Well I am usually the bearer of good news, however, I am committed to keeping you informed about the Denver Real Estate market both good and bad. I typically only do a market report every quarter but due to the volatility of the market I am posting these more frequently.
INVENTORY IS UP 25% FROM LAST YEAR
The numbers from August show our MLS has about 25,000 homes for sale which is up from about 20,000 a year ago. It has been trickling upwards all year but now has topped 25,000 homes for sale.
WE HAVE 8 MONTHS OF INVENTORY
If we divide our inventory (25,308) by how many homes sold last month (3,165) it equals 8 months. This means if NO new homes were added to our market it would take 8 months to sell what we have available. Typically, a “buyers market” is when we have 6 months or more, and a sellers market is when we have less than 6 months. So, this answers the question that it is still a “buyer’s market”
# OF HOMES SOLD DOWN 20% FROM LAST AUGUST
Sadly, the # of homes sold is also down from this time last year. However, the caveat is that we had the tax credit this year and it expired in April. A lot of buyers bought earlier in the year, perhaps sooner than they would have due to the credit. Our year to date sales are about 27,000 and last year they were 28,000, so as a yearly average we are still on pace compared to last year.
If you have any questions please call or email. My contact info is at the top right of this webpage. Thanks! Mike
AVERAGE SOLD PRICE UP 6.3% FROM LAST YEAR!!!
This is the good news for sellers. Home prices are still increasing which is great to see. If we look closer, it is actually increased from July so that is even better news!