July 2016 ~ 7 County Metropolitan Denver Market Update

 

Posted by Damon L. Chavez on Tuesday, July 12th, 2016 at 8:04am.

Market Metrics:

By the numbers, the inventory of available homes for sale is 6,234 homes at June month end, 7,195 homes came onto the market, 5,341 homes went under contract, and 5,294 homes closed at a median sold price of $362,000 and an average sold price of $416,112 resulting in a closed dollar volume of $2.2 Billion. 

Monthly Market Recap:

Single Family:                                                                     Condo:          

Active Inventory is 4,930                                           Active Inventory is 1,304      

Sold Homes is 3,905                                                   Sold Homes is 1,389              

Average Price is $460,610                                          Average Price is $291,013

Median Price is $395,000                                           Median Price is $247,500

Average Days on Market is 24                                   Average Days on Market is 27                       

Year To Date Market Recap:

Single Family:                                                                     Condo:          

Sold Homes is 17,686                                                 Sold Homes is 7,015  

Average Sold Price is $438,598                                 Average Sold Price is $286,462           

Median Sold Price is $380,000                                  Median Sold Price is $235,000

Average Days on Market is 34                                   Average Days on Market is 34

Source:  REcolorado.com – July 8, 2016

The above representation for Single Family and Condo includes real estate activity in the counties of Adams, Arapahoe, Broomfield, Denver, Douglas, Elbert, and Jefferson.

Market Facts:

Overall, June was a record setting month in the areas of month end active listings, new listings, average and median sold price, and number of properties sold.  June also saw an increase in the number of homes coming back onto the market after being under contract.  Mortgage interest rates have fallen due to the “BREXIT” activity.  Multiple offers, bidding wars, and appraisal and inspection issues continue to impact the home market.  As always, be prepared.

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 Seller’s market continues and Buyer’s are remaining in the market.  As a Seller, you pretty much know what Buyer’s are looking for and you know that you have to create a grand finale which will leave a lasting impression as you are offering your home for sale.  Are you aware that Buyer’s are now looking for “Smart Homes”?  Smart homes are energy efficient and convenient.  Smart homes now have new thermostats, lighting control, appliance automation, and security.  Is your home a Smart Home?

Many 2016 records were set in June; but, we need to be aware that BREXIT may have some impact on our home market in the coming months which will impact international buyers.

Be aware that after Smart Homes, the next new focus item will be Healthy Homes.

Seller preparation includes a good pricing comparison analysis, instructions on staging, what are the top improvements, introduction to a net sheet to understand the bottom line, and a conversation on how the market functions.  As such, the homeowner looking to sell a home needs a professional who is a local expert, is hyper local market knowledgeable, and can assist in the Professional plan to sell one’s home.  Now is the time to reach out to a Professional.

Advice to Buyers:

The Denver home market continues to be a Seller’s market even though the number of active listings increased in June.  Creativity remains with multiple offers, bidding opportunities, and price appreciation.  Similar to the above comments, be prepared to act quickly.  Create your home buying plan and stick to it.

A recent survey for Home Buyers stated that a Buyer should find out how much you can borrow, do your research, do not settle for the first home you see, and never underestimate the knowledge of Mom and Dad.

Know what you want in a home, where you want to live, and what price range you can afford.  Complete the pre-qualification process so you know the price range that you qualify for when you are purchasing a home.  Be prepared, manage your expectations, and be open to looking at the entire Denver market.  Reach out to a Professional today about your best options and opportunities to participate and succeed in the purchase of your “Dream” home.

CALL ME TODAY!