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Should You Sell Your House or Rent It Out?

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When you’re ready to move, figuring out what to do with your house is a big decision.

And today, more homeowners are considering renting their home instead of selling it.

Recent data from Zillow shows about two-thirds (66%) of sellers thought about renting their home before listing, with nearly a third (28%) taking that possibility seriously. Compared to 2021, when fewer than half (47%) of homeowners considered renting before selling, it’s clear this trend is on the rise.

So, should you sell your house and use the money toward your next home or keep it as a rental to build long-term wealth? Let’s walk through some important questions to help you determine the right path for your financial and lifestyle goals.   

Is Your House a Good Fit for Renting?

Before you decide what to do, it’s important to think about if it would make a good rental in the first place. For instance, if you’re moving far away, managing ongoing maintenance could become a major hassle. Other factors to consider are if your neighborhood is ideal for rentals and if your house needs significant repairs before it’s ready for tenants.

If any of these situations sound familiar, selling might be a more practical choice.

Are You Ready for the Realities of Being a Landlord?

Managing a rental property involves more than collecting monthly rent. It’s a commitment that can be time-consuming and challenging.

For example, you may get maintenance calls at all hours of the day or discover damage that needs to be repaired before a new tenant moves in. There’s also the risk of tenants missing payments or breaking their lease, which can add unexpected stress and financial strain. As Redfin notes:

“Landlords have to fix things like broken pipes, defunct HVAC systems, and structural damage, among other essential repairs. If you don’t have a few thousand dollars on hand to take care of these repairs, you could end up in a bind.”

Do You Understand the Costs?

If you’re considering renting primarily for passive income, remember, there are additional costs you should anticipate. As an article from Bankrate explains:

Mortgage and Property Taxes: You still need to pay these expenses, even if the rent doesn’t cover all of it.

Insurance: Landlord insurance typically costs about 25% more than regular home insurance, and it’s necessary to cover damages and injuries.

Maintenance and Repairs: Plan to spend at least 1% of the home’s value annually, more if the house is older.

Finding a Tenant: This involves advertising costs and potentially paying for background checks.

Vacancies: If the property sits empty between tenants, you’ll lose rental income and have to cover the cost of the mortgage until you find a new tenant.

Management and HOA Fees: A property manager can ease the burden, but typically charges about 10% of the rent. HOA fees are an additional cost too, if applicable.

Bottom Line

To sum it all up, selling or renting out your home is a personal decision. Make sure to weigh the pros and cons carefully and consult with professionals so you feel supported and informed as you make your decision. A real estate agent can be a great person to go to for advice.

Read more at KeepingCurrentMatters.com

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If there is a home that you would like more information about, if you are considering selling a property, or if you have questions about the housing market in your neighborhood, please reach out. We’re here to help.

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More Homes, Slower Price Growth – What It Means for You as a Buyer

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There are more homes on the market right now than there have been in years – and that could be a game changer for you if you’re ready to buy. Let’s look at two reasons why.

You Have More Options To Choose From

An article from Realtor.com helps explain just how much the number of homes for sale has gone up this year:

“There were 29.2% more homes actively for sale on a typical day in October compared with the same time in 2023, marking the twelfth consecutive month of annual inventory growth and the highest count since December 2019.”

And while the number of homes on the market still isn’t quite back to where it was in the years leading up to the pandemic, this is definitely an improvement (see graph below):

 
 

With more homes available for sale now, you have more options to choose from. As Hannah Jones, Senior Economic Research Analyst at Realtor.com, explains:

“Though still lower than pre-pandemic, burgeoning home supply means buyers have more options . . .”

That means you have a better chance of finding a house that meets your needs. It also means the buying process doesn’t have to feel quite as rushed, because more options on the market means you’ll likely face less competition from other buyers.

Home Price Growth Is Slowing

When there aren’t many homes for sale, buyers have to compete more fiercely for the ones that are available. That’s what happened a few years ago, and it’s what drove prices up so quickly.

