June 2011 was the month we were waiting for. Real estate professionals all over the U.S. were predicting that year-over-year sales from June 2010 would rise in June 2011.
In 2010, the Homebuyer Tax Credit ended in April, and at the time all under contract or pending properties were required to close by the end of June to qualify. The closing date was later pushed out to September, but in April everyone thought June 30 was the final date for the credit.
Which makes June and July 2011 interesting months to observe trends. In Denver, Colorado real estate, the trend is that closings are up, Pending and under contract properties are up and inventory is down.
Since May, 2011 our local Denver area residential real estate inventory has increased a little – just shy of 1%. But we’re still seeing a much lower number of homes on the market from this time last year.
Less available inventory theoretically translates to increasing prices. Historically low interest rates also historically work to firm up real estate markets. But since last year, prices are still dramatically down. From May, 2011 prices to see to be firming a little, increasing 3.62%.
The market is stable, sales continue, but prices will not increase as fast as Sellers would like. It will take many months to make back any losses, but if your goal is to buy or sell a home, there could be worse times. Last summer was much slower than this year, and Buyers seem enthusiastic about the prospects of owning a home in Denver!
To search for your next Denver home, go to www.GretchenRosenberg.com. Gretchen Rosenberg’s real estate and relocation web site.