In the market for a new home? It’s important to understand the home-buying process before buying a house in Colorado Springs. Buying a home is a significant financial investment, and in a market as competitive as Colorado Springs, you’ll need to know what to expect to get ahead of other buyers.
In this guide, our team at Your Home Sold Guaranteed Realty - Barb Has the Buyers Team will break down all the steps of buying a house in Colorado Springs. From setting a budget to hiring a realtor and viewing homes, we’ll answer some of the most common buyer questions.
- It’s important to define your homeownership goals because it helps you plan your budget and makes it easier to decide when to enter the market.
- Setting a home-buying budget ensures you make a financially sound decision. To establish a realistic budget, start by evaluating your finances and debt-to-income ratio.
- Working with a buyer’s agent is crucial because they have in-depth knowledge of the local housing market, including current trends and property values,
- The Colorado Springs metropolitan area is experiencing a high amount of growth, leading to the construction of many new housing developments.
- Generally, it’s recommended to view homes after you’ve obtained prequalification or preapproval for a mortgage.
What Should I Know Before House Hunting?
What Are My Homeownership Goals?
The type of home you buy in Colorado Springs will depend on your goals for homeownership. Are you looking for more space and a larger yard for your pets or growing family? Then you’ll likely be looking for a bigger home with more acreage in a suburb or rural area.
Are you looking to shorten your commute? Then you’ll probably want a home within the same city you work in.
It’s important to define your goals first so you can use them to guide you through the house-hunting process. It also helps you plan your budget and makes it easier to decide when to enter the market. Some other goals could include:
- Building Equity: Owning a home allows you to build equity over time, as paying off a mortgage contributes to ownership and can lead to increased property value.
- Creating Stability and Roots: You might seek the stability and sense of roots that come with establishing a permanent residence and community ties.
- Financial Investment: Purchasing a home can be viewed as a long-term financial investment, potentially offering returns through property appreciation.
- More Customization and Personalization: Homeownership allows for customization and personalization of living spaces, enabling you to create a space that reflects your preferences and lifestyle.
- Family and Future Planning: Owning a home can be a part of family planning, providing a stable environment for children and future generations.
- Retirement Planning: For some, homeownership is a key component of retirement planning. Many people have the goal of owning a mortgage-free home during retirement.
Buying a House in Colorado Springs – What Are My Location and Neighborhood Preferences?
After you determine your homeownership goals, you’ll need to consider what locations fit your lifestyle, needs, and priorities. Understanding your location preferences helps you decide which Colorado Springs neighborhoods to buy a home in. Some location preferences might include:
- Proximity to Work: Many homebuyers prefer a location that offers a reasonable commute to their workplace, reducing travel time and enhancing work-life balance.
- School Quality: Families often prioritize neighborhoods with reputable schools, seeking access to quality education and a supportive learning environment for their children.
- Safety and Security: The safety of a neighborhood is a significant concern. Homebuyers may look for areas with low crime rates and a sense of security.
- Amenities and Recreation: Access to parks, recreational facilities, shopping centers, and entertainment venues can be crucial for those who value a vibrant and convenient lifestyle.
- Public Transportation: Some buyers prefer neighborhoods with good public transportation options, providing an alternative to commuting by car.
- Community Atmosphere: The sense of community and neighborly relations can be essential. Some buyers seek close-knit neighborhoods with community events and social activities.
How Do I Set My Home Buying Budget?
Setting a budget ensures you make a financially sound decision before buying a house in Colorado Springs. To establish a realistic budget, start by evaluating your finances and determine your debt-to-income ratio. You’ll need to calculate your monthly income and expenses, including bills, debts, and discretionary spending.
Based on this information, determine how much of a down payment you’ll be able to save. Ideally, the higher your down payment is, the more money you’ll end up saving in the long run. It’s common for home buyers to pay anywhere from 10% to 20% on a down payment. However, there are some loan programs that let you pay as low as zero down.
Aside from the down payment and monthly mortgage payments, make sure you understand the impact of additional costs like closing fees, property taxes, and homeowner’s insurance.
Once you have a budget estimate, get in touch with a lender and apply for pre-approval. The lender will take a closer look at your financial situation and issue an official loan amount.