But now, the increasing number of homes on the market is causing home price growth to slow down (see graph below):

 
 

In certain markets, the number of available homes has not only bounced back to normal, but has even surpassed pre-pandemic levels. In those areas, home price growth has slowed or stalled completely. As Lance Lambert, Co-Founder of ResiClub, explains:

“Generally speaking, housing markets where active inventory has returned to pre-pandemic 2019 levels have seen home price growth soften or even decline outright from their 2022 peak.”

Slower or stalled price growth could give you a better chance of finding something within your budget. As Dr. Anju Vajja, Deputy Director at the Federal Housing Finance Agency (FHFA), says:

“For the third consecutive month U.S. house prices showed little movement . . . relatively flat house prices may improve housing affordability.”

But remember, inventory levels and home prices are going to vary by market.

So, having a real estate agent who knows the local area can be a big advantage. They can help you understand the trends in your community, which can make a real difference in finding a home that fits your needs and budget.

Bottom Line

More housing options – and the slower home price growth they bring – can help you find and buy a home that works for your lifestyle and budget. So don’t hesitate to reach out to a local real estate agent if you want to talk about the growing number of choices you have right now.

Read more at KeepingCurrentMatters.com

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The 12 Best Places for Ice Skating in (and Around) Denver This Winter

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Winter is coming in Denver, which means the mountains are calling all skiers. But what about the rest of us?

The ones who like the snow and cold but aren’t interested in downhill mountain sports. We need something to keep us active and occupied while just about everyone we know spends each weekend on the slopes.

Enter: skating.

This centuries-old activity is maybe the original way of beating the elements, and (unlike skiing) it doesn’t cost hundreds of dollars to get started.

If you want to cool down, save on gas, and avoid the backups on I-70, skip the slopes and head to one of these nearby ice skating spots. We visited rinks all over the Denver metro area to offer up our 12 faves. We considered amenities, proximity to shopping centers and historic downtowns, availability of classes for beginner skaters, and events on the ice. Each rink’s hours vary from week to week, so check public skating hours online or call ahead.

(Looking for hockey ice time? Find our seven favorite adult hockey leagues in the metro area here.)

1. Parker Ice Trail

Where: Parker

  • Admission: $10 ($8 for kids 10 and under)

  • Skate rental: $4

  • Open seasonally, beginning Nov. 29, 2024

This outdoor rink is more like a small, asymmetrical ice track than an actual trail. The ice circles a center grassy area and is fenced in on both the inside and outside, offering more space for beginners to hold on as they get accustomed to the ice. Located at the edge of downtown Parker in Discovery Park (behind the library), the ice trail offers concessions, skating aids for new skaters, and a handful of fire pits and seating for spectators to keep warm.

2. South Suburban Sports Complex

  • Where: Highlands Ranch

  • Admission: Starting at $7 for South Suburban district residents; starting at $9 for non-residents (children three and under skate free)

  • Skate rental: $2.50 for residents; $3.50 for non-residents

  • Open year-round

South Suburban Recreation District’s newest skating facility features three NHL-regulation-size sheets of ice. Sports Complex public skating times occur in the morning, afternoon, and evening, depending on the day, so regardless of your work or life routine, there should be a time that fits your schedule. If not, check out the complex’s sister location, Family Sports Ice Arena—the practice ice for the Colorado Avalanche is a quick, six-mile drive away. Along with ice rinks, the Sports Complex has pickleball courts and indoor turf fields, as well as a restaurant and full bar. Folks who live in the South Suburban Recreation District can create an account online to get the district rate for public skating.

3. Rink at Belmar

Where: Lakewood

  • Admission: $10 ($8 for kids 12 and under; seniors and children two and under skate free) or $6 if you bring your own skates

  • Skate rental: Included in admission

  • Open seasonally, Nov. 22, 2024–Jan. 5, 2025

Park in the lot at Teller Street and West Virginia Avenue, enjoy dinner at Wasabi Sushi Bar, and then head out to the plaza to skate under the string lights. Even in the daytime, the Rink at Belmar can get plenty of shade, so make sure you check the weather and bundle up. Extreme conditions may close the rink, so check online or call ahead to make sure the rink is open as planned. Outdoor heaters and fire pits help friends or parents stay toasty. Admission is first come, first served.

