Uncategorized January 7, 2022

The Fire’s Impact

Our heart goes out to all of the people impacted by the Marshall Fire in Boulder County.

If you would like to give your support, we have set up a special fund through the Windermere Foundation where we will match any donation you make up to $5000.

You can make that donation HERE.

This devastating event will have significant impacts on the real estate market both short term and medium term.

There are some interesting things to consider related to the fire:

  1. This will be the costliest wildfire in Colorado history, by far.  The total losses will probably approach $800 million.  The most expensive wildfire up until now was last year’s East Troublesome fire at just over $500 million.
  2. It’s likely that the vast majority of the residential property owners who lost their homes were underinsured.   Given the recent rise in both property values and construction costs, these homeowners may find that their insurance won’t cover their actual loss.  We encourage everyone to check in on their own property insurance versus actual replacement costs.
  3. Nearly 1000 households are now in need of housing.  Today there are only 161 residential properties for sale in Boulder County.  In addition, the rental market also has low supply.  We expect that many of the people impacted will consider housing alternatives outside of Boulder County simply out of necessity.
  4. The homebuilding industry is currently challenged with both labor and material shortages.  It may take long time to replace the properties that were destroyed by the fire.

Again, we are so sad for the people who were impacted.  We are also encouraged to see all the different ways that our community has stepped up to help.

We are all committed to help these people get back on their feet and replace what they lost.