Will the Northern Colorado Real Estate Market Crash?
No, if you have been waiting for the real estate bubble to burst, I have bad news. The real estate market is not going to crash. I explain why that can’t happen in the following video. I use one simple chart to explain why the real estate crash is not going to happen.
Using the data discussed in the video above, it is clear that there is pent up demand for homes. The shear number of millenials who are now the prime age to buy a home creates more demand for the extremely low inventory that we’ve seen over the last couple of years.
One reason people are expecting prices to be lower due to the recession. First of all, home prices have gone up during and after all recessions dating back to 1960. The one exception is 2009 when the mortgage crisis created a market crash but the population of new home buyers in 2008, 2009 and 2010 was far lower than anytime before or after that period. So the population of a prime home buying age group explain why 2009 was more difficult that it should have been and also why this recession is going to be completely different.