Mar 01, 2016

Average Home Price 
& Monthly Housing Report

After a surge in home sales in December-January stemming from the end-of-year interest-rate hike, home sales dropped-off considerably (see chart, below). Because market inventory remains in short supply, however, there really wasn't much available to sell under 350k. So, reporting a decline in sales doesn't accurately reflect the current level of demand.

The continuing presence of multiple offers for affordably-priced homes is a much better sign of home shoppers being out in large numbers right now. They're all trying to get a jump on those expiring leases coming this Spring.

On a different note, there's a greater number of unsold homes available above the 400,000 mark. Days-on-the-market more than doubles in the higher price ranges, and that is reflected in some of the graphs, below: 1) Days On Market (trending up) 2) List To Sold % (list prices dropping) 3) Months supply (inventory rising). These graphs tell the other side of the story that Denver's entire housing stock isn't necessarily flying off the shelves, as the lower priced homes are. But, its not always so obvious when the media reports portrays just one segment of the market.

Another surprise from last month was that 'average home prices' came in flat or lower than the previous month. That was the case for both condos and single family homes. Unfortunately, when the higher and lower priced homes are all included in the same averages, it becomes clear that prices stalled so far in 2016. Hang on though, because I expect we'll see a lot of changes to these statistics just 30-days from now.

Till next month.

If you know of someone who needs to sell a home due to an estate, divorce, relocation, or other circumstance, please let me know. Call or email. I look forward to helping those you know, because they trust you and appreciate your referral. 

Average Home Price & Solds Graphs

Average Home Price, Inventory, & Days-On-The-Market Graph

Michael Dagner

Michael Dagner is a real estate professional in Denver, Colorado.