Denver Metro Inventory & Price Changes
Below is an article giving information
about how eclectic the Metro Denver housing market has become.
Today, I personally experienced the low end market, between $85,000 to $135,000. I wanted to look at two homes that were on the market ONLY 3 days. BOTH of these homes already had MULTIPLE offers that were ABOVE the listing price. So the figures below are TRUE, and as is stated below, Prices in Denver are going up, and in the lower end homes,
it is NO LONGER a Buyers Market in this price range.
Here’s something many people don’t know – the inventory of homes for sale in the Denver metro market is at a 10 year low! Most of our clients still think it’s a strong buyer’s market and that they can get a great discount on a property with little effort. But the market has changed radically in the past year and this is no longer true. We have 5.5 months of inventory, overall, but the amount of inventory is highly dependent on the price of the home. For example, there is currently only 4 months of inventory of homes under $85k. Stepping up to the $85k - $135k price range there’s even less inventory – 3.6 months! Even in the $210k - $315k price band there is only 4.9 months of inventory, still a buyer’s market ? Not hardley
Supply and demand being what they are, the one year change in home prices correlates perfectly with the supply of homes. At the low end, prices have surged up 19% in the past 12 months! The shortage of inventory has, and likely will continue to drive up prices of entry level homes. On the other hand, in the $460+ market where there is still 10.9 months of inventory, prices have fallen 13%. High end homes, suffering with too much inventory, continue to see price declines.
I also want to share more personal experience. My husband and I purchased a home in the Berkeley Subdivision. We purchased it for $143,000, gutted it down to the studs ! Cost of renovation was around $53,000. It recently appraised at $245,000. Yes…. I said $245,000, that is a $49,000 profit !! So, there are still great deals out there, BUT it takes a lot of time and effort to find them. These kind of deals are no longer a dime a dozen, and very unlikely you will find them on your own.
This shows that the Metro Denver housing market is VERY ECLECTIC. I would be happy to consult with anyone who is interested in buying or selling a home. My ability of accessing information about individual neighborhoods is a crucial part of what makes me a Real Estate Consultant, not JUST a Real Estate Agent. Please feel free to Denise Wambsganss – Realtor – Your Castle Real Estate 303-880-8771 or email me at firstname.lastname@example.org