Denver-area Remains a Steadfast Seller’s Market in October.
The housing market continued to thrive in October, with a record-high for average sales price for both single-family detached and attached properties at $625,100 and $393,733 respectively, as well as a record-low of months of inventory at an astonishing 0.81. The effects of the COVID-19 months have again created historically low inventory with only 4,821 active listings, representing the lowest amount of active inventory for any October on record by nearly 2,000 listings.
Low Inventory Isn’t Halting Transactions.
The lack of inventory hasn’t slowed the actual process of buying and selling, with 5,984 closed transactions in October. With low interest rates and holidays around the corner, buyers are pushing budgets to find ideal homes. Detached closed properties were up 19.52 percent from September and up 32.15 percent year-over-year. With 1.88 months of inventory and median days in MLS dropping 8.33 percent to just 55 days, detached luxury homes firmly sit in a seller’s market.
Good News for Detached Luxury Homes Inventory.
Detached homes remain the preference for luxury buyers. While the Luxury Market firmly continues as a seller’s market, there is optimistic news for buyers as there are more detached home choices than last year with new listings up 14.62 percent. On the flip side, the attached Luxury Market is moving slower as buyers’ preferences lean towards detached homes. While there were 83.87 percent more listings this year than last year and 11.76 percent more listings than last month, the attached market is moving slower than the detached segment.
Don’t Count Out the Attached Luxury Market.
While the months of inventory is a stark contrast to the detached segment at 5.7 months, the year-over-year data proves new listings have steadily climbed from 233 in 2016 to 472 in 2020 and pending sales have climbed from 103 in 2016 to 247 in 2020.
*Written November 10, 2020. Updates may be available after this date.