Buying Real Estate in Pagosa Springs, Colorado
Buying Real Estate in Pagosa Springs
If this is not an historic best time to buy a home, vacant land, or a ranch in Pagosa Springs, it’s close. With extraordinarily low mortgage rates, the slump in real estate values, and the large amount of inventory in Pagosa Springs and Archuleta County, it’s a great time to be shopping for real estate.
A fine place to start is by simply following this link to our Pagosa Springs Real Estate map search system. You can use the sliders on the left to set your search criteria (don’t forget to check the box for the type of real estate you are looking for). Another, really neat function of the map search is to zoom the map to an area you are interested in, then check the box on the upper right of the map to limit your search to just the area now showing on the map. This way you can focus on a particular neighborhood or area and see just what’s available there.
If you are not familiar with the Pagosa Springs area and want more information on our neighborhoods, subdivisions or the outlying areas in Archuleta County, jump to our Pagosa Springs Neighborhoods page. You’ll get a fairly comprehensive description of the various areas throughout the county, from Pagosa Lakes neighborhoods, to Aspen Springs, to the stunning real estate and ranches south and east of town. You’ll see pictures and there will be links to things such as property owners association documents (where they apply), and maps.
The rest of this page will discuss issue of particular interest to someone considering buying a home or land in Pagosa Springs, and will deal with some of the unique real estate issues we have here in Southwest Colorado.
Current Market Statistics (as of January 2012)
In a nutshell, for 2011, sales are up from 2010 and prices are down. The number of homes sold in 2011 increased by 37% over the prior year while the total amount spent on those homes increased only 29%. There were decreases in both the average and median sale price of a home in the Pagosa Springs area. Land sales by unit are up a mere 3% over 2010 while the total amount spent on that land is up about 6%. However, unlike home sales both the average and median sale price of a parcel of land is up.
While it’s hard to judge right now what 2012 will bring, clearly buyers are getting off the fence and being encouraged by sellers who have slashed prices. Homes are being sold at rock bottom prices and so land sales are slow (why build when you can buy a home ready to go at a steep discount over the price it would cost to build?). I do think it’s interesting that land is starting to come up in price. I know, from the folks who Lisa and I have sold land parcels to, that buyers are staring to speculate a bit. Archuleta County has finally acknowledged the decline in value of land parcels and taxes are down. Add to that the many sellers who have cut the asking prices of their parcels, and we’re seeing folks starting to buy and hold.
Total residential sales in Archuleta County in 2011: 353
Average Sold Price: $248,266
Median Sold Price: $170,000
Average Price per Square Foot: $111
Median Price per Square Foot: $103
Average Days on Market: 223
Median Days on Market: 141
As of this writing, there are 371 Residential listings for sale in Archuleta County.
Total land sales in Archuleta County in 2011: 123
Average Sold Price: $84,490
Median Sold Price: $37,500
Average Price per Acre: $49,086
Median Price per Acre: $26,000
Average Days on Market: 374
Median Days on Market: 256
As of this writing, there are 827 parcels of land for sale in Archuleta County.
Please keep in mind you can't even begin to understand the Pagosa Springs Real Estate market for homes and especially for land by looking at the average or mean numbers. Far too much variance by neighborhood and style of home, for one thing. When it comes to land those averages are skewed by the fact that some of our land is sold in quarter acre parcels and some is sold in parcels of 35 acres and above.
I’m simply giving the thumbnail here and I’d encourage you to let us give you some deeper numbers based on area, type of home, or size of parcel. If you'd like tighter numbers or more information sent directly to you, call or email us. We'd be happy to discuss the current market in more depth with you.
Building in Pagosa Springs
Now is a great time to be contemplating buying mountain property here in Pagosa and building your dream home. As noted above, there are many vacant land parcels available at great prices. However, it’s important to understand that Pagosa Springs and Archuleta County have been actively developing new land use and building codes and what worked 10 or 20 years ago may not work now. It’s important that you know and understand what you can do in the various areas in and around Pagosa Springs.
The following links will give you a good idea of the building codes and regulations for the town and the county.
If you are planning to purchase real estate and build within the town of Pagosa Springs go here: Building in the Town of Pagosa Springs
If you want more general information on land use in Archuleta County, go here: Archuleta County Land Use Code
For a fairly informative site regarding building, you can follow this link to the Builder’s Association of Pagosa Springs: Pagosa Builders Assoc.
The issue of water is an important one here in Pagosa Springs and the Southwest in general. When building in Pagosa Springs, when it comes to water you have three basic choices. You can buy land within the Pagosa Area Water and Sewer District (PAWSD), in which case you will tap into the existing, “municipal” piped water system. You can also often buy land in a subdivision not within PAWSD that furnishes water to its owners piped from a common source, either surface or well (or both), generally through a property owner’s Association. Alpine Lakes would be a good example of that type of situation. Finally, of course, you can buy land that has no common water source and requires you to drill a well or install a cistern.
There are arguments pro and con for each of these choices and they’re beyond the scope of this website for the moment. However, if you want information on water resources in the Pagosa Area, let me give you a couple of important links.
Here is a link the Pagosa Area Water and Sewer District: PAWSD
Here is a link to the Colorado Division of Water Resources, the Colorado Agency that regulates water in Pagosa Springs and Archuleta County (and, of course, all of Colorado): Colorado Division of Water Resources.
Utility Information
Coming Soon
Service Providers
Coming Soon
Know Your Credit
Unless you are a cash buyer, your credit is crucial. Have you reviewed your credit report and do you know your credit score? If not, and you’re thinking of purchasing real estate in Pagosa Springs or anywhere else, it would be to your benefit to do so.
A great credit score can help you quickly obtain a loan with a prime interest rate. With a mediocre credit score you can generally get a loan, but you’ll not get the prime interest rates. A bad credit score will keep you from getting a loan.
An excellent source of credit information is AnnualCreditReport.com. This site is sponsored by the three major consumer credit agencies, Equifax, Experian and TransUnion. The site is low on hustle and a pretty solid source of information and I strongly recommend you start by reading their "About Us" page. You are entitled to one copy of your credit report per year from each credit agency. You’ll be charged for an actual credit score (last I checked $7.95). The score is the metric that is a major factor in a lender’s evaluation of your credit. The report is the actual history of your credit and arguably more important to you if you want to make sure everything is accurate.
Many credit experts suggest you pull a credit report once a year and check it for accuracy. With three agencies, that means you can pull your report from a different agency every 4 months, cycling back to the original agency each year and thus constantly track your credit without paying for a report. Then, if you find an error you can begin working to correct it quickly.
A couple of other good websites for information on your credit are:
Mortgage Calculator
Got your eye on a home or piece of property and thinking of shopping for a mortgage? Use our mortgage calculator here to get an idea of what you will spend. Knowing what you can afford will make your buying process focused and realistic. Follow this link to a simple Mortgage Calculator
More important than playing with a mortgage calculator is speaking with a lender. If you are serious about purchasing real estate of any type and are not a cash buyer, a good frank discussion with a lender is crucial. Once you know what your lender can do for you, you can get a pre-approval letter that lets a seller know that you are able to get a loan. Even in a strong buyer’s market such as the one we have now in Pagosa Springs, a pre-approval letter is an important element in an offer to purchase real estate. It lets the seller know you are serious and strengthens your hand as you negotiate a price. In fact, if you are going to target a bank owned property (foreclosure or REO), often your offer will not even be considered without a letter of pre-approval from a lender.
