Home sales in the Denver metro area hit near record levels in November, according to the latest REcolorado announcement.
REcolorado, which offers monthly statistics on the Denver housing market, reports that 4,400 homes sold in November. This represents a 10% jump over last November and the second highest sales level in the 26 years since REcolorado has been issuing its reports.
Kirby Slunaker, president and CEO of REcolorado, attributed the strength of sales to continued demand “brought on by population growth, a strengthening job market, and interest rates that are holding steady.”
The numbers, he added, bode well for the future. “Having a November with strong sales numbers like these is a good indicator that 2017 will continue to be very active.”
While sales were high, inventory remained challenging. New listings were up 10% from November of 2015, but they dropped significantly—23%—from October. Active listings were down 3% from this time last year and 15% from October. A decline in new listings is typical for the season.
Denver’s sales boon is being reflected across the country: The number of new mortgages issued to Americans rose dramatically in the third quarter of this year, according to Fortune magazine. Fortune notes that total mortgage debt grew 1.9% in the third quarter—the highest jump since the third quarter of 2008. Additionally, the National Associations of Realtors reports that existing home sales rose almost 6% in October of this year over 2015.
In another sign of the growing strength of the national housing market, prices continue to rise in many areas of the country – and particularly in Denver, where the average sold price of a single family home hit $400,349 in November. According to a new study by American City Business Journals, Denver ranks second only to Austin, TX, for home appreciation. Austin home values have risen a whopping 64.9% since 2006; Denver’s values have also increased dramatically—by 45.5%— in that same time period.