June 2016 ~ 7 County Metropolitan Denver Market Update

 

Posted by Damon L. Chavez on Thursday, June 30th, 2016 at 10:04am.

 JUNE, 2016

Market Metrics:

By the numbers, the inventory of available homes for sale is 5,039 homes at May month end, 6,450 homes came onto the market, 5,599 homes went under contract, and 4,792 homes closed at a median sold price of $360,000 and an average sold price of $408,286 resulting in a closed dollar volume of $1.96 Billion. 

Monthly Market Recap:

 Single Family:                                                           Condo:          

Active Inventory is 3,920                                  Active Inventory is 1,119      

Sold Homes is 3,432                                          Sold Homes is 1,360              

Average Price is $452,134                                Average Price is $297,636

Median Price is $394,047                                 Median Price is $244,000

Average Days on Market is 28                         Average Days on Market is 29                       

 Year To Date Market Recap:

 Single Family:                                                           Condo:          

Sold Homes is 13,646                                         Sold Homes is 5,566  

Average Sold Price is $432,781                        Average Sold Price is $285,392           

Median Sold Price is $375,000                         Median Sold Price is $234,000

Average Days on Market is 37                          Average Days on Market is 35

 Source:  REcolorado.com – June 4, 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:

School is out and more Buyers are in the market with a goal to be in their new home before the start of the fall school season.  Buyer demand continues to outpace the homes available for sale.  This is the prime home buying season and we are seeing price appreciation which is a record.  Multiple offers, bidding wars, and appraisal and inspection issues continue to impact the home market.  Sellers should have their home ready to sell.  As always, be prepared.

Advice to Sellers:

Denver continues to be a destination home market and the Denver home market is a Seller’s market, is strong, is healthy, and Buyer demand is greater than the number of homes for sale.  As a Seller, you must know your home’s value and then have it listed at the right price.  The Denver home market continues to be creative.  Be prepared for multiple offers, bidding opportunities, and requests for incentives.  Manage your expectations, be flexible, be civil, and accept the offer that works best for you the Seller.

Seller Alert:  Wire fraud is on the rise in home selling transactions.

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:

School is out.  More Buyers are in the market today.  Most Buyers probably want to be in their new home before for the start of the fall school season.  The Denver home market continues to be creative with multiple offers, bidding opportunities, and price appreciation.  Similar to the above comments, be prepared to act quickly.  Be aware that Sellers are becoming concerned with Buyers who make a competitive offer, get the home under contract, and later terminate the contract.  Buyers should give consideration to be in a secondary position on a home because the market is seeing an increase of contract terminations.  Create your home buying plan and stick to it.

Buyer alert:  Wire fraud is on the rise for home purchase transactions.

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.

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