Wednesday, August 15, 2012

Why is Colorado so 'awesome'?

Here in Colorado, vacancies are low and rents are increasing. Meanwhile, foreclosures are falling and home prices are increasing.

One of the major factors behind Colorado's in-demand real estate is its continued household formation. Even in spite of very modest job growth, people continue to move to Colorado and recent surveys of new college grads have shown that Colorado (specifically Denver) is in the top five of locations to which new grads would like to re-locate.

While it isn't exactly scientific, recent research done by tech blogger Renee DiResta also provides a few insights into how people view Colorado. DiResta compiled data on Google web searches of the 50 states using Google autocomplete to find out which terms are most searched in relation to each state.

Returned results for states include associated terms like "boring" "cold" "windy" "liberal" "racist" "expensive" and so on.

The terms associated with searches for Colorado?

Cold.
Healthy.
Skinny.
Awesome.

Indeed, only four states were "awesome": Minnesota, Colorado, Texas and Vermont. 

Most terms returned for all states were negative, although healthy, skinny, and awesome are all (arguably) positive terms while cold is probably negative in the minds of many (but not all).


Nevertheless, Google autocomplete helps gives us a little bit of an increased understanding in how people from around the nation view Colorado and many probably like what they see. This in turn translates into more household formation and in-migration, which in turn leads to higher rents and more home sales.