All data taken from ReColorado, on May 15, 2019. Denver, Colorado.
What Happened in April 2019?
- May 2019 inventory of single family and condo rose 35.5% from a year ago. Total Active listings today is reporting 7,057 compared to 5,207 12 months ago.
- Interest Rates will rise approximately 1% from current rates of 4.25% toward the end of the year causing housing inventory to increase.
- Due to the shrinking of the buyer pool, the number of closed properties has decreased a modest .3% from April 2018. This is two consecutive years the number of sales has dropped year over year in April.
- The average price of a home in Denver today is $487,996 compared to $481,109 one year ago. A 1.4% increase year over year.
- The Days on the Market increase year over year as in April 0f 2019 is took 27 days to sell a home and one year ago was 20 days.
- The total number of sold properties in 2018 was 15,039 through April. In 2019 that number is 15,001 or a .3% decrease in Sales in 2019. Does this signify a buyer behavior pattern is starting to slow down their purchasing frenzy? Possibly, but watching this trend through the summer will most certainly give the prognosticators more data to predict the future.
- Average Prices continue to rise per year, but at a significantly lower rate. Some neighborhoods have out-performed the average increase of 1.4% YOY by a significant amount, specifically in the lower or entry level price points. As of today, there are only 30 single family homes for sale in the entire Denver market place below $250,000. Buyers are getting priced out of the market, which will slow buyer behavior down.
- Know the pricing of a neighborhood before getting into a bidding war
- The number of properties placed under contract in April 2019 is 6.2% more than April 2018, as a reduction in interest rate this first 4 months of 2019 has given buyers a buying power that they did not have in the last half of 2018.
- As buyer behavior buying patterns slow down, we will see inventory rise through the balance of 2019 and prices to level off. There is a sense in the market we are changing the market dynamics, but by all means, it remains favorable for sellers to sell their properties today and for buyers to be able to enter the market and still see normal appreciation levels of 3% per year for the next several years.
How Does 2019 Compare with 2018 through April?
What We See Happening in 2019 Real Estate!