Colorado Real Estate News

Denver Market Trends

June 2022 demonstrated how sellers and buyers continue to adjust to the economic factors at hand.
As month-end active inventory continues to increase, the Denver Metro hit a new record for the average price of attached properties at $504,193 and $810,415 in detached properties. At the end of June 2021, Denver Metro ended with 3,122 properties, 2,137 detached homes and 985 attached on the market. DMAR reported it has now almost doubled that amount over the year, with a total of 6,057 properties, 4,684 detached homes and 1,373 attached, currently sitting on the market.

Buyers are feeling the woes of the economy.
Many first-time homebuyers who were initially pre-approved towards the beginning of the year with a specific interest rate decided to wait to buy until it wasn’t as competitive. But, when they restarted their search in May, they found that it was with an increased interest rate.

A summertime increase in inventory is part of the normal seasonality of the real estate market.
However, with the 65.85 percent increase in inventory compared to the previous month, Denver Metro should expect more balance as prices appear to be stabilizing. This was reflected in months-of-inventory, which is now at 1.19, the first time it has been above one in months since June 2020, but well below the 4-6 months-of-inventory of a truly balanced market.

The Luxury Market homes also saw an adjustment as the Denver Metro hit the midway 2022 point.
While all other pricing segments saw double-digit increases in new listings, there were more new listings in June for the Luxury Market but only a 6.82 percent increase. The impact on the shifting market can be seen most clearly by looking at the pending sales numbers. The number of pending sales of detached homes dropped 21.87 percent month-over-month.

Attached home pending sales were down 42.86 percent from May but closed sales increased 11.11 percent month over month.
While some prices are adjusting, the overall demand is still historically low, resulting in a more gradual change. The amount buyers paid over the listing price for detached homes also dropped from 107.11 percent in May to 103.85 percent in June and from 104.39 percent in May to 102.65 percent for the attached Luxury Market. Altogether, the amount buyers paid over the listing price dropped from 106.85 percent in May to 103.71 percent in June. That means, on average, they still paid above the list price and more per square foot. The attached home has the highest above asking price of all of the market segments.

*Updated as of July 13, 2022

Colorado Real Estate News

Northern Colorado Market Trends

The Northern Colorado market continues to react to economic factors in June.
Fort Collins saw the most inventory on the market since September 2020, suggesting buyer demand has decreased a bit in the current climate.

Fort Collins detached homes sold for a record-high median price of $720,960.
In comparison to 2021, that is a 24.30 percent increase, up from $580,015. Fort Collins detached homes on average sell after 32 days, which is not much from this time last year when it was 26 days on the market but is a lagging indicator that suggests days on the market will grow. 226 detached homes sold in June, down from 266 last year, however, the sales volume was up 5.61 percent. Attached homes in Fort Collins saw a similar story, with 81 condo and townhome sales in June versus 123 in June 2021, down 34.15 percent.

Berthoud saw a significant increase in their detached homes price average.
At $712,956 in June 2022, this was a 24.59 percent increase from 2021 when it was $572,224. Likely impacting this
number some is that 52 detached homes were sold in June 2022 versus 45 in June 2021.

Meanwhile, Timnath saw another substantial decrease year-over-year in detached homes sold.
Timnath’s detached market went from 42 homes sold in June 2021 to 21 homes in June 2022, a 50 percent
decrease. In its attached market, however, Timnath experienced a substantial increase at 11 versus 1 in June 2022, a 1000 percent increase. All together, Timnath had 32 total sales for the month.

Boulder saw a substantial decrease in sales volume year-over-year, signifying the changing market.
In the detached market, the total June sales volume went from $218,473,943 in June 2021 to $161,868,300 in June
2022, a decrease of 25.91 percent. The condo and townhome attached market saw a decrease in sales of 23.16 percent from 95 in June 2021 to 73 this month.

Loveland saw a decrease as well in detached average home sales.
In Loveland’s detached market, residents saw 160 sales in June 2022 versus 205 in June 2021 with the average sales price for a detached home climbing from $515,779 to $585,152.

*Updated July 8, 2022.

Colorado Real Estate News

Northern Colorado Market Trends

The Northern Colorado market shifted in June.
If you’re thinking of buying or selling a house, there are interesting opportunities. 

Fort Collins detached homes sold for a record-high median price of $705,341.
In comparison to 2021, that is a 16.81 percent increase, up from $603,815. Fort Collins detached homes on average sell after 30 days, down slightly over the last couple months. 206 detached homes sold in May, down from 237 last year, however the sales volume was up 1.53 percent, emphasizing the increase in prices. Attached homes in Fort Collins saw a similar story, with 80 condo and townhome sales in May 2022 versus 98 in May 2021, down 18.37 percent. Sales volume has decreased in the attached market 25.91 percent year-over-year from $44,488,318 to $32,961,610. 

