Wednesday, December 23, 2015

Denver Real Estate Market Update December 2015







7 COUNTY METROPOLITAN DENVER MARKET UPDATE

DECEMBER, 2015



By the numbers:



-          The inventory of available homes for sale is 5,215 homes at November month end

-          3,239 homes came onto the market

-          3,895 homes went under contract

-          3,392 homes closed

-          Median sold price $315,000

-          Average sold price $361,291

-          Closed dollar volume of $1.225 Billion. 



Monthly Market Recap:



Single Family:                                                                       

Active Inventory is 4,119                                                      

Sold Homes is 2,358                                                                          

Average Price is $397,269                                         

Median Price is $345,000                                          

Average Days on Market is 34                                                          



Condo:

Active Inventory is 1,096

Sold Homes is 1,034

Average Price is $279,243

Median Price is $224,000

Average Days on Market is 29



Year To Date Market Recap:



Single Family:                                                                       

Sold Homes is 34,590                                                

Average Sold Price is $404,262                                

Median Sold Price is $346,000                                  

Average Days on Market is 30                                  



Condo:

Sold Homes is 14,490

Average Sold Price is $256,197

Median Sold Price is $210,000

Average Days on Market is 26          

Market Facts:



While the Denver home market continues the seasonal slowdown, Buyers remain in the market, Sellers are motivated, the weather is changing to cooler temperatures, homes for sale remain low, lifestyle choice is the number one priority of home buyers, the new home closing rules are impacting the closing time, and the Denver economy is continuing to plow forward into 2016 even though at a forecasted decreasing rate.  2015 is going to be another record setting year.





Advice to Sellers:



2016 will be here in a few weeks and as a Seller, what can you expect from the Denver home market? 



Let’s look at the 2016 forecast for the Denver home market:



-          Overall the Denver home market will continue to move forward; but at a slower pace than 2015.

-          Buyer demand will continue to be strong as Denver is now a destination city.

-          Price appreciation will not be as great as in 2015.

-          New household formations will continue to increase and multi generations will look to buy.

-          Denver will continue to be in the top 10 home markets in 2016.

-          Consumers will continue to focus on home ownership.

-          New home builders will focus on increasing the availability of their new homes.



Buyers today are savvier and more educated when it comes to home markets.  Sellers need to know where they want to live.  Home closing time lines are now increasing by at least a week.



Seller preparation includes:



-          A good pricing comparison analysis

-          Instructions on staging

-          What are the top improvements to make the home show better

-          A conversation on how the market functions. 



As such, the homeowner looking to sell a home needs a professional who is a local expert, and can assist in the Professional plan to sell one’s home



Advice to Buyers:



2016 will be here in a few weeks and as a Buyer, what can you expect from the Denver home market? 



Let’s look at the 2016 forecast for the Denver home market:



-          2016 will bring increased home mortgage interest rates

-          Continuous changes to the closing process

-          Lower price appreciation

-          Strong Buyer demand as Denver is now a destination city

-          An increase in household formations.

  

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.