What Questions Should I Ask Home Sellers?
Ask About the Specifics of the Property
When you’re considering buying a house in Colorado Springs, the first step is to ask the home seller and their realtor for more details about the property and its history. Think about asking questions like:
- How long have you owned the property? Why are you selling?
- Have there been any offers on the property?
- Can you provide a history of the property? Are there any known issues or recent repairs? Have there been any homeowners insurance claims on the property?
- When would you like to close, and what is your preferred timeline?
- Are you open to negotiation on the asking price?
- What are the average costs of utilities and maintenance for the property?
- What are the current property tax rates?
- Have there been recent upgrades or renovations? How old are the major systems (roof, HVAC, plumbing, etc.)?
- Are appliances and fixtures included in the sale?
- Have there been any recent inspections, and can I review the reports?
- Is there an HOA, and what are the fees and regulations?
- What are the zoning regulations for the property?
Ask About the Community and Long-Term Considerations
In addition to questions about particular homes, it’s also a good idea to find out more about the neighborhood and wider community they’re located in. You can turn to your realtor to learn more about a specific area, though you can also ask home sellers. Consider asking questions like:
- Which school district is the property in, and how are the schools rated?
- What are the transportation options, and how long is the daily commute to the nearest city?
- What are the crime rates?
- Is the property prone to natural hazards like floods, earthquakes, or wildfires?
- What can you tell me about the neighbors and neighborhood dynamics? Are there regular community events or gatherings?
- What local services are available, such as hospitals, schools, and shopping centers?
- How is the noise level in the neighborhood?
- Are there any planned developments or changes in the community?
- What public services are available, such as public transportation and waste management?
- What local businesses and restaurants are in the area?
- What are the typical traffic patterns in the area?
- What parks and recreational facilities are nearby?
- What community services are available, such as libraries and community centers?
How Do I Hire the Best Realtor in Colorado Springs?
Is it Important to Have Home Buyer Representation?
Working with a buyer’s agent is crucial when buying a home in Colorado Springs. A professional has in-depth knowledge of the local housing market, including current trends, property values, and neighborhood dynamics.
They can use this knowledge to help you decide the best time to begin your home search and make it easy to find homes within your budget.
Realtors also have extensive networks of listing agents they regularly partner with. This means they can quickly match you up with a home that fits your preferences, budget, and specific requirements.
Other benefits of working with a buyer’s agent are:
- Access to Listings: Buyer’s agents have access to comprehensive databases, including the Multiple Listing Service (MLS), providing a broad view of available properties.
- Negotiation Skills: One of the key roles is negotiating on your behalf. They work to secure the best possible terms, including price, contingencies, and closing costs.
- Paperwork and Documentation: They handle the extensive paperwork involved in the home-buying process, ensuring accuracy and compliance with legal requirements.
- Closing Assistance: They assist in the preparation for and attendance at the closing, ensuring a smooth transition from contract to ownership.
- Post-Closing Support: Even after the closing, a buyer’s agent can provide ongoing support, answering questions and addressing any concerns that may arise.
What Credentials Will the Best Realtors Have?
The best realtors often possess a combination of education, experience, and specific certifications that demonstrate their expertise and commitment to professional excellence. Here are some credentials and certifications that buyers can look for in a real estate agent:
- Realtor Designation (NAR Membership): Many top real estate professionals are members of the National Association of Realtors (NAR) and hold the Realtor designation. This membership signifies adherence to a strict code of ethics.
- Professional Affiliations: Affiliation with professional organizations such as the NAR, state realtor associations, and local real estate boards can demonstrate a commitment to staying informed and connected within the industry.
- Real Estate Specializations: Some realtors choose to specialize in specific areas such as luxury properties, commercial real estate, or niche markets. Look for certifications or designations that align with the type of property you are interested in.
- Accredited Buyer’s Representative (ABR): The ABR designation is awarded to real estate agents who have completed specialized training in representing buyers. It signifies a commitment to buyer advocacy and understanding the buyer’s perspective.
- Certified Real Estate Brokerage Manager (CRB): This designation is for brokers who have completed additional education and training in brokerage management. It indicates a higher level of expertise in running a real estate brokerage.
