Surge in inventory of Denver area homes for the month of May

The Denver Metro Association of Realtors reports that metro Denver experienced a nearly 25 percent surge in the number of homes/condos for sale in May versus April.

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From The Denver Post:

“The inventory of homes buyers had to choose from at the end of May reached 6,437, up 9.2 percent from a year earlier and the highest level for a May in three years. But inventories still remain at historically low levels. Back in May 2007, when the housing bubble was bursting, there were 29,110 homes for sale on the market.

“Overall economic conditions like employment, job growth and net migration are stronger today than 2007-2008. I don’t see a bubble any time soon, but keep an eye on inventory,” Steve Danyliw, chairman of the association’s market trends committee, said in the report.

Unlike prior months, a surge in new listings wasn’t matched with a commensurate surge in home and condo sales. Those rose 6.5 percent to 5,235 during the month and are down 10.9 percent year over year.

The median price of a single-family home sold in May dropped 0.88 percent from April to $451,000, while the median price of a condo rose 2.52 percent to $305,000. Measured year over year, median home prices are up 7.9 percent, while median condo prices are up nearly 13 percent.

The speed at which homes are turning over, which tied a record low, also argues against a market turning to mush. Single-family listings spend an average of 20 days on the market, down 9.1 percent from April. For condos, the average was only 16 days, which is 15.8 percent lower than in April.”

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Other market insights from the Denver Metro Association of Realtors:

-Mortgage rates have increased a half point this year thus far, with speculation they’ll increase another half point by year-end.  This is setting urgency for some buyers to act now before rates rise.

-Denver is increasingly realizing its lack of affordable housing options and is trying to combat this through increased affordable housing legislation.

-Despite record lows in inventory, Census Bureau data shows approvals for 13, 525 housing units in Colorado through March, up 41 percent from the year prior.  Permits to build single-family homes is at its highest level since before the Great Recession.

 

Denver-area housing market stats

The latest housing market data from REcolorado shows trends in the Greater Metro Denver Area housing market this April. As the weather heats up in Colorado, home buying and selling season is strong with more sellers listing homes for sale.

In these reports, the Greater Denver Metro Area includes the following counties: Adams, Arapahoe, Boulder, Broomfield, Clear Creek, Denver, Douglas, Elbert, Gilpin, Jefferson, and Park.

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Average sold price for single family homes have gone up 11% in the past year

  • April 2017- $437, 331
  • April 2018- $486, 480

Average days on the market have gone down by 1 day in the past year

  • April 2017- 34
  • April 2018- 33

Weeks of inventory have remained unchanged

  • April 2017- 5
  • April 2018 5

New listings have gone up 5% in the past year

  • April 2017- 6,586
  • April 2018- 6,943

Homes under contract have gone down 6%  in the past year

  • April 2017- 6, 142
  • April 2018- 5, 775

If you’re considering a move in 2018, I would love to help you take advantage of the market!  Meeting your financial goals is as much of a priority to me as it is to help get you “home.”  Please reach out to me with any questions or considerations you have moving forward with finding you the perfect home.