Denver Housing Market Report February 2022: What's Going On With Denver Real Estate Market Today?
The February 2022 Denver Metro real estate market report is OUT!
It is important to understand what is happening currently in the Denver Metro housing market and as well as why it is happening especially if you are thinking of buying a home in Colorado or selling a home in Colorado. Understanding the Denver real estate market statistics is crucial especially now January 2022 was yet again another record-breaking month. Understanding the real estate market reports is a great start to observe the changes that happened, unfold challenges, and discover opportunities that both buyers and sellers can benefit from in today's Denver Metro real estate market. My Colorado Move is here to dive deep into these numbers with you.
Denver Metro Housing Market Report
The February 2022 Denver Metro housing market report showed that the real estate market went down by 17.77% in new listings compared to the previous year and a 31.04% increase from the previous month (it's usually low because of the holiday season). Traditionally from December to January, there usually is a 70% increase in new listings during this time but that's not the case this time. The Denver real estate market still continues to show a continuous decrease in month-end active inventory since October. Another important thing to take note of is the month-end active inventory in January 2022. It showed a historic low with only 1,184 active listings at month's end in the Denver Metro area. To give you a better picture, the number of reported month-end active listings is 10 times less than normal. We can agree that there was little inventory for January 2021 too however, January 2022 is nearly half as much as 48.88% less compared to January 2021.
What happens when the number of new listings and month-end active listings in the Denver Metro area is this low? There will be fewer homes that will be bought and sold because there are fewer homes for sale in the Denver Metro area to choose from. It will also result in the continuation of the strong seller's market and extreme bidding wars of buyers looking to buy a home in the Denver Metro area. Not only that, but because of the low inventory and high competition, the recent prediction was that it will also result in the continuous skyrocketing of home prices in the next three months. This challenging market will lead to the frustration of the buyers however, there are still ways to win with the help of the implementation of a new strategy.
What is the strategy? For buyers looking to buy a home, one must do one's due diligence as well as work with an experienced real estate agent in Denver that has a proven track record to understand what your comfort level is when it comes to your budget and what the buyer has been originally approved for. Buyers can also create a list of their 'must-haves' and 'deal-breakers' to further help buyers decide best on the home they're planning to buy. If you are a seller looking to sell a home in Denver right now, it's is definitely the perfect time to do so as you can expect it to sell quickly and to receive multiple offers - there is a huge possibility of selling your home for top dollar with the right condition and with the help of a real estate agent in Denver that has a strong marketing strategy and negotiation skills.
In the February 2022 Denver housing market report, there were only 788 single-family detached active homes at month-end in the market which showed an 18.60% decrease compared to the previous month and a whopping 37.61% decrease compared to last year. There were also 2,378 new homes listed on the market at month-end which showed a 33.67% increase compared to the previous month but showed a 14.46 decrease compared to the previous year. There were 1,889 single-family detached homes were sold in January 2022 which showed a 43.43% decrease compared to the previous month because of the low inventory and also a 10.73% decrease compared to the previous year. The sale of detached single-family homes for sale is becoming steady in terms of how many days it's on the market with still 19 days in the market.
In the attached market, attached single-family homes in Denver showed a 22.20% decrease in active homes at month-end at 396 attached homes compared to the previous month and a huge 62.39% decrease compared to the previous year. There were only 1,101 new listings that showed a 25.68% increase from the previous month and a 24.12% decrease compared to the previous year. There were 958 sold attached single-family homes in Denver also showed a 32.15% decrease from the previous month and a 13.85% decrease from the previous year. Days in the market for attached homes are slowing down with an average of 22 days of being live on the market compared to 17 days from the previous month.
Buying or Selling a Home in Colorado
If you are planning to sell your home in Colorado, now is the best time as there's a shortage of homes for sale in the market and you can expect multiple offers. On the other hand, if you are planning to buy a home in Colorado, this season is perfect for you too as there isn't a lot of competition. You deserve a real estate agent who has a proven strategy, is a strong negotiator and is backed with experience to help you be successful in today's challenging Denver real estate market.
Our goal is to help our clients understand how these changes impact them to be able to create a strategy to benefit from the current Denver housing market. It is still definitely a great time to sell and move up to buy in many Denver communities with today's real estate opportunities.
To download or see a copy of the full report, click here.