- Technology Certifications: In an era of advancing technology, some realtors obtain certifications related to real estate technology and online marketing, showcasing their proficiency in leveraging digital tools.
When selecting a real estate agent, it’s essential to consider a combination of these credentials along with the realtor’s communication skills and overall personality. In addition, always verify the agent’s license.
Buying a House in Colorado Springs – What Questions Should I Ask Before Hiring a Realtor?
You’ll need to interview several realtors before hiring one to help you buy a home in Colorado Springs. Come up with a list of questions to gauge agents’ experience, track record, communication skills, and personality.
By asking these questions, you can gain valuable insights into a realtor’s approach and suitability to your specific needs.
- How many years of experience do you have as a real estate agent? Have you worked extensively in this local market?
- What types of properties do you specialize in?
- Do you hold any specific certifications or designations? Are you a member of the National Association of Realtors (NAR)?
- Can you provide references from past clients?
- How do you stay informed about market trends and changes? What is your understanding of the current local real estate market?
- How do you prefer to communicate with clients? How often can I expect updates from you during the homebuying process?
- How do you prioritize the needs and satisfaction of your clients? Do you have a team or assistant to support you?
- How do you approach negotiations to ensure the best outcome for your clients? Can you provide examples of successful negotiations you’ve handled for buyers?
- What strategies do you employ to help buyers find the right property? What online tools or platforms do you use to assist buyers?
- What is your commission structure? Are there any additional fees or costs associated with your services?
- Can you explain the home-buying process and the contracts involved?
- Do you work with a network of professionals, such as inspectors, mortgage brokers, and attorneys?
- How do you handle issues that may arise during the homebuying process? Can you share a specific example of a challenging transaction and how you resolved it for a client?
What Else Should I Consider Before Buying?
What City and Neighborhood Do I Want to Live in?
Bent Tree is a small neighborhood of luxury homes outside of Monument, Colorado. While the area has a high cost of living, it also has high-quality schools, low crime rates, and a growing job market. There are also plenty of parks, green spaces, restaurants, and local attractions.
Black Forest is a great place to live because of its proximity to the outdoors, emphasis on nature, strong sense of community, and convenient access to Colorado Springs and Denver. Black Forest homes for sale sell for an average of $1,375,000.
Castle Rock is a rapidly growing town located in north-central Colorado, near Denver. It has experienced significant population growth in recent years. The town is attracting both families and individuals looking for suburban living within 30 minutes of Denver.
Colorado Springs is the largest city by area in Colorado. It’s known for its stunning natural surroundings, including the majestic Rocky Mountains and the iconic Pikes Peak. The city also has a diverse economy, with a strong presence in the aerospace and defense industries.
Cripple Creek is a historic gold mining town located in the Rocky Mountains. Today, Cripple Creek is a popular tourist destination, offering visitors a glimpse into its past with attractions such as the Cripple Creek Heritage Center and Mollie Kathleen Gold Mine.
Divide is a small town in Teller County, about 24 miles northwest of Colorado Springs. While Divide is a relatively small and rural community, it has a close-knit and friendly atmosphere that attracts those seeking a quieter and more relaxed way of life in the mountains.
Florissant is a small town in Teller County in central Colorado. One of the most notable features of Florissant is the Florissant Fossil Beds National Monument, which is a protected area preserving a unique collection of fossilized plants and insects.
Flying Horse is a luxury community in the Northgate area of Colorado Springs. It has a population of just under 3,300 people, and homes range in price from $600,000 up through the millions. The community also has two championship golf courses, a steakhouse, and a spa.
Fountain is a small suburban town with 30,000 residents. It’s 14 miles away from Colorado Springs, making it easy to access the city’s attractions. The town has many opportunities for outdoor activities and a relaxed small-town environment.
Situated in El Paso County between Denver and Colorado Springs, Kings Deer sits nicely on top of the Palmer Divide at an elevation of 7,400 feet. Residents and visitors alike can enjoy breathtaking views of the Rocky Mountains rising from the Plains nearby.
Larkspur is a town in Douglas County. It offers residents a unique blend of natural beauty, a small-town atmosphere, and easy access to the urban amenities of nearby cities like Denver and Colorado Springs due to its convenient location along Interstate 25.