4. Edge Ice Arena

  • Where: Littleton

  • Admission: $7 ($6 for seniors, $5 for juniors, and $3 for children five and under)

  • Skate rental: $3

  • Open year-round

Adjacent to the Ridge Recreation Center, Edge Ice Arena is part of the Foothills Park & Recreation District. The facility serves hockey leagues (check the trophy cases upstairs) and Mountain Edge Figure Skating Club, and offers skate sharpening and repairs on-site. The Penalty Box bar and grill on the main floor keeps skaters and friends satisfied between sessions on one of the two NHL-size rinks. Nice touch: Beginner-friendly, double-runner skates are available for children, starting with size 5.

5. Old Town Skate in Historic Downtown Louisville

Where: Louisville

  • Admission: $10 (or $5 if you bring your own skates; children four and under skate free)

  • Skate rental: Included in admission

  • Open seasonally, beginning Nov. 16, 2024

One of the bigger outdoor rinks near Denver, Old Town Skate is located in Louisville’s historic downtown next to Steinbaugh Pavilion, an oversized picnic pavilion at 824 Front Street. Louisville boasts free street and lot parking in the walkable downtown area. The rink offers extended hours during the holidays, so if your kiddos are itching for activity, this could be the path to delightfully sleep-filled nights. Tickets are available in person only, first come, first served.

6. McGregor Skate

  • Where: Denver

  • Admission: $15 ($9 for kids and children under two and seniors skate free; flat rate of $6 if you bring your own skates)

  • Skate rental: Included in admission

  • Open seasonally, Nov. 29, 2024–Jan. 26, 2024

Caught in the glow of the Christmas tree, the rink at McGregor Square sits in the plaza across the street from Coors Field, close to Union Station (making it easily accessible by bus or light rail). Look out for special skating events this winter; in the past, there’s been “Watch and Skate with the Avs” and chances to skate with Colorado sports mascots like Dinger (Rockies), Miles (Broncos), and Chip (University of Colorado Boulder). For those 21 and older, hit up Milepost Zero food hall for holiday cocktails at the Sleigh Bar.

7. Ice Centre at the Promenade

Where: Westminster

  • Admission: $9 ($1 for kids four and under)

  • Skate rental: $3

  • Open year-round

How about dinner, a movie, and some skating? Ice Centre is the perfect destination for a winter date or family outing. Located at Westminster’s Promenade, the facility is a short walk over a pedestrian bridge from the AMC theater and Dave & Buster’s sports bar. Ice Centre has three regulation-size rinks, one of which is available during public skating. Skaters go downstairs to rent skates and access rinks. Lockers are available to stow your belongings for a fee. Have your own skates? Stop by Ice Centre’s pro shop to get them sharpened.

8. Apex Center Ice Arena

  • Where: Arvada

  • Admission: $7.50 for Apex Park and Recreation district residents; $10 for non-residents (discounts available for seniors)

  • Skate rental: $3.75 for residents; $5 for non-residents

  • Open year-round

The first Friday of each month, Apex Center Ice Arena combines the best of roller rink birthday parties and ice skating with Glow Skate. Lights on the ice are turned down low (but not off), colored lights are turned on, and skaters receive glow sticks or other wearable ambiance.

9. Skating in the Square

Where: Arvada

  • Admission: $10 ($7 for kids under 12)

  • Skate rental: Included in admission

  • Open seasonally, TBD

Take the G Line to Olde Town Arvada, and you’ll find a cozy little skating rink in the square on 57th Avenue, between the library and the pedestrian mall. Pick up your skates at the nearby shed and take to the (synthetic) ice.

