Holyoke does not meet house demand

From smaller towns to large cities, the housing market this year has risen in price everywhere. Because of this, it has been difficult for many people to find affordable housing.

With prices high, the market has become even more competitive with houses being put on the market and taken off within a matter of days.

Holyoke’s market is not much different. The main problem within the local market that not all places are facing is low supply.

Limited supply does not meet demand

Since the market is cyclical, realtors can receive an influx of houses if many people move out. The problem is that these houses have sold quickly, which makes it hard for the demand to be met.

This year the houses that have been on the market in town have mostly all been sold, but not many have been rentals.

Julie Wiebke, realtor broker for Lighthouse Real Estate, said that it always has been difficult to find rental housing in town.

“I’ve been doing this since 2003, and there are never rentals. It’s an ongoing issue. We always try to give them a few phone numbers to call of people that own rentals, but that’s always been an issue here,” she said.

Many people want to rent instead of buying if they are moving for a job opportunity. This is for many reasons such as not feeling ready, wanting to see how they feel about the town first before deciding to settle and more.

This is not possible for many people coming to town for a job. Because of this, businesses have lost out on gaining new employees who could be great assets to the community.

Cathy Harshbarger, CEO of Melissa Memorial Hospital, said they have lost many people looking for work due to limited housing.

“We don’t have problems with people not liking our neighborhoods. They like the fact that it’s low crime. They like the fact that it’s living in more of a community, family, closer type of situation. But the housing is absolutely the sticking point and to be able to afford the housing,” Harshbarger said about trying to employ more people at MMH.

Something that MMH has done for their employees who travel is a duplex next to the helicopter pad where their employees can stay for however long they are working.

The duplexes, however, only have enough space to house the employee and not their significant other, or children, if they have any. Furthermore, the duplexes can only house so many employees at a time, which also makes it a limited supply.

Even so, the duplexes are the start of looking at affordable housing for new and existing employees who are wanting to rent in town instead of buy.

Building houses is hard to do with rising prices

Building these duplexes is not easy. They take time, planning, available land and materials.

Materials have become more expensive due to COVID-19 and travel restrictions. Because of this, it has been difficult to build houses and make a profit selling them.

Wiebke said that since factories are backed up with orders due to being closed through the pandemic, as soon as they are caught up with the demand, prices should go back to normal which will allow for more affordable housing to be done for both renting and owning.

Tom Bennett, president of the Holyoke branch of First Pioneer National Bank, said that building houses in town is more difficult than in other cities.

“Our challenge out here is you probably don’t have the capacity with builders to build. You know we can’t sell 100 houses. You’re going to sell a handful of houses. And so, that part has been a challenge,” he said about the difference in housing markets just in Colorado.

Other places building new houses have available land to develop, which is something that Holyoke is limited in.

Many smaller communities in different states have seen their cities have too much demand for building and selling houses which they cannot supply as well.

Because of this, the Federal Reserve dropped interest rates for housing during the pandemic to help stimulate economic growth. While this has been helpful for many people, the lowered interest rates have increased prices in the housing market since people who are selling want to make a profit. This has made the housing market unaffordable for many households because they cannot pay the higher prices.

Olga Sullivan, owner and broker for Sully Team Realty, said having more buyers than sellers in town has made the market difficult.

“So I think our minimum base is jumping up and the more higher-approved buyers we have, the fewer houses and the fewer sales, which makes our market a little uncertain,” she said.

Bennett said that housing prices will stabilize or stabilize higher if interest rates stay where they are.

Maddie Eurich, assistant vice president at Bank of Colorado, said that she sees the housing prices staying consistent with how they have been.

“I mean, if anything is going to affect the price, it’s not going to be interest rates. It’s going to be the supply and demand, especially out here,” she said.

Holyoke committees find ways for affordable housing

With housing being an issue in Holyoke, many committees have been researching ways to create more affordable housing.

Trisha Herman, executive director of the Phillips County Economic Development Corp., said she is working with the housing committee to find incentives like the duplexes to bring and keep more people in town.

“Holyoke, on the other hand, the incentive policy is still just business. And I am working currently with our housing committee to update it, so we can ask the city council if they would approve it, so it would allow some incentives for real estate, flippers and those wanting to build,” she said about the current incentives.

A housing assessment done in January 2020 by Hanna: Keelan Associates, P.C. discusses implementing a five-year housing action plan.

The plan would include meeting the housing needs and demands for local workforce, owner and rental housing for all income ranges and ages, and owner and rental housing rehabilitation activities for existing and substandard or dilapidated housing.

The plan also looks at both temporary and permanent emergency housing for special needs populations, general housing redevelopment, rehabilitation and preservation, and exploring the implementation of alternative housing development options, including tiny and small houses.

Since the pandemic started that same year, not much has been done with the five-year plan. Now that things are starting to go back to normal, the housing committee is refocusing on the plan to see what places still need improvement to meet demand.

There are other parts of the assessment that need to be done first such as establishing and defining a countywide housing partnership with a mission statement, recruiting local persons and organizations that meet the mission statement, and selecting and prioritizing housing programs of both new construction and housing preservation for the action plan.

The estimated housing unit target demand for Holyoke is 26 owner and 22 rental housing with downtown housing potential. The majority of the housing target demand is in Holyoke, with nine owner and eight rental housing for Haxtun, one owner and two rental housing for Paoli and 21 owner housing for the balance of the county.

For more information on the incentive policies, housing assessment and where to sell land, vist phillipscountyed.colorado.gov/ or contact Herman at 970-218-4037.

Other ways people can be ready to find affordable housing is to do research on their own.

To know if someone can afford these new housing prices, talk to a lender before searching for a home. Knowing their budget and being pre-approved for houses beforehand will make the process move a lot smoother in all areas of buying a house for both new and old buyers. Additionally, knowing the affordability can help find loans that make finding a rental or owning a house easier.

Shannon Schlachter, broker for Shay Realty, said with the housing market now, people should have a plan and know their budget for their housing ideas before they start to look.

“It’s not like HGTV where I show you three houses and I’m like, OK now pick. But it’s definitely not like you can take three weeks and think it over,” she said.

For people moving to Holyoke from out of town, it is advised to learn what is here, such as the businesses, day care and education options, available amenities and more.

“Drive around Holyoke. Get to know it,” Eurich said for people thinking about moving to town.

Sullivan said that after she helps people find an affordable house and closes the deal, her commitment to them doesn’t stop there.

“Don’t hold back. We will do everything we can to help you find a job, a house, a rental,” she said about moving to town.

Since Holyoke is adamant on the feeling of community, there are many people who are wanting others to know just how special this town is. Sullivan said the people she helps buy or rent housing are not just people to her. They are like her family.

With these incentives and pushes for affordable housing underway, hopefully Phillips County will begin to see new residents who can start to call this area home.