Information for those interested in investing in residential real estate.
Information for those interested in investing in residential real estate.
In this real estate market it’s more important than ever for buyers to be prepared to enter the market. This class has been designed to give you the information you need to be successful in this market. As a student you will understand the home buying process from start to finish; the current Denver Metro real estate market; how to describe your new home; how to choose the right real estate broker. We will also review tips and techniques for writing a strong offer. You will leave the class with the all information you need for your home buying process to be a success.
Register for classes at the Arapahoe Community College Website.
Sat, Sep 15, 10 a.m.-12:30 p.m. Littleton Campus
INDS 1001F01-68159 $25
Sat, Oct 20, 10 a.m.-12:30 p.m. Littleton Campus
INDS 1001F02-68160 $25
Sat, Nov 3, 10 a.m.-12:30 p.m. Littleton Campus
INDS 1001F03-68161 $25
Sat, Dec 8, 10 a.m.-12:30 p.m. Littleton Campus
INDS 1001F04-68162 $25
It’s not as easy as you may think to sell your home in this market for the best price and terms. Take this class to learn all you need to know to sell your home. We will discuss the challenges of selling in a quickly moving market; the importance of the right pricing strategy; the actual cost to sell a home; negotiation tips and techniques and how to navigate the entire process. You will leave the class with information on the current real estate marker in your area, how to prepare your home for sale, how to choose a real estate broker and an offer of a free comparative market analysis of your home.
Registration at Arapahoe Community College website.
Sat, Sep 29, 10 a.m.-12:30 p.m. Littleton Campus
INDS 1002F01-68163 $25
Sat, Oct 6, 10 a.m.-12:30 p.m. Littleton Campus
INDS 1002F02-68164 $25
Sat, Nov 10, 10 a.m.-12:30 p.m. Littleton Campus
INDS 1002F03-68165 $25
Sat, Dec 1, 10 a.m.-12:30 p.m. Littleton Campus
INDS 1002F04-68166 $25
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Alliance Engineering, Ltd.
Projected Costs for New Home Construction in Denver, Colorado
One of the most important factors in designing a new single home or in developing out an entire neighborhood after platting is the cost per square foot of the home or Project to be built. Denver, Colorado is presently the fastest growing economy in the U.S and, thus, there is presently almost unlimited demand for homes of all types and sizes. As a result it is important to carefully consider the likely price per square foot of the construction of a new home as opposed to that of an existing home.
Alliance has carefully studied the housing market and specifically those homes that are considered typical for a medium-high end custom home and are neither considered overly luxurious, nor economy homes. This information is being made available to the public for general use in qualifying budgets and design programs.
Typically, there are three (3) ways to measure square footage. This is important because it is a highly sensitive variable. The first is measuring only finished living space and not accounting for unfinished space or garages. The second is measuring total enclosed space, not including garages. The third is measuring total enclosed space including garages. When starting a project, make sure you clearly identify how you are measuring space in your program and that you are using a common standard of measurement with your engineer, architect, and/or contractor.
The costs noted below are for the construction of the finished home itself with all accessory appurtenant structures (decks, covered porches, and the like). It DOES NOT include land costs, site development costs, soft costs or finance costs. It does include all interior finishes. However, it does not include furnishings, art or interior decorating for the home.
Results of Study Regarding Construction Costs:
Total Finished Square Footage:
Low: $150 per Sq.Ft. / High: $275 per Sq.Ft. / Average: $235 per Sq.Ft. / Median: $230 per Sq.Ft.
Total Enclosed Square Footage not including Garage:
Low: $150 per Sq.Ft. / High: $230 per Sq.Ft. / Average: $195 per Sq.Ft. / Median: $185 per Sq.Ft.
Total Enclosed Square Footage including Garage::
Low: $125 per Sq.Ft. / High: $195 per Sq.Ft. / Average: $165 per Sq.Ft. / Median: $155 per Sq.Ft.
The breakdown of these costs by percentage of construction component is shown below. This is a generalized model based on the Denver housing data. As each project can vary significantly in one or more categories, a Schematic Design needs to be developed in order to allow for line-item budgeting to further inform the homeowner of the actual costs and breakdowns for the Project.
The typical new home construction cost breakdown is as follows:
General Contractor Fee: 15 %
General Conditions: 5 %
Interior Finishes: 20 %
Exterior Finishes: 10 %
MEP: 15 %
Shell: 35 %
Although these may seem high, that is the way it is in Denver, Colorado right now. When the time between listings of existing homes going onto the market and initial contract offers is not days, but hours, it is no wonder that new home pricing is as high as it is.
AEL is Licensed, Dependable, and Accurate
The Colorado Principal office is located in Westminster, Colorado. We have licensed Professional Engineers (“P.E.’s”) available on call to complete inspections and reports within 24 to 48 hours of the call coming in. Please call us at (303) 485-8700 or (720) 898-0660. You can also contact AEL by email at mcentofanti@AELEngineering.com. We oftentimes have to react instantaneously and are used to doing so due to an upcoming closing or contract.
The truth is I don’t know if this is a real estate bubble or not and neither does anyone else! What I can tell you is what I tell all my clients. “If you’re ready to buy then now is the right time”. Of course, I also tell them to carefully consider the following information:
With all that being said… If you’ve been sitting on the fence, wondering if you want to buy or not, please reach out to me. I will help you logically evaluate your unique situation so you can make an informed decision about whether or not you’re ready to buy.
If you live in Colorado, you should be receiving your new property assessment and tax rate notification by May 1, 2017. Below you will find definitions and information that I have summarized from the Arapahoe County Assessors website for your review. It is extremely likely that your tax rate will have increased significantly as property values continue to increase at an extraordinary rate.
If you disagree with the property valuation you can make an appeal with your county assessor. The deadline is likely June 1, 2017 to file an appeal. You cannot appeal the mill levy as that is determined by the individual taxing authorities.
If you disagree with the property value the assessor has determined, and are considering making an appeal, feel free to contact me and I will gladly provide you with comparable property sales for documentation to use in your appeal.
Property Value – In Colorado the county Assessor, for the county in which your property is located, is required to reappraise (determine the market value) all real property (land and improvements) every 2 years in the odd numbered years.
Property Assessment – Every 2 years the assessor determines the actual (market) value for all real and personal property. Then a percentage (assessment rate) is multiplied by the actual value to determine the assessed value. In Colorado the residential assessment rate is currently 7.96%.
Mill Levy – Is the tax rate applied to real property. The mill levy is set by individual taxing authorities in your area, these might include schools, county, fire, water, sanitation, library, recreation districts and metropolitan districts. Mill levies within a county can vary widely.
Property Taxes – The final property taxes for your home and/or land are calculated using this information. The actual value is multiplied by the assessment rate which is then multiplied by the mill levy. The residential rate in Colorado currently is 7.96%. The assessment rate for all other property, including vacant land, is 29%.
Example: A home which has a market value of $300,000 (actual value) x 7.96% (residential assessment rate) x .081265 (mill levy) = $ 1,940.61 (annual tax dollars). Please note this is only an example. Your value and mill levy maybe different. (300,000 x .0796 = 23,880 then 23,880 x .081265 = 1,940.60)