10. Evergreen Lake

  • Where: Evergreen

  • Admission: $15 (children four and under skate free); $20 with skate rental included

  • Skate rental: $10

  • Open seasonally, weather-dependent

Winning the prize for best views while skating, Evergreen Lake is open throughout the winter as weather permits. Learn to Skate classes are available for children, and athletes can sign up for hockey and broomball online. Regulars or families can purchase 10-punch skate cards for $120 ($30 savings). Park at Evergreen Lake House or take the shuttle from Stagecoach Park lower parking lot on weekends and holidays.

11. Downtown Denver Rink

Where: Denver

  • Admission: Free

  • Skate rental: $12 ($9 for kids 12 and under)

  • Open seasonally, Nov. 21, 2024–Feb. 2, 2025

The downtown rink sits in Skyline Park, in the shadow of the Daniels & Fisher clocktower between the 16th Street Mall and 17th on Arapahoe Street. Look for the chain-link fence wrapped with blue Southwest branding and enter from the sidewalk on Arapahoe. Open late on weekends, the rink offers concessions and locker storage for your belongings. Double-bladed skates are available in children sizes.

12. Pindustry on Ice

  • Where: Greenwood Village

  • Admission: $15 per hour on the ice

  • Skate rental: $5

  • Open seasonally, beginning Nov. 22, 2024

Though a bit pricier than the other options, this rooftop rink (covered) offers plenty of space to glide and ample entertainment options for anyone in your group who would rather not risk their ankles. Part of Pindustry, a souped-up bowling alley and arcade, the 2,400-square-foot rink sits on an open pavilion with views of the city and suburbs. The rink also boasts the longest planned season, with visitors able to get their Kwan on through mid-March.

Read more at 5280.com

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If there is a home that you would like more information about, if you are considering selling a property, or if you have questions about the housing market in your neighborhood, please reach out. We’re here to help.

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Renting vs. Buying: The Net Worth Gap You Need To See

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Trying to decide between renting or buying a home?

One key factor that could help you choose is just how much homeownership can grow your net worth.

Every three years, the Federal Reserve Board shares a report called the Survey of Consumer Finances (SCF). It shows how much wealth homeowners and renters have – and the difference is significant.

On average, a homeowner’s net worth is nearly 40 times higher than a renter’s. Check out the graph below to see the difference for yourself:

 
 

Why Homeowner Wealth Is So High

In the previous version of that report, the average homeowner’s net worth was about $255,000, while the average renter’s was just $6,300. That’s still a big gap. But in the most recent update, the spread got even bigger as homeowner wealth grew even more (see graph below):

 
 

As the SCF report says:

“. . . the 2019-2022 growth in median net worth was the largest three-year increase over the history of the modern SCF, more than double the next-largest one on record.”

One big reason why homeowner wealth shot up is home equity.

Equity is the difference between your home’s value and what you owe on your mortgage. You gain equity by paying down your mortgage and when your home’s value goes up.

Over the past few years, home prices have gone up a lot. That’s because there weren’t enough available homes for all the people who wanted one. This supply-demand imbalance pushed home prices up – and that translated into faster equity gains and even more net worth for homeowners.

If you’re still torn between whether to rent or buy, here’s what you should know. While inventory has grown this year, in most places, there’s still not enough to go around. That’s why expert forecasts show prices are expected to go up again next year nationally. It’ll just be at a more moderate pace.

While that’s not the sky-high appreciation we saw during the pandemic, it still means potential equity gains for you if you buy now. As Ksenia Potapov, Economist at First American, explains:

“Despite the risk of volatility in the housing market, homeownership remains an important driver of wealth accumulation and the largest source of total wealth among most households.”

But prices and inventory are going to vary by area. So, lean on a local real estate agent. They’ll be able to give you the local trends and speak to the other financial and lifestyle benefits that come with owning a home. That crucial information will help you decide the best move for you right now. As Bankrate explains:

“Deciding between renting and buying a home isn’t just about cost — the decision also involves long-term financial strategies and personal circumstances. If you’re on the fence about which is right for you, it may be helpful to speak with a local real estate agent who knows your market well. An experienced agent can help you weigh your options and make a more informed decision.”

