Sunday, August 11, 2013

Denver Real Estate Market Update August 2013

Denver Real Estate Market Update August 2013

Market Metrics:

By the numbers:

-          The inventory of available homes for sale is 10,025 homes at July month end

-          7,268 homes came onto the market

-          7,406 homes were placed under contract

-          6,104 homes closed for a closed dollar volume of $1.9 Billion 

July is the transition month of the summer season.  School has either started in early August or will start within days or weeks.  Where has the summer vacation gone?

Monthly Market Recap:

Single Family:                                                           
Active Inventory is 8,286 homes at month end         

Sold homes is 4,857                                                   

Average Days on Market is 37                                  

Median Sold Price is $286,500                                  

Average Sold Price is $346,254                                   


Active Inventory is 1,739 homes

Sold homes is 1,247

Average Days on Market is 37

Median Sold Price is $161,000

Median Sold Price is $161,000

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

Single Family:                                                           

Active Inventory 8,286 versus 9,087 (↓9%)              

Sold Units 25,827 versus 21,341 (↑21%)                  

Median Price $275,000 vs $249,000 (↑10%)             

Average Price $331,780 vs $300,658 (↑10%)

Sales Volume $8.5B versus $6.4B (↑34%)                

Days on Market 55 versus 84 (↓35%)                        


Active Inventory 1,739 versus 1,740 (↔)

Sold Units 6,475 versus 5,137 (↑26%)

Median Price $158,500 vs $137,500 (↑15%)

Average Price $194,064 vs $174,299(↑11%)

Sales Volume $1.2B versus $895M (↑40%)

Days on Market 51 versus 86 (↓41%)

Market Facts:

The Denver home market continues to grow and remains strong.

Home ownership continues to be high on the lifestyle preference list of the consumers.

-          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 2.39 month supply and Condos have a 1.99 month supply.

Advice to Sellers:

The Real Estate market continues changing.  July is a transition month and the summer season is moving into a new phase.  School has started which removes some buyers from the market; but, strong buyer demand continues.  With that being said, homes available for sale remain on the market a shorter time period (days on market is decreasing).

The 7 steps in the home selling process are: plan and prepare, obtain the services of a Realtor®, determine the price, market the home, sell the home, complete the closing, and finally move out of the home.  In the plan and prepare step, the home owner should do everything to maximize the home’s appeal and the buyer demand.  The determine the price step will cause the home owner to become familiar with the competition and the market value of the home.

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 continues to be portrayed as a “seller’s market”, each and every home is unique which suggests professional assistance in selling the home.   

Advice to Buyers:

Overall, more homes are available for sale today than at any time this year.  Strong buyer demand continues and interest rates are rising.  School is in session, which takes some buyers out of the market.  Once you have made your decision, start the process to home buying success.

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.

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