The Denver real estate market has experienced a slowdown in July and August. The sales were down 5% over last year's sales. The inventory has increased 9% both July & August over last year's inventory. The days on market have slowly been creeping up too from 19 days in June to 23 days in August. This may be the beginning of a slight shift in the market.
Being the end of the summer, we typically see a slowdown with potential buyers taking their vacations, as school has started and homeowners are less apt to move. The following data is courtesy of Joan Cox - Metro Brokers - House to Home, Inc.
Denver has seen an increase in active listings and this month we have 9% more listings than we did this time in 2017. The under contract listings saw a decrease over the month of July and sold properties saw a decrease from last month. With 23 days on market, this still indicates we are experiencing a strong Seller's market. (this includes land, attached properties, single family homes and up to the mega million dollar homes)
See what homes are currently available - Active Homes for sale in Denver
New Listings - 6,636 - up from 6,456 last month (in 2017 it was 6,423)
Under Contracts - 6,006 - up from 6,419 last month (in 2017 it was 6,584)
Sold Listings - 5,423 - up from 5,323 last month (in 2017 it was 5,725)
Days on Market - 23 days, down from 20 days last month (in 2017 it was 21 days)
Average Sold Prices - $472,236 - up from $478,323 last month (in 2017 it was $431,380)
Percent of Sold Price to List Price - 99.6%, down from 100.0% last month
Buyers - inventory increased this month, giving Buyers more inventory now (finally) to view before making a final decision. This time of year starts showing a bit of a slowdown, seeing less multiple offers on any given home. The price range between $300,000 and $500,000 has been the “sweet spot” and these homes are the ones garnering the most showings and offers.
Sellers - Pricing your home is very important, and not start too high, or you will be sitting on the listing for a while. If you don't have showings, you won't see an offer! If you are thinking of selling, but worried you won’t find a replacement home, I put into MLS the fact you require a contingency of a replacement home.
Pricing a home is very important in this current market, and here is a chart showing how our median prices have shifted over the last few years.
Here is a chart showing when the Sellers are getting closest to their list price. Depending on what time of year you list, pricing is strategic.
Denver’s unemployment rate is still very low - at 2.9% for July. Still very low comparing to the national average of 3.9% in August. Colorado’s population is 5.557 million, with the Denver metro area seeing 3.075 million and Denver proper is 683,096. Denver has outpaced most large cities across the Country and expect to see by 2020 a population of over 3.3 million. We are seeing many corporations relocating their headquarters or putting in a hub into the Denver metro area, creating job growth. Our state government is working hard on affordable housing issues for both the elderly and first time home buyers, with so many relocating into the Denver metro area. If our traffic issues would decrease, we could retain more of our residents. It can be quite frustrating.
Homeowners - if you have thought about selling and like like a home evaluation, please let me know, I will contact you right away. Relocating to Denver, and need some advice - see my Relocating to Denver information.