With interest rates up, and the heat of summer on, the crazy Denver Real Estate market has noticeably slowed down since July 4th. Speaking with fellow agents, it appears that a lot of buyers are holding off on buying until they figure out what rates are going to do and sellers finally got the message that it is a great time to sell so we have more inventory than we have had all year. Combined, this is a big reason why homes having gone from selling in a day to weeks or even months again.
I certainly understand why buyers are cautious about buying now and hoping rates will start to come back down. However, I don't think we are ever going to see 3.5% again and I would argue that waiting for rates to drop another .125-.25% is the absolute worst strategy a buyer could take right now.
The reason being? Sellers are getting worried and starting to freak out. It has been the norm for the past 6 months for houses to sell within days of hitting the market with multiple offers. That just isn't the case now and homes, even really well priced homes, aren't flying of the market like they were even a month ago which has some sellers frantic.
So if you are looking to buy, could you ask for a better situation? You seldom have to worry about multiple offers and overbidding and you can actually negotiate to get prices down a bit now. If you can get a house down $5,000 now instead of offering $10,000 over asking price to get the home, that is a much larger savings than you will ever see by waiting for rates to come down a quarter of a percentage rate.
Once the rates stabilize a bit, this market is going to take off once again. Denver is too hot of city for it not too. So my advice to all buyers is to take advantage of this small window and get a home under contract while you can still negotiate because before long we should be back to a strong seller's market.
Below are a few houses that 2 months ago would have had multiple offers the first day. They are priced below market and ready to move. And there are more like them out there so let us know how we can help you find the perfect home before it is gone and this short window of opportunity closes, probably for good.
4637 Bryant St. A charming victorian in the Highlands with 3 beds and 2 full baths above grade. With a cute yard and off street parking this home is a great deal right now, listed at $335,000. For more information, click here.
8864 E 29th Place. This fabulous Stapleton home features 3 beds and 2 full baths upstairs, brand new kitchen and hardwoods and is only blocks to all the best pools, parks and schools that Stapleton has to offer. Listed at $320,000 this is the best buy in Stapleton and in east Denver right now. Click here for more info.
1301 Speer Blvd #1001. This one bed, one bath corner condo is on the 10th floor with unlimited panoramic views of the entire front range. You won't find better mountain views anywhere downtown. And priced at only $160,000, this unit would make a great rental, home for a college student or downtown getaway. Click here for more details.
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