Average days on market increased significantly year-over-year for detached and attached homes in Berthoud.
Berthoud’s detached market experienced a 20.31 percent increase from 64 days in 2021 to 77 days in 2022, and its attached housing market saw a dramatic increase of 93 days in 2021 to 248.

Meanwhile, Timnath saw another decrease year-over-year in homes sold.
Timnath’s detached market went from 32 homes sold in May 2021 to 15 homes in May 2022, a 53.13 percent decrease. In its attached market, Timnath also experienced a slight decrease in home sales at 7 versus 5 in May 2022, a 28.57 percent decrease. All together, Timnath had 20 total sales for the month.

Boulder saw a slight decrease in sales volume year-over-year s, signifying a changing market.
In the detached market, the total May sales volume went from $174,801,836 in May 2021 to $171,474,892 in May 2022, a decrease of 1.90 percent. The condo and townhome market saw a more dramatic decrease of 23.23 percent in sales volume from $51,116,023 to $39,243,285.

Loveland saw a massive increase in detached average home sales.
In Loveland’s detached market, residents saw 165 sales in May 2022 versus 151 in May 2021with the average sales price for a detached home climbing from $545,860 to $619,888.

* Updated June 8, 2022. 

Colorado Real Estate News

Northern Colorado Market Trends

While inventory is on the rise in Northern Colorado, so are prices.

With consecutive months of increased prices and interest rates, a buyer’s monthly mortgage has likely increased as well.

Fort Collins detached homes were selling for a median price of $707,461, up from last month’s $676,008.

Fort Collins detached homes, on average, sell after 33 days on the market compared to 29 days last year. There were 169 detached homes sold this April, down from 191 last year, meaning sales volume was down 11.52 percent. Attached homes in Fort Collins saw a similar story, with attached homes at 74 sales in April 2022 versus 102 in 2021. Sales volume saw a decrease of 13.16 percent, from $35,384,395 to $30,729,309.

Average days on market decreased year-over-year for detached and attached homes in Berthoud.

On par with previous months, Berthoud’s detached market experienced a 17.07 percent decrease from 82 days in 2021 to 68 days in 2022, and its attached housing market saw less of a dramatic decrease but still experienced a decrease as well.

Meanwhile, Timnath’s detached homes experienced only 17 sales versus 26 in April 2021. 

Like last month, this was almost a 35 percent decrease. In its attached market, Timnath saw more sales than this time last year at six versus three in 2021.  Altogether, Timnath had 23 total sales for the month, versus 18 last month.

Boulder saw a large decrease in days on the market in detached and attached homes.

In the detached market, days on the market went from 60 in April 2021 to 39 in April this year. The attached market was similar with days on the market dropping from 57 to 29.

Loveland saw a drop in detached sales due likely to seasonality but continues to show its desirability.

In Loveland’s detached market, residents saw 122 sales in April 2022 versus 172 in April 2021. However, the average sales price for a detached home rose from$478,587 to $621,626. Meanwhile, their attached market saw a 19.46 percent increase, similar to last month, from $348,071 to $415,813 in April 2022.

*Written May 8, 2022. Updates may be available after this date.

Colorado Real Estate News

Denver Market Trends

While inventory is on the rise, so are prices.

The average price of a single-family detached home in Denver Metro is $825,073, which represents a 3.93 percent increase from April. With consecutive months of increased prices and the recent uptick in interest rates, a buyer’s monthly mortgage has increased as well. The average close-price-to-list-price ratio in April for the detached market was 107.29 percent. The close-price-to-list-price ratio shows that a month ago buyers were still bidding prices up an average of 7% above list price.

Sales velocity, closed sales versus month-end active inventory, is evidence that demand remains high.

Because of this, statistics like average sales price are affected. The most significant factor influencing the supply and demand this month is interest rates. Many homeowners refinanced over the past two years due to low-interest rates at the time. Now rates are hovering around five percent, providing those homeowners minimal financial incentive to move. Moving has become more influenced by a lifestyle or employment change.

Increased interest rates are impacting inventory.

While Metro Denver still has relatively low inventory, it’s no longer historically so.  There were 610 fewer properties on the market last year compared to today. The market usually sees an 8.59 percent increase in month-over-month inventory this time of year. This month, it saw a 44.26 percent increase. Providing hope to buyers.

