Buyer Activity Increased in October...

Persistent high mortgage rates and soaring home prices continue to exert influence on the Denver metro housing market. As of the end of October, the national average 30-year mortgage rate surged to a 23-year high, as reported by Freddie Mac. Concurrently, the median price for homes in the Denver area experienced a modest 2% uptick, reaching $580,000. Consequently, home sales faced a decline for the second consecutive month, with a 6% drop in the number of home closings compared to the previous year. Year-to-date statistics reveal a significant 19% decrease in home sales across the 11-county metro area compared to the same period last year.

In October, sellers in the Denver Metro added 3,803 new listings to the market, marking a 1% decrease from the previous year. The number of new listings also saw a notable 17% decrease compared to the preceding month.

On a positive note, buyer activity demonstrated a boost in October. The number of listings transitioning to Pending status in the MLS exceeded last year's figures by 1% and outpaced the previous month by 5%. These listings were successfully taken off the market within a median timeframe of 17 days. While listings are lingering on the market slightly longer, this has contributed to a gradual increase in inventory levels. By the month's end, there were 7,538 actively available listings for sale.

20 Tips Sellers Can Do For A Successful Open House

As the real estate market has continued to slow down, prospective home buyers are taking more time to shop before making the decision to purchase. As we head into the slower time of the year, homes are taking longer to sell and sellers are finding more competition with their home listing.

Open Houses are a wonderful service that Realtors provide sellers. It's a great way to showcase the property to multiple people at once. That being said, having your home prepared and looking its best is critical. 

Sellers can play an active role in making their home more appealing for open houses. Here are some top open house ideas for sellers to better showcase their homes:

The Final Stretch Of The Summer Selling Season

In August, the Denver Metro housing market experienced a continuation of recent trends. After reaching its peak in June, home prices in the area saw a second consecutive month of decline. The median closed price for a Denver Metro home in August stood at $582,700, representing a 1% decrease from the previous month, but still maintaining a 1% increase compared to August of the previous year. Despite this leveling off of prices, prospective buyers continue to face challenges related to affordability, primarily driven by persistently high interest rates.

The number of home closings in the metro area saw a slight increase from July to August, but it was notably down by 12% when compared to the same period the previous year. This drop in year-to-year closings was observed across all price ranges except for homes priced at $2 million and above, which experienced a remarkable 31% increase in closings compared to the previous August.

Inventory levels in August remained low, with a minor month-to-month increase in new listings entering the market. However, compared to the same time last year, there was a 7% decrease in the number of new listings. The number of listings pending sale, which provides insight into future closing activity, increased by 1% from July to August but remained 14% lower than the previous year.

The Real Estate Dog Days Of Summer 

Housing market activity within the expansive 11-county Denver Metro area demonstrated continued limitations during the month of July. Notably, the number of closings for pre-existing homes saw a significant decline of 14% in comparison to the same period the previous year. Such a decrease in closings during July is not uncommon due to the prevalence of summer vacations and the celebrated July 4th holiday. Furthermore, when juxtaposed with June's figures, an observable 12% reduction in closings was registered.

Reflecting on the financial aspect, the median price attached to homes within the Denver Metro area during July amounted to $591,200. This valuation represents a marginal decrease of less than one percent in contrast to the corresponding period of the prior year. Interestingly, despite witnessing a succession of five consecutive months with progressive month-to-month increases, the home prices experienced a 1% dip as they transitioned from June to July.

Analyzing the dynamics of potential home buyers, a slight decline in their activity manifested itself during the month of July. Evidently, the total count of listings that were in the process of pending sale amounted to 4,080, thereby reflecting a diminution of 3% in comparison to the analogous time frame in the previous year. Additionally, this figure registered a 1% reduction when measured against the previous month.

The Denver Metro area has experienced one of the wettest springs and summers in years. The amount of rain is a blessing but it can also wreak havoc on your home’s foundation.

Preventing water from accumulating around your foundation is essential to protect it from damage. Here are some effective ways to keep water away from your foundation:

Proper Grading: Ensure that the ground around your home is sloped away from the foundation. This means the soil should gradually slope downward, allowing water to flow away from the house instead of pooling around it.

Gutters and Downspouts: Install and maintain gutters around your roofline to collect rainwater and direct it away from the foundation. Make sure the gutters are clean and free from debris. Extend downspouts at least 5-10 feet away from the foundation to prevent water from seeping into the soil near your home.

Splash Blocks and Extensions: Use splash blocks or downspout extensions at the end of your downspouts to help carry water away from the foundation. These can be angled to guide water further away from your home.

French Drains: A French drain is a trench filled with gravel or rock and contains a perforated pipe that redirects groundwater away from the foundation. This can be particularly useful if your property tends to retain excess water.

