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What the Denver and surrounding area looks like

By
Real Estate Broker/Owner with Hamm Homes
Temperatures are heating up across the state, but the real estate market is looking slightly cooler. With mortgage rates continuing to float around 7%, it appears that the majority of buyers have really had enough, as listings are sitting on the market longer, and de-listings as well as price reductions are more common. One could even make the argument that we’re finally seeing a real shift toward a buyer’s market rather than a seller’s market, the latter being the norm in Colorado for quite some time.
 
The current state of our real estate market is interesting to say the least. For years now, we’ve grown accustomed to a high level of buyer demand. One key metric that helps to illustrate that trend is ‘months supply of inventory’, or how many months it would take to sell all of the current housing inventory at the current market pace. Through the course of 2020 through 2022, that number stayed below two months in most areas, even falling to just 0.5 at times. But we’re starting to see a concrete shift in the opposite direction across the state. Let’s take a look at the May data:
 
  • Denver Metro: 2.7 months supply | +42.1% year-over-year
  • Boulder County: 3.3 months supply | +37.5% year-over-year
  • Colorado Springs: 2.1 months supply | +75% year-over-year
  • Northern Colorado: 2.6 months supply | +36% year-over-year
  • Buena Vista: 5.7 months supply | +11.8% year-over-year
  • Eagle County: 4 months supply | no change year-over-year, but it’s worth noting that much of the housing inventory in the mountains consists of vacation rentals and/or seasonal homes, unlike the Front Range.
 
By definition, a buyer’s market is typically characterized by over six months supply of inventory. Once the supply exceeds six months, there are more listings on the market than can be absorbed by the current demand. In that case, sellers have to compete more aggressively to sell their homes, leaving buyers with more of an advantage and negotiating power, hence the term buyer’s market.
 
Brian England
Ambrose Realty Management LLC - Gilbert, AZ
MBA, GRI, REALTOR® Real Estate in East Valley AZ

This is a good report to see what is going on in the Denver area, I know I can always count on Will Hamm 

Jun 12, 2024 06:17 AM
Roy Kelley
Retired - Gaithersburg, MD

Families on the move will appreciate your local real estate reports.

Jun 12, 2024 07:36 AM