Tuesday, October 21, 2014

Denver Real Estate Market Update October 2014


By the numbers:

-          The inventory of available homes for sale is 6,777 homes at September month end
-          4,861 homes came onto the market
-          4,608 homes closed
-          Median sold price $274,000
-          Average sold price $317,773
-          Closed dollar volume of $1.46 Billion. 

Monthly Market Recap:

Single Family:                                                                       
Active Inventory is 5,427                                                      
Sold Homes is 3,247                                                                          
Median Price is $310,000                                                      
Average Price is $360,240                                         
Average Days on Market is 33                                                          

Active Inventory is 1,350
Sold Homes is 1,361
Median Price is $179,900
Average Price is $216,459
Average Days on Market is 28

Year To Date Market Recap:

Single Family:                                                                       
Sold Homes is 28,556                                                                        
Average Sold Price is $361,859                                             

Sold Homes is 10,789
Average Sold Price is $220,198

Market Facts:

Seasonality continues to have an impact on the market; but, to a lower degree than in prior years. Consumer confidence decreased in September to 86.0 down from 93.4 in August. While the inventory of homes available for sale remains low, lifestyle choices continue to be the number one priority of home buyers. Mortgage interest rates fluctuated in September and ended the month with a 30 year conventional rate around 4% and a 15 year conventional rate around 3.125%. The fall season is here and the market continues to show its strength.

Advice to Sellers:

The fall housing market is expected to be seasonally strong, despite buyers showing greater signs of being conservative in their home purchases.  There still remains a desire for an increase in the homes available for sale.  Buyers are more cautious and sticking to their lifestyle choices and budgets for purchasing a home.

With homes continuing to be absorbed faster than homes coming on to the market, what will help you make your home a memorable home?  In a recent nationwide survey of buyers, prospective home buyers are looking for accessibility (#1), a special function room such as an outdoor living room, a mud room, or an in-law suite, and does your home have the availability to add more space and features.

If your home is on the market or will be soon, how do you satisfy a buyer’s need resulting in the successful sale of your home?  Let’s not forget that buyers have done their homework, know exactly what they want in their new home, and will only compete for the homes of their dreams.  As such, the homeowner looking to sell one’s home needs a professional who is knowledgeable, and can assist in the Professional plan to sell one’s home.   

Advice to Buyers:

The fall season is here and the Denver home market is showing seasonal cooling, as is the weather.  Now is the time to continue the home buying focus on lifestyle priorities and the home purchase budget.  Keep in mind that “forecasts” indicate/predict that mortgage interest rates will climb by up to ½ %.  Be prepared and look at locking in a rate prior to active home looking.           

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