Bottom Line

If you’re not sure if you should rent or buy, keep in mind that if you can make the numbers work, owning a home can really grow your wealth over time.

And if homeownership feels out of reach, connect with a local real estate agent and lender. They can help you explore programs that may make buying possible.

Read more at KeepingCurrentMatters.com

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When To Sell Your House: 6 Surefire Signs Now Is the Time

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When to sell your house is not always the easiest question to answer.

Most people don’t plan on living in their first (or second or maybe even third) home forever, but knowing when the time is right to put your home on the market can be tricky.

In fact, selling a home can feel kind of like breaking up with a longtime partner. Deep down, you knew you wouldn’t be with that person forever—but ending things can be way easier said than done.

Sometimes life changes force the issue and bring a decision to a head: There’s little reason for self-doubt or angst if you’re relocating to another state for a job or you know your newborn twins won’t fit in your one-bedroom bungalow. But without a pressing reason staring you in the face, it can be hard to know when to sell your house.

So, how do you know when it’s time to let go? Here’s what the professionals have to say.

1. You’re feeling cramped, and you can’t add on

Your family might not be growing, but that doesn’t mean your lifestyle still fits in your current house.

If you’ve started working from home, for example, or you’ve adopted an extended family of indoor cats—or maybe you’ve just never gotten over your dream of having a sewing room—your house might be too small.

But before you jump to conclusions, see if paring down your possessions works to free up some space.

Another option might be to finish an attic or basement, add another room, or even add a whole story to your home. But, of course, that won’t work for everyone.

To decide which route to take, check your local building laws and get estimates from two or three contractors. It also wouldn’t hurt to check with your real estate professional. Sometimes adding on won’t increase the value of a home, and you don’t want to make big-time improvements that will bring only a small-time return on your investment.

2. You have too much space

On the other hand, perhaps you’re feeling overwhelmed by vacant rooms and silence. (Hello, empty nesters!)

If you are rattling around a too-large home, it may be time to downsize.

Saying goodbye to a family home can be difficult, but you should consider how feasible it is to stay. If yardwork and house upkeep are getting to be a little too much, or soaring utility bills are cramping your style, it might make more sense to move.

3. You’re over the neighborhood

Maybe you can no longer deal with the rigid rules of your homeowners association, or perhaps your neighbors turned their house into a rental for frat guys. Whatever the reason, neighborhood dynamics can change dramatically over time.

And sometimes, you can change. Maybe the 40-minute commute to work didn’t seem like such a big deal the first few years, but now you’re dreading it every day. Or your kids are getting older, which can be a big problem if you’re not in the right location.

4. Remodeling won’t offer a return on your investment

Giving your kitchen or bathroom a face-lift can make your house feel like new again, which might be all you need to decide you want to stay put for years. But that doesn’t mean it’s a financially sound decision.

If your home is already similar in style and condition of some of the priciest homes in the neighborhood, remodeling might be a bad idea, and you should consider selling instead.

5. When to sell your house? When you can afford to sell

Sure, you’re going to make money when you actually sell your house, but as the adage goes, it takes money to make money. So seller beware: You probably won’t be sitting around and waiting for the dollars to roll in.

Most sellers need to make some minor improvements such as painting, landscaping, or updating flooring to get a good price on their home. Those costs will come out of your pocket at first, so it’s a good idea to have a cushion before you start.

6. You’re ready to compete

If you’re living in a seller’s market, you might be enticed to offload your home before things cool off. But don’t forget—once you sell, you’ll probably be a buyer, too.

If you’re going to get out there, you should make sure you’re ready to compete.

Read more at Realtor.com

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If there is a home that you would like more information about, if you are considering selling a property, or if you have questions about the housing market in your neighborhood, please reach out. We’re here to help.

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