2023-04-05 07:00:00
Home prices have dropped from this time last year.
Kevin J. Beaty/Denverite
Apr. 05, 2023, 10:58 a.m.
Denver realtors are giddy that Denver has shifted back to a seller’s market — though prices are lower than they were at this time last year and more homes are on the market.
That’s according to the Denver Metro Association of Realtor‘s monthly market trends report that looks at home sales in the 11-county metro area: Adams, Arapahoe, Boulder, Broomfield, Clear Creek, Denver, Douglas, Elbert, Gilpin, Jefferson and Park.
So how are homes priced these days?
Currently, the median home price — including both houses and apartments, condos and townhomes — is $565,000. That’s down 6.15% from this time last year. Quick refresher: Median is the middle number in all available home prices — a more accurate measure of how much most homes are than average.
Homes are staying in the market for an average of 37 days. Last month saw 3,790 closed home sales, which is down 21.24% from last year.
The median stand-alone house price is currently $620,000, and the median attached home (think condos, townhouses, and duplexes) is $405,750.
Last year, buyers were paying well over asking price. Now, they’re making offers closer to asking price.
“The spring market is here and is outperforming expectations,” noted Libby Levinson-Katz, the chair of the Denver Metro Association of Realtors Market Trends Committee. “Interest rates began their steep upward climb last May, with the real estate market feeling the slowdown acutely by fall. Heading into the New Year, expectations were conservative with the prediction that the spring selling season would be calmer than in years past with slower appreciation and longer days on the market. However, low inventory coupled with continued buyer demand resulted in a stronger start than predicted for the Mile High City.”
Realtors are reporting a “hectic” number of showings — even during spring break season, when they typically slow down, Levinson-Katz said.
Finding a home to buy is particularly tough for Denver’s workforce.
In the so-called “Classic Market” — homes priced from $300,000 to $499,999 — “inventory remains tight,” noted William Maine, a realtor on the Denver Metro Area Realtors Market Trends Committee.
“Price appreciation has caused inventory of homes under $500,000 to plummet,” Maine added. “Low inventory and strong demand are likely to be the Classic Market norm.”
That means middle-class people and those making even less will find it continuously tough to own a home. With high rents, that means many will continue to be forced to leave Denver or tap into public assistance programs.
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