Denver's Housing Market Incredibly Active and Inventory Receives a Much Needed Bump
Denver saw a large increase in homes for sale compared to last month, but buyers are still facing challenges — prices are still on the rise and most homes are selling in just 10 days. Active listings are down year-over-year a hefty 51.09 percent but up 50.5 percent month-over-month, a very encouraging sign for fatigued home buyers. Numbers are up month-over-month across the board: active listings are up, sold homes are up, pending homes are up, and sold homes are up.
According to DMAR, "For the first time in what feels like a long time, buyers have to compete with less competition, and therefore, the extreme bidding wars have drastically decreased. Sellers are now adjusting their listing strategy to what the comps suggest. However, while inventory did drastically increase from the previous month, we are still at less than one-third of the total inventory compared to 2019 at this time."
A quick look at what happened in June:
- Denver metro's active listings available at the end of the month declined by 51.09% over last year
- The June median sale price was $545,000, up 22.47% compared to last year
- The typical home spent 10 days on the market in June, 11 days less than the same time last year
- The average price of a single-family detached home is currently $728,385, an increase of $167,950 from the same period a year ago
June's Numbers Over the Years:
|Avg. Days on Market||
Avg. Sold Price: Single Family Home
|Avg. Sold Price: Condo||# of New Listings||# of Homes Sold||# of Homes Pending||
Avg. Sold Price Change YOY
+ 8.80 %
+ 2.06 %
+ 26.76 %
Average Interest Rates by Year in Denver
|Average Interest Rate||5 %||4.7 %||4.4 %||3.6 %||4 %||4.2 %||3.8 %||3.7 %||4 %||4.6 %||3.9 %||3.1 %|
Data courtesy of Megan Aller | First American Title
During these unprecedented times, Usaj Realty would love to carefully assist you with finding your next place to call home, or selling your current property. Our acumen, attention to the market, and negotiation skills will all go to work in order to advocate for your goals. Email us at firstname.lastname@example.org or call 720.398.2999. We measure our success by the happiness of our clients!
Headlines: What's Happening in Colorado
Home price increase and buyer competition continue, can it last?
“There’s no way the double-digit price growth can continue long term,” says Realtor.com Chief Economist Danielle Hale.
Many home buyers wonder if their home will hold its value once the impact of COVID-19 is truly over. Experts say most buyers shouldn’t worry. The supply and demand imbalance should keep most home prices stable."
Denver real estate: Median home price hits record, but could bidding wars be cooling?
"The 2,137 single-family homes available for sale at the end of June is nearly 60% higher than May’s depressed count, and the active inventory of condos and townhomes rose 33.3% month-over-month to 985. Combined, the Denver area experienced a 50.5% gain in its active inventory, a new record for a monthly increase and six-fold higher than the 5.9% gain averaged between May and June."
Denver’s housing market eases a bit, but buyer challenges remain
“In Denver, we had the perfect storm hit our residential real estate market last year,” Jenny Usaj said. “Interest rates have been low. People who have been Zoom-calling from their closets wanted more space and focused on their homes. When the whole city closed, people were at their homes and in their backyards and focus shifted to improving.”
Headlines: What's Happening Nationally
Home prices have hit a new high—Is the housing market about to crash?
CDC extends eviction moratorium through July
"The Biden administration says the extension is for "one final month" and will allow time for it to take other steps to stabilize housing for those facing eviction and foreclosure. The White House says it is encouraging state and local courts to adopt anti-eviction diversion programs to help delinquent tenants stay housed and avoid legal action."
New home sales fall short of expectations, but dropping lumber prices could provide breathing room
"New home sales occurred at a seasonally-adjusted annual rate of 769,000 in May, the U.S. Census Bureau reported Wednesday. The figure represented a 5.9% drop from the previous month’s revised figure, but was up 9.2% from a year ago."
Time to act: ‘The state of America’s housing stock is dire’
"'There is a strong desire for homeownership across this country, but the lack of supply is preventing too many Americans from achieving that dream,' said Lawrence Yun, NAR’s chief economist. 'It’s clear from the findings of this report and from the conditions we’ve observed in the market over the past few years that we’ll need to do something dramatic to close this gap.'"
Report for June 2021:
Read Denver Metro Association of Realtor's full report on last month's Real Estate trends and statistics in Denver here.
And as always, please let us know if you have any questions!
Whether buying or selling, Usaj Realty is dedicated to helping you stay competitive. Your Usaj Realty broker will communicate effectively, learn your goals like the back of their hand, and work closely with you to negotiate the best terms possible, and expertly manage your transaction from start to finish, ensuring peace of mind.
Email us at email@example.com or call 720.398.2999.
Posted by Jennifer Black
Jennifer Black champions all of Usaj Realty’s marketing publications. With a passion for digital marketing, graphic design, writing, and all things creative, Jennifer excels in the office as a crucial support staff member for our brokers and management Originally from Redwood City, California, Jennifer pioneered her way to Denver and began working for Usaj Realty in May of 2014. She loves every minute of life in Denver, which is directly enhanced by her time designing for Usaj Realty. Away from work, Jennifer enjoys escaping to the great outdoors, going skiing, hiking, and exploring local breweries and restaurants.Facebook LinkedIn Twitter