The Denver Real Estate Market is going into new territory with data we haven’t seen since 1985! As you may know, we seem to be in a full Seller’s Market in most price ranges as inventory has continued to shrink. Two reasons for the inventory issue: First, many sellers are still waiting for prices to get to a point where they have enough equity to consider selling again and can afford to buy another home. Second, we have a unique time in the market where more homes went under contract in February than were newly listed! Thus, our single family home inventory went down again to approximately 5,500 homes. Incredibly low!
We should see an increase of new listings over the next 3-4 months, but if the trend continues Buyers will gobble those up as fast as they come on. We are seeing prices go up in some price ranges that were unimaginable a few months ago! If you’ve been thinking of putting your home on the market, now’s the perfect time. There are plenty of buyers now and you’ll avoid competition from other sellers.
Market Metrics: (See Graphs at end of the article)
By the numbers, the inventory of available homes for sale is 6,786 homes at February month end, 4,675 homes came onto the market, 5,033 homes were placed under contract, and 2,967 homes closed for a closed dollar volume of $820 Million. The spring home selling market started early this year with the lowest month end inventory recorded for February month end.
Monthly Market Recap:
Single Family: Condos:
Active Inventory is 5,541 homes at month end Active Inventory is 1,245 homes
Sold homes is 2,363 Sold homes is 604
Average Days on Market is 81 Average Days on Market is 73
Median Sold Price is $255,000 Median Sold Price is $143,750
Average Sold Price is $302,475 Average Sold Price is $175,351
February Year-to-Date Market Recap (2013 versus 2012):
Single Family: Condos:
Active Inventory 5,541 versus 8,082 (↓31%) Active Inventory 1,245 versus 2,004 (↓38%)
Sold Units 4,706 versus 3,971 (↑19%) Sold Units 1,214 versus 994 (↑22%)
Median Price $252,500 vs $219,900 (↑15%) Median Price $141,750 vs $118,000 (↑20%)
Average Price $302,152 vs $271,577 (↑11%) Average Price $173,049 vs $154,137(↑12%)
Sales Volume $1.4B versus $1.1B (↑32%) Sales Volume $210M versus $143M (↑37%)
Days on Market 81 versus 105 (↓23%) Days on Market 72 versus 104 (↓31%)
February Market Facts:
At February month end, the inventory of homes available on the market @ 6,786 homes reached another new low since January 1985. With this in mind, the Month’s Supply of Inventory is 1.75 months for Single Family and 1.60 months for Condos. Month’s Supply of Inventory is calculated by taking the last twelve months homes sold numbers and calculating an average. This number is then divided into the month end inventory to produce the Month’s Supply of Inventory.
Real estate is local. While the above is a representation of the Denver market as a whole, please contact me to better understand your specific real estate market.
Advice to Sellers:
The Denver market is in the midst of the spring home selling market and overall, Denver is experiencing a seller’s market.
Looking to sell your home now? What do you need to know? Well, let’s begin with the basics.
Below are some questions that you need to ask yourself:
What is my home worth?
How does my home compare to the competition?
Do I have enough equity in my home to sell it today?
Is now the right time to sell my home?
What are Buyers looking for?
What does first impression mean?
What do I need to do to make my home marketable?
Should I invest in remodeling?
Will my home sell?
If my home sells, what are my next steps?
Buyer demand continues very strong and the inventory of homes available for sale is at an all time low for this time of year. While this can be portrayed as a “seller’s market”, each and every home is unique which suggests professional assistance in selling the home.
Real Estate is local, contact me to discuss the options available to you.
Advice to Buyers:
Be an informed buyer. Know what you need versus what you want. Get pre-qualified for your loan so you can act quickly when you find the right home. Be prepared to compete with other buyers. We can counsel you on the best strategies in preparing your offer. In this sellers’ market, there can be stiff competition for homes that show well and are well priced, which suggests professional assistance in buying a home.
Talk to me today about your Lifestyle preferences, the benefits of home ownership, homes available for sale, buying a home in 2013, and home affordability.
Take advantage of home affordability this fall. Let the professionals at the Bandy Team help you buy or sell your Denver home. If you’re thinking about buying a home in Denver, we can show you some terrific homes in Stapleton, properties in Cherry Creek or the charm of real estate in Lowry
Until Next Time,
The Bandy Team
RE/MAX Professionals- Denver, CO
"From Our Heart to Your Home"