “S&P: Denver home prices up from 2011; 1st year-over-year rise in 19 months” this week with some great numbers showing what we already knew…

The Denver market is going strong!

We aren’t talking about a huge market increase.  The Denver market showed a “0.2 percent increase since January”.  But out of the 20 cities that this report looked at in the United States Denver was one of only 3 that showed positive market recover.

This past year New Era Realty has found for our Denver loft and condo clients some incredible values in this market… but it takes a lot of work.

The Denver market is strong.  Downtown Denver real estate markets such as LoHi, LoDo, and the many Denver neighborhoods being connected by the new light rail system are extremely popular.    Many homes that come up on the market priced below market are snatched up instantly.  For this reason selecting a Downtown Denver loft and condo expert firm such as New Era Realty carries even more value.

Our New Era Realty team, located in the heart of LoHi just blocks from the New Union Station light rail hub, offers the experience, history, and technology tools to assist our Downtown Denver condo buyer and sellers with their real estate transactions.

It’s interesting to watch the market trends in the various neighborhoods and the pattern of development that is occurring in these markets.  Certainly, LoHi has become a favorite of both Downtown Denver residents and investors as new restaurants, shops, and amenities continue to open every month.

The new light rail developments at the Historic Union Station  including not just transportation, but also office buildings, restaurants and services are creating a new dynamic in the surrounding LoDo, Riverfront Park, Ball Park and Five Points neighborhoods.

What’s next for Denver… that’s what we focus on every day.  To learn more about the sub market trends in the different Downtown Denver neighborhoods or for your own home please contact anyone on the New Era Realty team.

With vacancy rates running at all-time lows in the Metro area, both seasoned and rookie investors are taking advantage of the Downtown Denver real estate opportunity and snapping up rental properties as quickly as they can.  For the fortunate few, they find a hidden gem that produces a double digit return on their money.  For many others, a 7% capitalization (CAP) rate (aka, return on their investment) is far better than the return they are getting from their investments elsewhere.  Of course there are plenty of landlords who are asking a premium for their rental properties right now and sometimes finding a “deal” on a rental in the current market has become less and less commonplace.

Every investor has his/her own priorities when it comes to their investments, real estate and otherwise.  To keep things simple, let’s assume you are looking at purchasing any rental property that will yield the best return on your money. I believe the following considerations are most important in your analysis of a potential property:

1) What deferred maintenance exists at the property? Are the major mechanical systems in good working order or will they need replacement in the near future?  A good inspection will reveal any major problems here and then it’s just a matter of getting estimates for the work and sometimes negotiating further with the seller.

2) What are the ongoing operating expenses for the property? Does the tenant or landlord pay all or some of the utilities?  What are the total annual expenses including utilities, maintenance, HOA’s, legal fees, property management fees, etc.?   Many listing agents and their landlord clients don’t report expense data accurately, so make sure you know exactly what you are getting into and ask for accurate financial records.  If the property isn’t rented or the rents don’t appear to be in line with the market, there are resources available to find going rental rates for specific areas and help with your analysis.

2) What are the gross monthly and annual rents over the past 2-5 years?  It is always good to ask for rent rolls here from the seller/landlord.  What are the current leases and does the property have good tenants?  What has the vacancy rate been over the past few years?  Is there potential to increase rents as tenants leave or renew their leases?

4) Once we have answers to 2) and 3) above, we can calculate the Capitalization (CAP) rate (a high level way of saying the return you collect on your investment):

CAP rate = Net Operating Income (i.e., Gross Rental Income – Expenses) / Cost (purchase price).

For example, a property generates $12K in gross rental income in a year, with $4K in expenses and you purchase it for $125K.  Your CAP rate is 6.4%…far better than that savings bond of yours!

5) What is the “Cash on Cash” return for the property? Some investors believe cash flow is king and many look for a 20% +  return here.  For instance, you purchase a rental property for $200K, with $40K down (20% down is the norm for non-owner occupied properties).  Assume the net rental income is $12K per year after all expenses.  Your Cash on Cash return is $12,000 (net rental income)/$40,000 (down payment) or 30 %!  It will take you just over 3 years to pay yourself back on your initial investment.

So what makes a good rental property? It depends what your objectives are.  Look for minimum deferred maintenance (unless you are getting a really good price), accurate income, expense and rent roll data which allow for a 6%+ CAP rate (realistic but not always easy to find) or a 20% Cash on Cash return if you are simply looking at paying yourself back on your initial capital investment (down payment) as quickly as possible.  A good rental property can be a small one bedroom Denver condo in a hot neighborhood such as LoDo, LoHi or a 50 unit apartment building near DU.  Sometimes a higher priced, longer term hold at a lower CAP rate can pay you back nicely over time and appreciate at a rapid rate in a strong rental market.  At the end of the day, it all depends on how much you want to spend and the return you want!

