May 2016 ~ 7 County Metropolitan Denver Market Update

 

Posted by Damon L. Chavez on Wednesday, May 25th, 2016 at 12:30pm.

7 COUNTY METROPOLITAN DENVER MARKET UPDATE
MAY, 2016
  

Market Metrics:

By the numbers, the inventory of available homes for sale is 4,845 homes at April month end, 6,137 homes came onto the market, 4,917 homes went under contract, and 4,255 homes closed at a median sold price of $350,000 and an average sold price of $395,690 resulting in a closed dollar volume of $1.7 Billion. 

Monthly Market Recap:

Single Family:                                                           Condo:          

Active Inventory is 3,750                               Active Inventory is 1,095      

Sold Homes is 3,011                                        Sold Homes is 1,244              

Average Price is $441,029                             Average Price is $285,949

Median Price is $383,500                              Median Price is $239,900

Average Days on Market is 31                      Average Days on Market is 31                       

 

Year To Date Market Recap:

Single Family:                                                           Condo:          

Sold Homes is 10,120                                     Sold Homes is 4,176  

Average Sold Price is $426,501                     Average Sold Price is $281,719           

Median Sold Price is $369,000                      Median Sold Price is $230,000

Average Days on Market is 39                       Average Days on Market is 37

Source:  REcolorado.com – May 6, 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:

The April Denver home market saw more homes available for sale and more new homes coming onto the market, homes going under contract increased, and homes closed at increased prices.  Buyer demand continues to outpace the homes available for sale.  Buyers are becoming more creative in their offers and Sellers are looking at all options.  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 a RE/MAX Professional to better understand your specific real estate market.

Advice to Sellers:

Now is the time to sell as 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.  Buyers look for a lasting impression such as curb appeal, energy efficient lighting, de-cluttered space, staged, and valued home improvements.

Manage your expectations, be flexible, be civil, and accept the offer that works best for you the Seller.

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:

 Now is the time to buy as the Denver home market is strong and healthy.  Buyer demand is greater than the number of homes for sale.  As a Buyer, make the offer that works for you and is the offer that you can complete to close the transaction.  The Denver home market is becoming very creative again 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.

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 YOUR RE/MAX PROFESSIONAL TODAY!