Real Estate Analysis and Commentary in Littleton

Halloween has come and gone as we now move into the latter end of the Fall season. On top of seasonal fluctuations in the housing market, rising inflation and increasing interest rates have most experts forecasting large portions of the county posting negative year-over-year home values. The data is out for the Denver Metro's October housing market, as illustrated below in the Denver Metro Association of Realtors "Data Snapshot" published in their November Market Trends Report. For detached and attached residential housing, active listings at month's end increased 115% from a year ago, and median days in MLS has increased 240% for the same time period. Sales volume has changed -25% from last month and -35% from last year. While home values are considerably higher than they were pre-pandemic, prospective sellers should have plans to list their properties accordingly with the changing market conditions and fewer active buyers coming to the table.

 

The Denver Metro housing market has shifted, although it still remains a Seller's market. As illustrated in the RE Colorado Infographic below, closed homes in July were down 30% from July of last year while the median close price still remains 11% higher than last year. New listings are down 12% and pending listings are down 22% compared to this time last year. The Denver Metro housing market ended the month of July with 7 weeks of inventory.

Expected seasonal shifts played a role in the Denver residential real estate market in October. As illustrated by the DMAR Market Overview below, active inventory of detached plus attached residential properties fell 14.98% from the previous month while closed homes decreased 8.29%. With inventory remaining low buyers must remain patient, although they can be thankful to likely avoid the extreme bidding wars that were prevalent last Spring.

September remained a strong month for residential sellers with low inventory remaining at the end of August. Closed sales were down 12% lower than last month  (19% since last year). The average close price increased slightly from last month, while the average closed price was still 15% higher than September 2020. Active listings at month's end in September are 10% higher than last month.

 Moving into Fall, the Denver Metro area residential home sales in August decreased 5% from the previous month and are down 11% from this time last year. While the average closed price of residential homes decreased 1% in August, the average closed price is up 14% from last August. The end of August saw the count of active listings 3,475,40% lower than last year and 18% lower than the month prior. 

Strong demand and low inventory continued the seller's market in the Denver Metro area for July, with average home prices on the rise. The market reported an increased inventory of 29.92 percent, while it also represented a decrease in closings of 12.30 percent compared to the previous month, indicating a supply increase and demand decrease.  Although there remains a relative lack of inventory, buyer's may experience a return to more normal expectations as we head into Fall.




*This data was gathered from RE Colorado and the Denver Metro Association of Realtors

Strong demand from buyers continues in the Denver metro area housing market, with nearly 6,500 homes closing in the month of June. The month ended with slightly more homes in Pending status compared to May. The average price of a home reached another all-time high at $642,167. Single family homes saw an average closed price over $725,000, up 30% from this time last year. Sellers added 7,671 New Listings to the market in June, but high demand from buyers left only 2 weeks of inventory at the end of the month.




*This data was gathered from RE Colorado and the Denver Metro Association of Realtors

The Denver metro area housing market remained steady in May with the number of closed homes and average closed prices staying consistent compared to last month. Throughout the month 3,848 single-family residences sold for an average price of $697,368, with more listings in Pending status than any other May on record. Meanwhile, the number of new listings was lower than we’ve seen in any other May since 2012, leaving only two weeks of inventory at the end of the month. The housing market remains competitive for buyers, with single-family residences on the market for an average of only 8 days.




*This data was gathered from RE Colorado and the Denver Metro Association of Realtors

The 2021 selling and buying season is off to a very active start in the Denver Metro area. Fueled by strong demand and low inventory, the Average Closed Price for homes is at an all-time high. Sellers have picked up the pace, bringing more homes to the market for buyers. Still, inventory levels remain very low with homes spending a median of only four days on the market. The housing market across Colorado showed incredible year-over-year growth. This time last year, home buyers and sellers were adapting to strict physical-distancing measures to slow the spread of the coronavirus, which greatly impacted the housing market. 

*This data was gathered from RE Colorado and the Denver Metro Association of Realtors (DMAR)