Colorado Springs housing market to remain hot for next five years, realtor tells City Council
COLORADO SPRINGS, Colo. (KRDO) -- What goes up, must come down -- eventually. But that's not happening anytime soon for the red-hot housing market in Colorado Springs.
Many experts have expected an inevitable slump or price correction to follow recent years of growth, but local realtor Harry Salzman told the City Council Tuesday, "forget about that."
Salzman, in an annual update and forecast to the Council, said housing prices and appreciation values will remain above the national average through 2024, and possibly even extending through 2029.
The city's high rankings in quality-of-life indicators, and even construction of the four City for Champions projects, were the main factors cited by Salzman as contributing to the housing market's continued growth.
Unfortunately, Salzman said, the trend will mean many first-time home buyers -- particularly those earning less than $50,000 a year -- will continue to struggle to acquire homes because of low inventory and low wages.
"We're still in a good position," Salzman said. "One we're lucky to be in."
Councilman Wayne Williams said affected homebuyers will have to be open to condominiums and townhouses as housing possibilities.
Council President Richard Skorman agreed, saying those prospective homebuyers may have to consider options besides the traditional home on a lot.
"The cost of homebuilding is higher than average for our area," he said. "But the cost of land so far isn't as high as it is in places like Denver. We need to change how we look at housing and what kind of housing we provide."
Skorman said he's hopeful that local developers and builders will eventually build more homes and increase inventory to meet demand.