There are other considerations I haven’t discussed here including location, competition, tax implications/benefits and more.  We can continue those discussions in-person!  Shoot me an email and I will send you our rental investment calculator.  It is a great way to analyze potential rental opportunities accurately and quickly.

Spring in Denver has kicked off with great news for both investors and residents in the Downtown Denver condo and Downtown Denver loft market.

The first great news was the Denver Post’s reporting of “IMA Financial Group’s new headquarters marks milestone in rebirth of Denver’s historic Union Station”.  While light rail and RTD construction has been moving quickly real estate investors have been keeping watch to see when construction would begin on one of the many blocks of office, commercial, and residential land that will be the Union Station neighborhood.

IMA’s choice to move their headquarters to Denver and in the heart of the Downtown Denver loft and condo means an increase in jobs for our growing city.  Not only will the IMA headquarters building be employing their own team members but that construction of the project will mean the financial strength of the construction project and a spark to grow other blocks in this exciting area.

For residents of Riverfront Park, LoHi, and LoDo the Union Station Neighborhood isn’t just an exciting new neighborhood of dining, entertainment, and shopping retailers.  It is also the hub of the new RTD system including the much anticipated light rail to Denver International Airport, Grocery store at 20^th and Chestnut, and Hotel located in the historic Union Station terminal.

But it’s not just the investors who are happy with the news this spring.  Denver loft and codo residents in LoHi are adding another craft brewery to their suite of excellent dining and entertaining choices.

At the base of LoHi just a block from the I25 exit is a sign on the old (and very large) furniture building announcing a Spring 2012 opening of the Prost Brewing Company.

When our clients ask us what our favorite Downtown Denver condo and loft neighborhoods are to live, play, and invest in LoHi seems to be the top topic of discussion.

LoHi is BOOMING!  In the past few years you can hardly keep track of the rapid growth of great restaurants and businesses moving into this area.  The list includes some of the best Denver has to offer including Linger, Lola, LoHi Steak Bar, Ale House at Amato’s, Vita, Sushi Sasa, Denver Beer Company, and Williams and Graham to just name a few.

Learn more about why these Downtown Denver neighborhoods are getting so much attention.  Contact anyone on the New Era Team today.

One word sums up the local real estate market right now – exciting!  If you have recently listed your home, condo, or Denver loft, you are likely excited about the amount of showing activity you’ve seen so far (assuming you aren’t under contract already). If you are a buyer, the idea of home ownership is exciting once again (finally, after how many years?).  You are purchasing in a market that has bottomed out and from all signs, appears to be in a full recovery.  With rents as high as they are and mortgage rates a rock-bottom lows, it is simply a good time to buy a home for many buyers right  now. Although “Exciting” can also mean competing with other buyers for the same property!  Don’t worry too much though, there are always new listings hitting the market, you just need to act quickly on them.

For those of you who read the Market Update regularly, you’ve heard the following from me time and time again over the past few months and could tell the story yourself.  Inventory remains at lows we haven’t seen in many, many years and sales are increasing at a rapid rate (a 12% increase from 2011).  Considering we haven’t hit the high season yet, I believe the inventory of homes will continue to remain flat if not fall as more buyers start shopping for homes in the summer.  The average price of single family homes rose 2.2% from the previous year and the price of Denver condos rose 3.5%.  At the same time, the average days on market fell over 15% from the same time last year.  I believe these trends will continue.  Certainly some of the upward move in pricing can be attributed to more higher priced homes selling in the current market, but the fact remains, homes and condos are selling across price points. We are finding it competitive even in the $600K+ range right now!  If you are considering selling your home, NOW is the time contact me!

When does the media start reporting about Denver’s robust housing market?  The positive news is slowly trickling out and word is getting around.  Denver is quickly becoming one of the best housing markets in the nation!  Recently Case Schiller ranked Denver the 2^nd best metropolitan area for housing, only behind Detroit (values fell so low in Detroit, they had no where to go but up!).   Positive employment news has trickled out as well, such as the ManpowerGroup ranking Denver as the 5^th best hiring outlook in the nation.

Denver IS the place to be!  And how about Peyton Manning?  Denver will find itself in the spotlight because of our new quarterback and the resulting free press and nationally televised football games.  This must have some positive impact on our downtown Denver real estate market as well.