In the Luxury Market, inventory is also on the rise.

There was a 57.65 percent increase in new listings from this time last year. However, as a result of inflation, more homes will cross the threshold into the Luxury Market simply due to list price or more likely due to bidding wars that can end 20 percent or more over the asking price.

In part due to seasonality, new listings for detached homes rose 26.62 percent from last month. 

This is a 63.73 percent jump from last year for new listings. Pending sales rose 27.15 percent to 562 properties and 599 closed homes, a 17.91 percent increase from last month. 

*Written May 6, 2022. Updates may be available after this date.

Colorado Real Estate News

Denver Market Trends

Inventory growth in the Luxury Market.

Buyers in the Luxury Market should be pleased to see the largest rise in inventory of any price point. With a 58.22 percent increase in the detached market and a 60.53 percent increase in the attached market for homes available for purchase from February to March, buyers in the $1M+ range should be relieved from a historically tight market. But bidding wars have continued with the average luxury home price increasing 7.8 percent month-over-month with an average of 7.66 percent of homes going over list price.

Sales prices continue to grow.

With average sales price reaching $705,812 and month-end active inventory growing 81.16 percent from February to March, demand may decline due to increased interest rates. 995 listings hit the market at the end of the month which might have the potential to aid in balancing out supply and demand. This 43.7 percent increase will serve to balance the accelerated price appreciation that has recently taken place in the market.

Sellers need to stay grounded.

As homes continue to sell for over the asking price, sellers need to keep in mind that buyers can sense when a home is worth less than what is listed and this is expected to be reflected in the market. With rising prices, buyers will feel the market is reaching its peak and wait till prices stabilize.

*Written April 6, 2022. Updates may be available after this date.

Colorado Real Estate News

Northern Colorado Market Trends

North Colorado Market Saw a Decrease in Homes Sold Across the Board. BUT…

Don’t be fooled. Median home prices still increased as we head into our spring market.

Fort Collins detached homes were selling for a median price of $676,008.

Fort Collins detached homes on average sell after 35 days on the market compared to 47 days last year. There were 146 detached homes sold this March, down from 191 last year, meaning the sales volume was down 14.14 percent. Attached homes in Fort Collins saw a similar story, with attached homes seeing 39 sales in March 2022 versus March 2021 at 75. Sales volume saw a decrease of 33.05 percent from $26,745,304 to $17,905,085.

Average days on market decreased significantly year-over-year for detached and attached homes in Berthoud.

Berthoud’s detached market experienced a 32.35 percent decrease from 68 days in 2021 to 46 days in 2022, and its attached housing market saw less of a dramatic decrease but still experienced a 6.06 percent decrease from 99 to 93.

Meanwhile, Timnath saw another drastic decrease year-over-year in homes sold.

Timnath’s detached market went from 25 homes sold in 2021 to 15 homes, a 40 percent decrease. In its attached market, Timnath also experienced a drastic decrease in home sales at 39 versus 138 days in March 2021, a 71.74 percent decrease. All together, Timnath had 18 total sales for the month.

Boulder unsurprisingly saw a large increase in sales volume year-over-year in detached and attached homes.

In the detached market, the average sales price climbed from $1,450,421 in March 2021 to $1,732,282 in March 2022, an increase of 19.43 percent. The attached market saw an increase of 30.28 percent from $557,559 to a staggering $726,390.

Loveland saw a massive drop in detached sales but continues to show its desirability.

In Loveland’s detached market, residents saw 100 sales in March 2022 versus 175 in March 2021. However, the average sales price for a detached home rose from $9,100,750 to $11,901,786. Meanwhile, their detached market saw a 19.94 percent increase from $457,107 to $594,958 in March 2022.

*Written April 6, 2022. Updates may be available after this date.

Colorado Real Estate News

Northern Colorado Market Trends

February 2022 NoCo Market saw low inventory and shorter days on the market.

Hyperactive buyer demand was in full swing for the February NoCo market.

Fort Collins detached homes were selling for a median price of $671,174.

Detached homes sold on average after 29 days compared to 36 days last February, with sales volume increasing to $69,130,943, a 3.81% increase. Meanwhile, attached homes sold on average after 35 days on the market versus 58 in 2021, a 39.66 percent decrease. Sales volume for attached homes decreased from $23,268,668 to $20,017,854 but likely due to only 52 homes being sold in February 2022 versus 63 in 2021.

37 detached and attached homes sold in Berthoud in February 2022.

Berthoud’s detached market saw 30 homes go under contract in February 2022, a 9.09% decrease from February 2021, and its attached housing market saw 7 homes sold, a 250% increase from 2 last year.

