Summer Days Slowly Dwindle Down Nudging Residential Pricing in the Same Direction

Summer Days Slowly Dwindle Down Nudging Residential Pricing in the Same Direction

Summer Days Slowly Dwindle Down Nudging Residential Pricing in the Same Direction

The August market statistics are in, and as a member of the Denver Association of Realtors®, one of my insights published in this month’s report states:

Sellers who missed the seasonal summer peak had to adjust and buyers are starting to negotiate, which is resulting in sellers becoming more realistic with pricing.

Falling average and median residential sold prices for the month of August confirm this observation with a decrease of 2.75% and 1.3% respectively. If you’re in the market to buy, now may be the time to clinch a lower-than-asking-price deal. Keep in mind that even though prices dropped slightly over last month, the average sold price of $434,478 is still trending upward year-over-year by more than 8%.

New condo development sales are starting to open up creating an uptick in active inventory with nearly 5% more listings than last month and 17% more compared to the same period last year. But, with an increase of over 10% in average sold price from August 2016, buyers aren’t snatching them up as quickly as in the past — at this time a year ago, condos were selling a whole 12 days faster.

Looking forward, a glimpse into the future health of the Denver housing market can be provided by anticipating events that will most definitely affect the local economy, as I noted in the DMAR report:

Multiple businesses are still looking at Denver to relocate their headquarters including Vertafore, Xero, DaVita, RLH Corporation, Whole Foods Market, and BP Lower 48. This will continue to strengthen not only Denver’s job market, but its housing market as well.

As these companies settle in and attract new talent, an influx of fresh Denver transplants is likely, and we’ll experience the effects of supply and demand on the housing market firsthand. If builders and sellers can’t stay apace with incoming demand, the price of existing inventory will continue to rise. As long as salaries rise proportionally, which is highly probably any time large or growing companies set up shop, there’s no reason to fear a housing bubble.

Are you moving to Denver for a new job opportunity? We can help you find a house where you’ll quickly feel right at home! Give us a call at 720-935-0412 or fill out our contact form.

In case you missed it, here’s our “We Are Denver” Commercial. 

Note: All data, unless otherwise stated, has been sourced from the September Denver Metro Real Estate Market Trends Report compiled by the Denver Metro Association of Realtors and includes 11 counties: Adams, Arapahoe, Boulder, Broomfield, Clear Creek, Denver, Douglas, Elbert, Gilpin, Jefferson, and Park.

Libby Levinson
Libby Levinson
Libby Levinson made the move into real estate in 2005 and proudly joined Kentwood Real Estate – Cherry Creek in 2006. During her career, Libby has had the pleasure of helping a variety of clients navigate their real estate transactions: helping first-time buyers find their starter home; coordinating the synchronized sale and purchase for buyers looking for more space; sellers looking to down-size; and assisting sophisticated investors with their next investment opportunity. She has also enjoyed working with buyers building their dream home from the ground up. Libby is known for her ability to smoothly facilitate the complex details of both the buying and selling process. Libby’s real estate website is www.libbysellsdenver.com. She also writes for www.lifestyledenver.com.