Meridian Ranch is a master-planned community located in the northeast corner of Colorado Springs. It boasts 24 miles of trails complete with a variety of parks and activities. Antler Creek Golf Course also runs through parts of the community and offers a private steakhouse and grill.
Monument is a town situated in El Paso County close to the Rocky Mountains. Known for its small-town charm and natural beauty, Monument offers residents a tranquil living environment while being conveniently located near larger cities like Colorado Springs and Denver.
Mountain Shadows is another community located near Colorado Springs. It’s a great place to call home for individuals who love the outdoors and want to live near iconic sites like the Garden of the Gods and the Rocky Mountains.
Northgate is a suburban community within Colorado Springs. It is located close to the U.S. Air Force Academy and is primarily made up of new construction homes. The median home price in the neighborhood is $909,099.
Northgate Estates is a new construction housing development in northern Colorado Springs. Homes are built by Challenger Homes and range in price from $250,000 on the low end to over $550,000. Amenities include walking trails, large parks, and golf courses.
Palmer Lake is a suburban and rural town northwest of Monument. It has a population of a little over 2,500 residents. Surrounded by rolling hills and Ponderosa pines, the town is centered around Palmer Lake, where it gets its name from.
Peregrine is a residential neighborhood in the northwest corner of Colorado Springs. The average size of homes is 4,549 square feet, and most homes were built in 1999. The average price of homes in the neighborhood is $894,286.
Peyton is an unincorporated community northeast of Colorado Springs. It has a population of a little over 200 residents and an area of a little under 2,300 square miles. With its wide-open spaces and welcoming atmosphere, Peyton captures the essence of rural living.
Pueblo West, located in Pueblo County, is a rural community with a population of a little over 33,000 residents. It offers a balance between a rural lifestyle and modern amenities, making it an attractive choice for those seeking a quieter living environment.
Rockrimmon is a suburban neighborhood in Colorado Springs. It’s located eight miles north of Downtown Colorado Springs and features a mix of single-family homes and apartments. Residents enjoy a blend of suburban comfort and outdoor adventure.
Springs Ranch is a neighborhood east of Colorado Springs. It’s located near the Springs Ranch Golf Course and has great views of Pikes Peak. Homes in the neighborhood are single-family homes with an average price of $445,931.
Stetson Hills is a community located in the northeastern part of Colorado Springs, known for its family-friendly atmosphere and convenient amenities. This residential neighborhood features a mix of homes, including single-family houses and townhomes.
Tall Pines Ranch
Tall Pines Ranch is a community of luxury homes east of Monument, off Highway 105. Homes range in price from $800,000 to over $2,000,000. The community also offers access to excellent public schools within the Lewis-Palmer School District.
Trail Ridge is a community of single-family homes in Colorado Springs, located in Northgate near Voyager Boulevard. Residents of Trail Ridge enjoy convenient access to all the restaurants, grocery stores, and shopping outlets of the Northgate area.
Woodland Park is a rural mountain town with a population of a little under 8,000 residents. Situated just a short drive from Colorado Springs, Woodland Park is known as the “City Above the Clouds.” The town has a higher elevation than other areas around Colorado Springs.
Woodmoor is a community located near Monument and Palmer Lake. Known for its blend of nature and residential spaces, Woodmoor is a predominantly rural environment, with a population of a little under 9,000 residents.
What are the Downsides of the Area I Choose?
Before moving to a new place, home buyers should be aware of potential downsides or challenges associated with the area. Every location will have its own set of drawbacks, and it’s likely that nowhere will meet all of your criteria.
Before you start house-hunting, make a list of everything that you consider to be a downside of living in a particular area. Separate the things you’re willing to compromise on from the ones you aren’t. Some downsides of any given area include high crime rates, limited job opportunities, poor school districts, high traffic levels, and susceptibility to natural disasters.
Are There Future Development Plans and Infrastructure?
Yes, Colorado Springs and the surrounding area have several future development and infrastructure plans. This includes:
- The construction of 600 brand-new homes and a luxury hotel in Flying Horse
- A multifamily development in downtown Colorado Springs
- New homes and commercial developments in Northgate
- New homes in Black Forest
- Several retail developments throughout the city
What Types of Properties Should I Consider?
