Has Corona virus affected the Colorado real estate market? What are the facts?
Updated: May 18, 2020
With all the doom and gloom in the media right now it's really hard to know what to do in the current real estate market. At Falko Realty we have gotten a lot of questions about what we think is happening in the current market. We will be the first to tell you that we cannot predict the future. Any real estate professional that claims they know what is going to happen is misleading you. What we can tell you is what is happening right now and what the current trend is. This way you can make informed decisions on what is right for YOU. That being said here is what is happening in the Denver metro market and what it means for you.
Here is some data from Denvers MLS - RECOLORADO. What does this tell you about the overall market as of April? Remember when we talk about these numbers we were all on stay at home orders and could not show homes. So now that in person house showings are allowed we are hoping to see an up tick in buyer actions.
Sellers: Inventory is down by 10.5% compared to last year and new listings to the market in the area are down 36.7%! This means you have a better chance of being seen. Now the other positive is that home values are still rising! Up 1.2% on average. Infact 99.8% of the homes sold in April got the listing price! Better yet in april homes were going under contract 6 days faster than last year at 25 days on market average. Now for the bad news Pending listings-meaning under contract, are down 47.3%. That means there are not as many buyers out there taking action as April last year. It should be noted that year to date sold homes are only down 2.4%. So overall one could deduce that home prices are good, inventory is down, and homes are selling quickly, but there may not be as many buyers out there.
Buyers: As with sellers inventory is down. So your choices will be more limited than last year. Limited being 9,516 options. Home values are still going up year to date they are up an average of 4.1% The pandemic does not seem to have hurt the overall market value. How long this would continue is anyone's guess. With interest rates being what they are, homes are more affordable.
---It should be noted that location, price, condition of a property will affect how a house will be in alignment with these data points. If you have questions about a specific city, Neighborhood, or house please give us a call at 303-222-0058 or email us at email@example.com and we can give you more targeted information and analysis to help you with your home buying and selling decisions.
The overall message is that the Denver metro real estate market is alive and well. Closed listings year to date are only down 2.4% with a pandemic and stay at home orders in place. It is our opinion that the market is doing just fine and all the worry is speculation. Do remember we all have our opinions and none of us have crystal balls. Stay informed with the facts and make the best decision for you on your next real estate transaction. As always the Falko family of brokers are here to help you.