Meanwhile, Timnath saw another decrease year-over-year in homes sold.

Timnath’s detached market went from 28 homes sold in February 2021 to 18 homes, a 35.71 percent decrease. In its attached market, Timnath also experienced a decrease in home sales at 2 versus 5, a 60% percent decrease, with sales volume in the attached marketing dropping from $1,849,690 to $919,485, a 50.29% decrease.

Boulder saw a pretty notable drop in detached and attached homes sold in February 2022.

In the detached market, only 52 homes were sold, down 27.78% from 72 in 2021, with sales volume dropping to $87,785,312 from $95,314,432 in February 2021. Days on the market for detached homes also notably dropped from 69 in 2021 to 39. In the attached market, sales were down from 83 in February 2021 to 53, a 36.14% decrease, with sales volume also dropping from $47,429,028 to $38,421,109.

Loveland also experienced ongoing inventory woes, in both detached and attached markets.

In the detached market, 84 homes were sold, down 22.94% from February 2021. The attached market was down 35%, with only 13 homes sold in February 2022.

*Written March 7, 2022. Updates may be available after this date.

Colorado Real Estate News

Denver Market Trends

Lack of inventory and sales in 2022 lead the market narrative.

In 2022, the market has seen a 12.44 percent decrease in listings from last year. In February of 2021, 8,761 properties hit the market, and currently only 7,617have this year. With a compounding effect of low supply and a surplus of buyers, not only has there been a 13.31 percent decrease in closed properties but with prices rising exponentially, there’s been an unprecedented close-price-to-list-price ratio of 104.75 percent. 

The Luxury Market is staying strong.

February continued to be a great month for the Luxury Market. Over this past month, sales volume for detached homes has increased 43 percent, while attached homes grew over 32 percent. Not to mention there have been 114 new listings of $1 million dollar homes since February, but as demand continues to rise those listings will be closed shortly. In February, 97 percent of new listings went under contract, and the Luxury Market has less than two weeks of inventory for both attached and detached homes.

Pandemic stresses supply chains while demand hits an all-time high.

The Luxury Market could feel the impacts of the Russian Invasion of Ukraine. As a result, more people will begin to sell stock to purchase a new luxury home, but with the volatility of current financial markets, many new home buyers may reconsider. With increasing interest rates, market instability and inflation, this may be the best time to capitalize if you are in the luxury home market.

Attached and detached homes leaving MLS quickly.

Most attached and detached homes will go under contract within the first week of hitting the market. In fact, the median days that detached homes spent in the MLS was around five days with attached homes being even less with just three. Last month, the close-price-to-list price was up 3.61 percent month-over-month and up 5.84 percent year-over-year. For attached and detached homes over $1 million, new listings shot up over 17 percent.

*Written March 4, 2022. Updates may be available after this date.

Colorado Real Estate News

Denver Market Trends

New historic inventory lows hit the market in January 2022. 

While traditionally the market sees a 70 percent increase in new listings from December to January, the market ended down 17.77 percent in new listings compared to 2021, a 31.04 increase from the previous month. Likewise, the market ended with month-end active listings at a historic low of 1,184.

Last year at this time, there was little inventory. This year, there’s nearly half as much at 48.88 percent less.

This will likely translate to fewer homes being bought and sold over the course of the year as there is less to choose from in the Denver Metro area, inciting the continuation of extreme bidding wars.

In the Luxury Market, buyers and brokers ask whether $1 million is really considered luxury at this point.

The average sales price for the Luxury Market remains at $1.6 million, and it has been for many years. In 2014,  the average price for a single-family home was $380,848 and the average price for an attached property was $238,229. Today, the average sales price in Denver for a single-family home is $689,711, and $450,244 for an attached home, and the average for the Signature Market is in the mid- $800,000’s. 

Inventory for the January Luxury Market was up exactly 100 percent for luxury detached homes, and up 82.61 percent for luxury attached properties. 

It didn’t take long for all that inventory to go though, as 43.48 percent of the detached luxury homes and 19.35 of the attached luxury homes went under contract. 

While Denver Metro had more inventory, the sales volume was down for detached and attached segments. 

The luxury detached sales volume was down 49.86 percent from the prior month and 11.78 percent from one year ago, as Denver saw 47.29 fewer luxury properties close from the prior month and 9.51 percent from this time last year. The attached luxury sales volume was down 48.23 percent and had 55.36 percent fewer luxury condos sold from the prior month and 13.79 percent from one year ago.  

*Written February 7, 2022. Updates may be available after this date.