Even with the deep freeze across much of the country and Punxsatawney Phil predicting a longer winter, prospective home buyers and sellers are very active and looking forward to spring.
All stats below are based on End of Month in December vs January:
Homes on the market – 2,655 vs 2,439 (down 8%)
Median days on the market – 6 vs 6 (same, average days 26)
New homes on the market – 2,934 vs 4,084 (up 39%)
Homes sold – 4,943 vs 3,069 (down 38%)
Inventory in the 10-County Denver Metro fell for the 9th straight month in January. The percentage of homes that had been on the market for 30+ days and 60+ days dropped to 45% and 35% respectively, meaning there are fewer stale listings for buyers and their agents to sift through. Home sale volume dropped almost 40% from December but the median sales price remained steady at $455,000.
What if I’m a seller?
Even in such a strong seller’s market it’s still very important to price your home properly. About 75% of homes are going under contract within 14 days of hitting the market. It is likely that buyers and their agents will ignore your property if it sits on the market longer than 2-3 weeks even if it is a flawless home in a great neighborhood. If you’re thinking about selling within the next few months, there’s no reason to wait until March or April; list now to cash in on historically low inventory and near all-time high prices.
Here are a few blogs that might help you as a seller:
What if I’m a buyer?
With so few homes on the market, buyers need to be aggressive to get under contract. It isn’t uncommon for homes to receive multiple offers and sell for 5-10% over asking price right now. Buyers that are financing their new homes are often including appraisal gap coverage in their offers in order to compete with cash offers (that don’t require an appraisal). The good news is that we didn’t see any low appraisals in the entire month of January, which means buyers who opt to cover potential appraisal gaps are unlikely to be on the hook to bring extra money to the table. There are several lenders popping up in Colorado that are allowing buyers to write cash offers in order to compete with all of the other cash buyers out there. Please let your agent know if you’d like to learn more about one of these innovative companies.
Here are a few blogs that might help you as a buyer:
And always remember, if you buy with us, we split our buyer’s agent commission with you and give you back up to $6,000, and if you sell with us, we give you comprehensive, expert service for a low flat fee. And if you plan to move or have friends in other states, Trelora is now open in Atlanta, Charleston, Charlotte, St. Louis and Tucson (of course, along with Denver, Phoenix, Raleigh and Seattle). In the meantime, please stay healthy and safe.
Trelora – Denver