Luxury homes in Colorado Springs are a popular option for many home buyers. Upscale residences in the city and the surrounding towns offer unparalleled views of the Rocky Mountains and come with large acreage, high-quality craftsmanship, and modern amenities.
The Colorado Springs metropolitan area is experiencing a high amount of growth, leading to the construction of many new housing developments. These brand-new homes come with top-quality building materials, amenities, and large floor plans.
Homes with Pools
If you’re looking for homes with pools, you can find many options in and around Colorado Springs. An experienced realtor can find the best options and help you focus your search on homes that fit your exact criteria.
Homes with Land
Many suburbs outside of Colorado Springs offer homes with substantial acreage. Usually located in more rural areas, these homes include new construction and luxury properties. Let your realtor know what area you’re interested in and how big of a lot size you want.
Condos and Townhouses
There are many condos, townhouses, and apartments in the Colorado Springs metropolitan area. If you prefer living close to the urban amenities of the city, then one of these residences might be the perfect place for you to call home.
When Should I Start Viewing Homes?
The best time to start viewing homes depends on several factors. But generally, it’s recommended to view homes after you’ve obtained prequalification or preapproval for a mortgage. This way, you’ll have an established budget to work with.
It’s also important to define your home preferences and which neighborhoods you’re interested in before you start the process of buying a house in Colorado Springs. This will help you narrow down your options.
With a defined budget and preferences, begin actively searching for homes and scheduling viewings with your realtor’s assistance. As you view homes, offer feedback to your realtor to refine your search, adjusting criteria if needed.
In addition, continuous monitoring of the market for new listings is crucial– ask your realtor to keep you updated on the latest listings as they hit the market.
Buying a House in Colorado Springs – Who is the Top Realtor in Colorado Springs?
If you’re looking for the best realtor in Colorado Springs, look no further than Barb Schlinker and our team at Your Home Sold Guaranteed Realty - Barb Has the Buyers Team. We’ve been in the real estate business for a little over 27 years, which means we’ve helped thousands of home buyers find their dream homes.
We’ve developed a reputation among our clients for high-quality customer service, attention to detail, and a stress-free experience thanks to our VIP Buyer Program.
With this program, you get curated property hotlists, free home-buying resources, and our unique Buyer Satisfaction Guarantee.
More Questions Home Sellers Ask
Is it hard to buy a house in Colorado Springs?
In recent months, Colorado Springs was considered a buyer’s market, which means buyers are more likely to find a higher inventory of homes and can expect to pay lower prices.
How much is a downpayment on a house?
A down payment on a house varies depending on your financial situation. Typically, it’s better to pay a higher down payment because you’ll end up paying less in the long run. This could mean paying as high as 20%. However, some down payment assistance options allow for a much lower down payment– even zero down.
Is it worth buying a house in Colorado Springs?
Whether or not it’s worth buying a house in Colorado Springs depends on your personal preferences and how much the area suits your lifestyle. But in recent years, the city has experienced a high level of growth as new residents move to the area. This makes it an attractive place to live for many home buyers.
Is it cheaper to rent or buy in Colorado Springs?
Whether or not it’s cheaper to rent or if buying a house in Colorado Springs is better depends on your financial situation. Overall, it’s usually cheaper buying a home because you build equity over time. However, it might be advisable to rent first and put off entering the market until you have stronger finances. Consult with a financial professional about what the right move is for you.
What is the best time of year to buy a house?
Usually, the best time of year for buying a house in Colorado Springs is during the spring and summer months because there will be more inventory available. However, keep in mind that there will also be a higher level of competition from other home buyers.
Are house prices in Colorado Springs dropping?
In recent months, the median house price in Colorado Springs was $434,000. This represents a 1.3% decrease from the same point last year.
Is 2024 a good year to buy a house?
Whether or not it’s a good idea to buy a house in Colorado Springs in 2024 will vary depending on location. But generally, mortgage interest rates are expected to stay high across the country into 2024, which could make it more expensive to purchase a house. Consult with a real estate or mortgage lending professional about the market in the area you’re interested in.