What is happening to the real estate market year over year?
Data from 2022
- Sold data of the 8 county Denver area from 1/1/2022 to 10/10/2022
- 41,631 properties closed
- Sold data of the 8 county Denver area all of 2022
- 50,100 properties closed
Data from 2023
- Sold data of the 8 county Denver Metro area 1/1/2023 to 10/10/2023
- 33,217 properties closed
- Projected sold data of the 8 county Denver Metro Area for 2023
- 40,508 projected for 2023
Comparing Data from 2022 to 2023
- 19.1% lower number of closings in 2023
- 20.8% increase the supply and demand from 53 days to 64 days on the market today
- Inventory on October 10, 2022 was 7,325 properties for sale
- Inventory on October 10, 2023 was 7,174 properties for sale
- Today, inventory is 2.1% less than a year ago and that is why prices are not coming down proportionately to the reduction in sales. However, sellers will start to feel the pain and will start to reduce prices greater than 3 to 5% per price reduction or offer terms.
- Interest rates in October of 2022 was 7% to 7.25%
- Interest rates in October of 2023 was 7.95% to 8.25%
- Interest rates have risen 13.6% in one year
Incomes have not kept pace with prices of homes and interest rates and buyers are sitting on the sideline till a better time to enter the market.