In most parts of the country this summer, the concern is wages won’t keep up with the rising cost of housing (now the economy is headed back on track). In the Denver real estate market, however, there are simply not enough listed properties.
Signs that Balance is Being Restored Nationwide
Inventory of all property types rose 2.2 percent in June; with 2.30 million properties on the market. As of mid-July there was a 5.5 month supply, slightly short of the healthy balance between a buyer’s and seller’s market. Inventory rose 6.5 percent from June, 2013. A year ago, there were 2.16 million existing properties for sale.
Nationwide, year-over-year price gains have persisted for 28 months. In June, the median price was $223,300, 4.3 percent higher than a year ago.
Foreclosures and short sales declined four percent from a year ago, making up 11 percent of June sales. Fewer distressed houses on the market — with their discount prices — may account for the fact that first-time buyers represent only 28 percent market, a figure that is historically low.
But the Denver Real Estate Market Remains Tight
Despite hope that sellers would be enticed by rising prices, there is still only a seven week supply of inventory on the Denver real estate market, according to Kirby Slunaker, the CEO of Metrolist, who released the latest figures.
The bright spot for buyers is active listings increased 9 percent from May, 2014; in June, there were 9,163 active listings. Nevertheless, the June, 2014 inventory is down seven percent over a year ago, when there were 9,823 active properties listed on the Denver real estate market.
The number of sold homes increased in June to 5,854 — nine percent more than in May, 2014 and one percent more than a year ago in June.
Denver prices now outpace the national market considerably. The average sales price in June was $335,275. That is a five percent jump from June, 2013.
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