The Spring Market Has Officially Arrived, Along With Fresh Inventory.
For the entire residential market last month, active listings, new listings, homes under contract, and homes sold showed double-digit month-over-month gains. The total sales volume is up 11.93 percent year to date to $3.87 billion.
œSpring has sprung and the Denver-area is bursting with activity, said Anthony Rael, Chairmanof the DMAR Market Trends Committee and Denver real estate agent. œI'm quite certain homebuyers and my fellow REALTORS are growing tired of hearing about our lack of housing inventory, so it's with great pleasure that I share that this month's market trends report is filled with an abundance of positive news.
Digging into the numbers, for the entire residential market (attached and detached properties), 5,706 newlistings came on the market (+33.63 percent), 4,720 homes were placed under contract (+13.71 percent) and 4,053 homessold and closed (+27.69 percent). March closed out with 4,482 active listings representing a 13.10 percent increase ininventory over the previous month and nine percent over the previous year. Average and median sold prices edged up againfrom the previous month with gains of 4.92 percent to $393,684 and 4.86 percent to $345,000 respectively.
For the detached single-family home market, month over month, new listings skyrocketed to 4,147 - which represents a 36 percent increase. Average and median sold prices bumped up from the previousmonth with increases of 5.08 percent to $435,796 and 5.33 percent to $379,173 respectively. The condo market showed the supply of new listings skyrocketed 28 percent to 1,559 units over the previous month, while theaverage and median sold prices also showed slight increases of 1.41 percent to $287,249 and 3.32 percent to $234,900.
Every month, we ask Live Urban Real Estate agents for their feedback about how the Denver-area market feels from their perspectives, because it's one thing to look at the numbers, but also from real professionals who are hustling every day to navigate this environment with their clients. Here's what they had to say (read full quotes below):
-It's an Extreme Seller's Market. I am about as busy as I was last year after a very slow Jan-Feb, but more deals are falling out.I am working with a couple of first time buyers, an empty nester and a family selling their home in VA and buying now after renting for a year!
-It's hard out there! I did close with first time buyers this month after writing 2 offers. With another client it took 3 offers to get under contract but it's still a fight to close with back up offers looming. I have other buyers who aren't seeing anything they want to buy so more inventory, please!
-Sellers Market, especially under $450k. Buyers are having to fight pretty hard to get under contract. Working with a couple first time home buyers, move up buyers and some Sellers, a few who are wanting something very specific and I've hardly shown them anything do to lack of inventory.
- So far inventory isn't looking too good, hoping it will get better in the next month or so, but I think even so...still a lot of competition. Worried about affordability for the years to come.
-Strong seller'smarket. About the same as last year as far as how busy we are. We have clients in all sectors from first time home buyers to luxury, empty nesters, and relocations. Market is frustrating for all buyers due to the lack of inventory. Competition is brutal for the below $400k buyers but even buyers in the million dollar plus price bracket are finding themselves in competition and are finding the selection of homes available to be sparse. Inventory seems to be even lower than last year with the same number or more buyers for less homes.
-The market is brutal for buyers under $300K. I'm hoping the coming months will bring more inventory onto the market. With baby boomers staying in their homes longer, the construction defect law preventing affordable new units, and the influx of people prices are skyrocketing in Denver. If you own your home, sell! You will not believe what your home is worth!
-Slow! Buyers are inactive because there simply isn't inventory to show. Listings are at a trickle. Definitely still a seller's market!
--I think it's getting ready to explode. Lots of listings coming up and desperate buyers for them. A little slower than last year but once the nice weather is here to stay think it will take off. Working all sectors. All are tough with multiple offers. I think we will start to see more listings finally but also a lot more buyers. Think it will be a busy spring with high prices.
-It's nice to finally see some more things pop up in client's searches, but inventory is still low. Very competitive downtown for detached in the mid $400s. If the house is in good condition there are several offers about 15-20k over asking and waving inspection and appraisal. I feel bad for my buyers.
-Got 2 first time buyers under contract! First one in Capitol Hill for 30K over (it was underpriced to begin with.) Second one in old Aurora area and they got shut out with $5K over asking. Went in stronger the second time and got under contract. Under $300K barely even stays active on MLS. Even the crappy places flying off the shelf.
-The market makes me sad. That's my insight. Ha. Competition just got stiffer for buyers in March. Listings picking up but nowhere near enough. I just listed a property that got 28 showings in the first 2 days on market. It's nuts out there, yo!
-I have been super busy! Three closings in March which is unusual for me. All CASH!
-Still very much a seller's market and seeing a ton of competition for all homes under $500k.
-I'm working with investors, move-up buyers, new-to-Denvers, and downsizers. All seem to have the same experience of being hard to find homes and needing to move quickly to get an offer in. I have had two buyers recently terminate after inspection buyer's remorse due to the pressure of having to act too quickly. I don't have a crystal ball, but I think it's going to be even tighter this year!
As always, if you have questions about how this information might impact your investment or your next Denver Area move, contact us!
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