2024 is here and the housing market is ready for action. Demand for housing in Colorado remains strong, which bodes well for the new year. However, after months of the market swinging towards more buyer-friendly, we are interested to see what lies ahead as housing experts suspect the pendulum is starting to come back towards sellers. December, however, followed what we tend to see in the market: a bit of a slowdown while families and friends get together and celebrate the holidays.
In Fort Collins, residential real estate stayed right on course, with 102 detached homes sold, mirroring the previous month of 106. Attached homes also stayed on par with the previous month and nearly the same year over year at 41 versus 39 in 2022. The average sale price for detached homes in Fort Collins currently stands at $745,802, indicating a 14.84 percent increase since 2022. With the holiday season it’s really no surprise but sellers also noted another uptick in the average days on the market to round out the year, reaching 65 from 59. Attached homes, meanwhile, saw a pretty dramatic decrease year-over-year in average days on the market from 102 in 2022 to 71 in December 2023. All in all, total closed sales volume was unsurprisingly a whopping 39.45 percent higher than the previous December 2022 from $54,549,616 to $76,071,832 at the end of 2023.
Loveland followed a path of its own during the final holiday month, witnessing a slight decrease in detached home sales from 70 to 62 month-over-month, but experiencing an 23.30 percent decrease in the closed sales volume to $34,553,865 from $45,051,245 in December, 2022. However, the average sales price wasn’t much to bat an eye at, decreasing from $585,081 to $557,337, an only 4.74 percent drop year-over-year.
Boulder, recently named one of the most peaceful places to live, stands out with its jump in attached home sales of 27.03 percent year-over-year in December, from 74 to 94. Closed sales volume in the attached sector also shot up 17.84 percent last month to $50,238,370, reflecting people’s increased interest in buying in the attached arena. Boulder’s desirability remains evident in that it almost always reflects an increase in detached closed sales volume with last month being no different, showing that the holiday season doesn’t really affect this mountain city. Closed volume sales in the detached category rose 4.16 percent to $173,116,872. Days on the market remain consistent with recent trends at 79.
Last but certainly not least, Berthoud chose to represent the typical December trend of slowing down so people can celebrate the holidays. Closed sales were down in both detached and attached sectors, at 10.34 percent in detached and 66.67 in attached, though we should note that is only the difference between 6 in 2022 to 2 in 2023, which explains the staggering number. Overall, closed sales volume in detached was down 20.81 percent and 73.42 percent in attached.
“In the dynamic landscape of Colorado’s housing market, 2024 brings much anticipation as the pendulum shifts back towards sellers,” said Sarah Tyler, Managing Broker at Kentwood Real Estate Northern Properties. “Fort Collins maintains stability with increased sale prices, while Loveland experiences a slight dip and Boulder sees a surge in attached home sales. Buyer-favorable conditions may shift shaped by evolving dynamics and persistent low inventory levels.”
Over the past 12 months the market has tilted in favor of buyers. Seller concessions have played a key role in incentivizing buyers; while new listings have decreased year over year, and sales have slightly slowed. However, with the convergence of interest rates drops and the persistent, continued low inventory levels, and 2023 being recorded as the slowest year for US home sales in nearly 30 years, the market is reshaping real estate once again. This time, it will likely again place buyers on the back foot, making 2024 another busy year ahead.
*Updated January 19, 2024