Denver Real Estate Market Update July 2013

Denver Real Estate Market Update July 2013

By the numbers, the inventory of available homes for sale is:

-          9,187 homes at June month end

-          7,645 homes came onto the market

-          7,420 homes were placed under contract

-          5,566 homes closed for a closed dollar volume of $1.77 Billion.

June traditionally starts slow and then proceeds to finish strong.  Home prices and mortgage interest rates are rising!

Monthly Market Recap:

Single Family:                                                           
- Active Inventory is 7,558 homes at month end         

- Sold homes is 4,433                                                   

- Average Days on Market is 43                                  

- Median Sold Price is $290,000                                  
- Average Sold Price is $349,339                                 

Condos:

- Active Inventory is 1,629 homes
- Sold homes is 1,133
- Average Days on Market is 43
- Median Sold Price is $164,950
- Average Sold Price is $198,040

June Year-to-Date Market Recap (2013 versus 2012):

Single Family:                                                           

- Active Inventory 7,558 versus 9,074 (↓17%)            

- Sold Units 20,970 versus 17,628 (↑19%)                  
- Median Price $275,000 vs $245,500 (↑12%)             

- Average Price $328,427 vs $298,075 (↑10%)

- Sales Volume $6.9B versus $5.3B (↑31%)                

- Days on Market 59 versus 89 (↓34%)                        

Condos:

- Active Inventory 1,629 versus 1,851 (↓12%)
- Sold Units 5,228 versus 4,232 (↑24%)
- Median Price $157,900 vs $134,957 (↑17%)
- Average Price $191,744 vs $170,799(↑12%)
- Sales Volume $1.0B versus $723M (↑39%)
- Days on Market 55 versus 89 (↓38%)

 Market Facts:

-        The inventory of homes available for sale continues to increase for the third consecutive month.

-          Buyer demand remains strong even though interest rates are increasing.

-          Overall, the Denver home market has a two month supply of homes available for sale at the current sales rate.  Single Family Residential homes have a 2.24 month supply and Condos have a 1.93 month supply.

Advice to Sellers:

The Real Estate market is healthier than it has been in years and it is continually changing.  Is now the right time for you to sell your home?

Two questions – First, if you decide to sell your home, is your home ready for the current market such that you will maximize top market value?  Second, if you decide to sell your home, what will you do once the home is sold?

A seller’s home is unique and each and every prospective home buyer is unique.  With that being said, as a seller, have you done everything needed to prepare your home for being on the market and selling during this prime season?

Will your home create that lasting impression?  Are you current on the preventative maintenance items needed for your home?  Have you de-cluttered your home?  To maximize the selling price, have you done recent upgrades?

While the Denver home market can be portrayed as a “seller’s market”, each and every home is unique which suggests professional assistance in selling the home.  Real Estate is local, contact your RE/MAX Professional to discuss the options available to you.

Advice to Buyers:

Home Buyer, what should you do?  That is the question of the day.  Should you participate and move forward to purchase a home or should you wait until a later date?  Is now the right time for you to become a homeowner?  What is and what will be the impact of rising interest rates?

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 and manage your expectations.