Wednesday, March 16, 2016

Denver Real Estate Market Update March 2016



7 COUNTY METROPOLITAN DENVER MARKET UPDATE
MARCH, 2016

By the numbers:

-          The inventory of available homes for sale is 3,627 homes at February month end
-          4,081 homes came onto the market
-          3,971 homes went under contract
-          2,925 homes closed
-          Median sold price of $328,000
-          Average sold price of $375,696
-          Closed dollar volume of $1.1 Billion. 

Monthly Market Recap:

Single Family:                                                                       
Active Inventory is 2,847                                                      
Sold Homes is 2,024                                                                          
Average Price is $417,538                                         
Median Price is $360,000                                          
Average Days on Market is 46                                                          

Condo:
Active Inventory is 780
Sold Homes is 902
Average Price is $282,106
Median Price is $226,000
Average Days on Market is 42

Year To Date Market Recap:

Single Family:                                                                       
Sold Homes is 4,066                                                              
Average Sold Price is $414,851                                            
Median Sold Price is $354,000                                  
Average Days on Market is 46                                  

Condo:
Sold Homes is 1,706
Average Sold Price is $276,572
Median Sold Price is $221,250
Average Days on Market is 42

Market Facts:

February was another amazing month in the Denver home market.  Even though consumer confidence decreased month over month, the consistent media exposure talked about the #1 home market being the Denver area. 

-          The number of homes for sale set a new record low. 
-          With that being said, active listings are in high demand. 
-          Buyers and Sellers need to be aware of all facts impacting the Denver home market as the prime home selling and buying season is here.

Advice to Sellers:

What should you do if you are ready to sell your home? 
-          First and foremost, don’t overprice your home
-          Make your home shine and stand out from the competition
-          De-clutter, de-clutter, de-clutter

Many current home owners are in the process of preparing their home to be sold; but, they are doing upgrades that are costly, not necessarily desirable by potential buyers, and negative net returns.

Here are some things to think about for upgrades:  energy efficient, low emission, tank less water heater, “Nest” type thermostats, kitchen upgrades, opening up floor plans, hardwood flooring, new counter tops, “amped” appliances, and multiple charging stations.

With continued Denver population growth and consumer demand for home ownership, market frenzy can be expected for the next several months in the lower price ranges.

Seller preparation includes a good pricing comparison analysis, instructions on staging, what are the top improvements, and 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:

What should you do if you are ready to buy?  First and foremost, focus on your lifestyle and must haves.  Next, pre-qualify so you know what portion of the market you can participate in.  The current Buyer motivation relates to high rents, low number of active homes for sale, and household formation.  Last but not least, do it now.

The prime home selling and buying season is here.  Be aware of moderate home price growth and potential increase in mortgage interest rates.  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.