The local real estate market is turning the corner.   January’s sales increased 3% over the same month last year, marking the 7th straight month of year over year sales increases.   And while sales are improving, home sellers are facing less competition.  The number of available homes—currently 3,156 listings– is down 27% from last January.   Less competition means better prices.  Sellers, on average, are getting 97% of asking price.   Market watchers think if this trend continues, it could mean some modest home price increases for the Pikes Peak region by the end of the year.   But for the time being, local home prices continue to show some weakness.   Last month’s median price (1/2 above, 1/2 below) of $172,500 was down 4.31% compared to January, 2011.  The average sale price was $204,814.

Nationwide, home prices dropped nearly 5% from 2010 to 2011, and according to CoreLogic, distressed sales are to blame.  The financial, property, and consumer information company says that if foreclosures are excluded, home prices have only dropped o.9%.  Click here to read the Feb. 2, 2012 report “Distressed Sales Undercut Home Prices in 2011″.

There’s no question that in the Springs, distressed sales are having a big impact on home prices.  Last month was a big month for bargain-hunters, who went on a buying spree and snapped up foreclosures.  Nearly 1 in 4 of the homes sold in January locally was a short sale or bank-owned property.

Home sellers, here’s the bottom line:  Home buyers these days are a cautious, careful bunch.  They’re taking more time to pick a property, and are making sure they stick to a budget they can afford.

Springs Jobless Rate Stuck at 9%

Home buyers have good reason to be cautious.   The local economy has a long way to go before most residents feel prosperous.  A Labor Department report released early this month shows that Colorado Springs-area unemployment remained at 9% in December, unchanged from November.Click here for the full story.

Pump Up Resale Value

Simple and affordable do-it-yourself projects can pump up resale value.   Here are 6 projects that average less than $500 apiece, but will increase your sales price by at least $1,500 , according to HomeGain’s annual survey of realtors™ .   1) Clean & declutter      2)Brighten with clean windows & new light fixtures     3) Stage by rearranging furniture & bringing in new accessories        4) Enhance landscape with a manicured lawn, new mulch & flowers        5) Repair electrical or plumbing    by fixing leaks, updating wiring, and replacing outlets that don’t work   6)  Replace or shampoo dirty carpets.

Sensational Pinon Valley Tri-Level

Curb appeal and smart-updates make our featured home a standout.     And it’s located in a great northwest foothills neighborhood near hiking trails, schools and shopping.   The 3 bedroom, 2 bath tri-level has warm decorator colors and too many upgrades to list.   We love the pride of ownership that is evident inside & out.

Skating Spotlight

Colorado Springs will be in the sports spotlight again this month, as the host of the 2012 ISU Four Continents Figure Skating Championships at the World Arena Feb. 9-12, 2012.   The world-known affair is an International Skating Union (ISU) sanctioned event that will feature 100 top figure skaters from North America, Asia, Australia and Africa.