Top Local Farmers Markets

Denver, Colorado and its surrounding metro area offer a vibrant and diverse selection of farmers markets. These markets are great places to find fresh, locally grown produce, artisanal foods, handmade crafts, and a lively community atmosphere. Here are some of the best farmers markets in the Denver metro area:

• Union Station Farmers Market: Located in the heart of downtown Denver, this market operates from May to October and features a variety of vendors offering fresh fruits, vegetables, meats, cheeses, baked goods, and more. It's known for its convenient location and the stunning backdrop of Denver's historic Union Station.

• Cherry Creek Farmers Market: Taking place in the upscale Cherry Creek neighborhood, this market is one of Denver's most popular and longest-running farmers markets. It operates from May to October and offers a wide range of products, including locally grown produce, artisanal foods, flowers, and specialty items.

• South Pearl Street Farmers Market: Located in the historic Platt Park neighborhood, this market runs from May to November and showcases a mix of local farmers, food producers, and craft vendors. It's known for its relaxed, community-oriented atmosphere and offers a variety of fresh produce, prepared foods, and unique crafts.

• Boulder County Farmers Market: Although not technically in Denver, the Boulder County Farmers Market is worth mentioning for its exceptional quality and vibrant atmosphere. Located in downtown Boulder, it operates on Saturdays from April to November and on Wednesdays from May to October. It features an abundance of organic produce, artisanal foods, flowers, and handmade crafts.

Selling Season Underway Despite a Few Challenges

In April, homeowners opted to stay put rather than sell their homes, resulting in controlled inventory levels. The number of fresh listings hitting the market decreased by 29% compared to the same time last year, and the total number of new Denver Metro listings year-to-date was the lowest in more than 12 years.

Despite a 7% decline in home prices from the previous year, the median closed price of a Denver Metro home in April 2023 remained 10% higher than April 2022, as high demand and low inventory levels kept prices from falling. However, due to a lack of inventory and higher interest rates, there was a decrease in the number of closings in April, which is usually the peak period of the spring buying and selling season. However, buyer activity increased by 12% month over month, and the number of properties leased using the REcolorado MLS increased by 58% compared to last year.

The $500-$600,000 price range saw the most buyer and seller activity in April, with 747 home closings and 851 new listings brought to market. Properties in this price range stayed on the market for a little over a week. Inventory levels at the end of April 2023 were 166% higher than in April 2022. Gross sales volume decreased by 31% compared to the same period last year, due to a decline in closings.

Things to Consider When Shopping For a Home When You Have Pets

Colorado has long been known as a big pet friendly state. Coloradoans love their furry kids. It’s no wonder why pets play such a big part when you're deciding what type of home to purchase.  

Here are some things to consider when purchasing a home with pets:

·        Outdoor space: If you have dogs, cats or any other outdoor pets, it's important to consider the size and layout of the outdoor space. You should ensure that there is enough space for your pets to play and exercise. Additionally, if the property has a fence, you need to check if it's secure and high enough to prevent your pets from escaping.

·        Flooring: Pets can cause damage to floors, so it's important to consider the type of flooring in the home. If you have pets that shed or have accidents, carpets may not be the best option. Hardwood, tile or laminate floors can be more durable and easier to clean.

Spring Buying & Selling Season Underway...

March 2023 Recap

The spring home buying and selling season in the Denver Metro area has begun, with an increase in fresh listings of homes for sale and closings, according to REcolorado data. Homes are spending 16 fewer days on the market compared to last month. Buyer demand has increased in the first quarter of 2023, leading to a 5% increase in median closed prices for Denver Metro homes since January.

Pricing homes competitively is crucial in the current market, as 33% of all listings that closed in March had a price decrease. These homes closed at 90.5% of the asking price, while the original list to close price for all closed homes was 99.4% in March.

Rental market activity has also seen an increase, with 75% more new rental listings available in REcolorado MLS in March compared to last year. There was a 68% year-over-year increase in the number of leased properties, with the median leased price being 2% higher than last year.

Spring Buying & Selling Season Set to Start

The Denver Metro housing is seeing the typical increase in activity as the spring buying and selling season is set to kickoff. This year is no different. The data shows a 20% increase in new home listings brought to market from January to February. There were also 31% more closings during that same timespan. 

We also saw an increase in pending listings which is a good indicator how the next few months of closings will go. 

Buyer Outlook

Buyer activity showed the typical seasonal increase with many buyers trying to get a jump start on the busy spring buying and selling season. There were 18% more pending home sales then January. However, due to high interest rates and higher prices that number is still below other years. 

Forecast for Sellers

Available home inventory concerns will continue in 2023 as many sellers are in the "Lock-In" effect. Many sellers are not wanting to give up the lower mortgage rates that have on the home. Most are waiting to see what interest rates will do before they decide to list. This caused the number of new listings coming to market to be the lowest since February 2010. 

One positive note is after four months of declines in home values the median home price increased by 4% from January to February. Home values are down overall by 3% compared to this time last year. 

February 2023 Real Estate Report

February 2023 Market Watch Full Report

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