A historically highly attractive place to live, Colorado faces an “inflection point,” in which warning signs have emerged, notably in the area of housing, according to a new report from a Denver-based think tank.

Those warning signs show that Colorado has lost some of its competitive edge to other states, and lawmakers’ actions over the next few years are critical, the Common Sense Institute said in its latest “Free Enterprise Report.”

As it has in the past, the group argued that Colorado can maintain a strong economy and provide its residents with opportunity if the state embraces free enterprise principles, arguing that approach has, over time, proven to be “most effective for creating economic prosperity.”

“We are still great place to live and work,” Lang Sias, a former legislator and one of the report’s authors, told The Denver Gazette in an interview. “But there are some cracks beginning to appear.”

Here are some of the group’s findings:

• Colorado’s housing competitiveness fell to No. 51 among all states and Washington, D.C. “It now takes 96 hours of work at the median wage to afford the mortgage on the median priced home,” the report said, noting that represents a 118% increase from the 44 hours required in 2011.

• Colorado ranks No. 20 in education competitiveness after slipping seven places since 2011.

• Colorado’s higher residential and commercial natural gas prices stood out, while the competitiveness in the reliability of its electricity grid also declined. The report noted that reducing carbon emissions has largely directed the state’s energy policy.

• Colorado’s crime ranking fell to No. 37 from No. 22. The slip in the rankings means that Colorado’s crime situation, as measured by factors cited by the group, has worsened as compared to other states

Sias said that policymakers should fully explore the “direct and indirect costs” of proposed rules and legislation and consider their aggregate effect on Colorado’s competitive index.

“When we legislate, we don’t exist in a vacuum,” he said.

Steven Byers, a senior economist with the group, said policies directly affect Coloradans in ways lawmakers don’t always anticipate.

After the Marshall fire, he noted, some residents who lost their homes struggled to afford rebuilding.

“They had to ask for waivers to not meet new onerous energy efficiency requirements,” Byers said. “You really need to pay attention at the intended consequences of policies.”