Throughout the ebbs and flows of 2021, interest rates remained low and buyer demand stayed high.
DMAR found there were more homes purchased in 2021, 63,684 more than any previous year. While demand was at an all-time high, the number of new listings that hit the market throughout the year was down 5.26%, which is one of the reasons why the market ended the year with another historic indicator: month-end active listings.
At the beginning of January, there were only 1,477 active properties on the market.
That is 11,175 fewer houses on the market than normal. Based on the sustained demand for housing and lack of inventory, the market is projected to see double-digit appreciation this year, which it has not seen in back-to-back years of double-digit appreciation since 2015-2016 and 1998-2000.
In the Luxury Market, Denver Metro prices continued to climb.
More homes are entering the ranks of the Luxury Market every month as demand continues at a quick pace. Within the past two years, the number of homes that sold within the Luxury Market more than doubled. The single-family segment of the market closed 4,672 single-family homes, a 53.99% gain year-over-year, while the attached segment experienced a 140.46% gain with 630 homes sold.
During the holidays, seasonal slowdown was palpable.
While active homes on the market dropped 41.87% market-wide, the Luxury Market continued to outperform with a five percent increase in December for new listings. New listings for detached homes climbed slightly by 1.40% from last December, while closed listings increased 9.06%.
Meanwhile, the attached market continued to shine.
New listings climbed 35.29% in December with 23 more units compared to December the year prior. Closed sales came in at a staggering 89.66% gain with sales volume following closely with a 75.36% rise with an additional $75,932,105 in closed volume year-over-year.
*Written January 6, 2022. Updates may be available after this date.