And the winner is … Durango! It’s not bragging, we’re merely restating the facts. Durango ended up at the top of several lists in 2011, and we’re proud of it.

Before we could celebrate our honor of “Top ‘Micropolitan’ Area in U.S.” by Policom, we did some research. A micropolitan area has an urbanized area of at least 10,000 population but less than 50,000 and at least one county. There are 576 Micropolitan Statistical Areas in the United States, and Durango ranks No. 1. The highest-ranked areas have had rapid, consistent growth in both size and quality for an extended period of time and an economy that positively impacted the standard of living.

In addition to these overall awards, numerous Durango-area and La Plata County restaurants, lodging and activities accumulated their fair share of awards.

Let’s recap several of our laurels in 2011.

“Think Small, Live Big.” Men’s Journal hit the April newsstand ranking the “Best Places to Live 2011,” and Durango found itself at the top of the list for the Best Place to Put Your Outdoor Life First. The article unveiled Durango’s secrets: awe-inspiring scenery, laid-back culture, strong conservation programs, great food and beer, thriving arts and the ultimate outdoor lifestyle.

Read the full article on the Durango Herald Website. Then contact us to begin building your home in the “Best Place to Live.”

Dreams do come true. In a chance meeting two college sweethearts reunite many years later. They retire together and pick Durango as a home base. They have design their dream home in Shenandoah. The views are spectacular. The home they have designed reflects their charm.  Tune in for more pictures to come.

Have a look at his Mountain style home with log features and heavy stone accents was designed for this lot overlooking Vallecito Lake.

Click here to view the Gallery.

Most gratifying! People’s Choice Award for our Mountain Contemporary entry in Shenandoah! It also won the Gold over-all categories! (And- Best Bath!!!)

Watch the video, and view the gallery.

Kogan Builders is proud to display a photo gallery of our latest Mountain Contemporary Home: “Wingspread.”

Click here to view the gallery.

A recently attended an annual real estate forecast presentation at Fort Lewis College on March 31, 2010.  While the presentation focuses on activity in La Plata County (Durango) and surrounding counties, it also compares the local market with other resort areas, the front range including Denver, feeder markets such as Phoenix, Albuquerque, Dallas and Houston as well as national statistics.   The trends and conclusions based on this annual study support recent comments and opinions presented by the Kansas City Federal Reserve Board and other economists presentations that I have attended.  The major conclusions, from my perspective, are as follows:

• The housing market, while foreclosures still exist, has reached its bottom in terms or average sales prices and transaction volume.
• Some markets may still experience some downward pressure during 2010 but the combination of reduced supply and increased demand will soon positively impact home prices.
• In the last 3 months in La Plata County, real estate transactions and sales dollars are up over the previous year.  This trend is also seen statewide and nationally.
• Single family homes in Durango have fared very well when compared to other markets with only a 8% decrease in home values from their peak in 2008.  The western US has experienced a 23% decline from their peaks while some markets like Phoenix or Miami have seen 40% and 35% respectively.  Of course these markets also had double digit appreciation.
• Air transportation (enplanements) in/out of Durango have risen significantly over the past two years and La Plata County Airport has become the “Regional” airport in SW Colorado.   Tourism and Mercy Medical Center have also been unaffected and provide a level of service not seen in other communities of Durango’s size.
• Interest rates continue to be at 100 year lows and when combined with low housing prices or construction costs at or near the bottom, a good buying opportunity exists.
• The one dark cloud still persisting is the credit markets and appraisal process.  However, Kogan Builder’s banking relationships can be of help in this area.

While the past year has not been pleasant for anyone, there is certainly a reason that Durango has fared better than most.  Our mountains, community and resources will continue to make Durango’s lifestyle appealing to many people.  Migration/population data indicate La Plata county’s growth over the next 5 years at 7,200 people.  

Overall, the housing market is recovering, interest rates have only one direction to go, inventories are beginning to shrink and upward price pressure on new construction and existing homes is around the corner.   We have already seen a 33% increase in lumber costs in the 1^st two months of 2010.  While we do not have a crystal ball, the cost of waiting could be quite high for those considering new home construction or the purchase of an existing home.  As always we are here to answer any questions you may have about the area and our company.

Scott Smith

CFO of Kogan Builders, Inc.

Here is a link to an interview that Custom Home Online did with renowned architect and author Sarah Susanka, advocate of the “Not so big house”.   In this interview she discusses some of the “Not so big” principles as well as some sustainable design concepts.

As a follow up to Alix’s post I thought it would be helpful to post a graph that covers historical lumber pricing from 2006 through 2009 as well as illustrates the current pricing through January 2010.   As you can see and as the Builder Online article indicated the 25% price increase puts lumber cost at the same level it was in the middle of 2008.

Lumber on the rise graph

If you are thinking of building now is the time to do it.   Most industry experts are prediciting price increases this year.  Here is an interesting article from Builder Online that is confirmation of rising lumber prices.  Statistical information in this article is provided by Random Lengths, an authority on the Forest Products Industry.

I read an interesting article written by the Wall Street Journal providing some great information on solar hot water systems. The article highlights installation, function, cost, return on investment as well as possible tax credits.

If solar hot water or other green technologies like this interest you but you are unsure of their costs and how they may be installed on your current or new home please call us, we are happy to discuss all of your options in addition to all of the applicable tax credits in the Four Corners area.

Click here for the full article.