Home Prices continue to rise as inventory sets another record low in the denver metro area
The average and median sold price of homes in metro Denver were up 11.84 and 10.07 percent year over year respectively, reaching $449,429 and $385,203 last month. Active listings in the residential market were at 3,869 total units in January, which established a new low for any January on record.
“2018 is off to another fast start with surging home prices and low inventory picking up where 2017 left-off,” said Steve Danyliw, Chairman of the DMAR Market Trends Committee and Denver REALTOR®.
According to Danyliw, housing inventory lows in metro Denver will not change until new listings significantly outpace under contracts. In January, homes under contract were almost the same number as new listings. This means that as fast as listings come on the market, they are placed under contract.
Digging into the numbers, in January sold listings decreased by 36.22 percent compared to the previous month and dropped 15.45 percent year over year. The condo market saw another large jump in days on market, increasing to 70 days compared to 37 days last January. The most active price segment for the single-family market continues to be $300,000 to $399,999, and $200,000 to $299,999 for condos. Months of inventory increased to 1.48 months for single-family homes and 1.25 months for condos. As we look at the single-family home market, the average sold price increased 1.44 percent month over month to $490,932, while the median price had a smaller increase of 0.24 percent to $416,000.
“Properties priced below $350,000 remain hyper-competitive with multiple offers being the expectation,” adds Danyliw. “When looking at the numbers, try to look for outside factors that may influence the movement of those figures. We are experiencing a mild winter, and this should increase homebuyer and seller activity.”
Our monthly report also includes statistics and analyses in its supplemental Luxury Market Report (properties sold for $1 million or greater), Signature Market Report (properties sold between $750,000 and $999,999) and Premier Market Report (properties sold between $500,000 and $749,999). In January, 95 homes sold and closed for $1 million or greater, down 26.36 percent month over month and up 14.46 percent year over year. The closed dollar volume in January for all luxury residential was $149,048,920, down 23.76 percent month over month and up 11.17 percent year over year.
The highest priced single-family home sold in January was $3,962,500 representing six bedrooms, ten bathrooms and 9,407 above ground square feet in Englewood. The highest priced condo sold was $3,100,000 representing three bedrooms, three bathrooms and 3,023 above ground square feet in Denver. The listing and selling agent for the condo transaction are DMAR members.
“The Luxury market is looking red hot as we head into 2018,” stated Libby Levinson, DMAR Market Trends Committee member and metro Denver REALTOR® “Sales of single-family homes are up over 10 percent from this time last year and condo sales are up over 44 percent. The sweetest thing to note is that the condo market is seeing a renaissance with the average days on market down over 64.44 percent from a steady 136 days on market, to just 85 days. Not to be outdone, single-family homes also saw impressive numbers with 82 sales and over $127 million in total sales volume, which is a 10.81 percent increase in sales from January of last year.”
Thank you to our partners at the Denver Metro Association of Realtors for compiling this information. Download their complete report.