Woah…that’s about sums up the fall market in Denver! Between elections, covid, and, well 2020 as a whole, Denver’s real estate market seems to be blissfully unaware of what’s happening around us!
The housing market is stronger than ever! With inventory at a record low, average home prices jumping to the highest ever, and incredible interest rates, it’s no surprise that the market remains heavy on the seller side. With active listings down over 9% from last month and the average single-family home price just over $625,000, I can personally speak to the high level of competition, multiple offers, and well over asking prices that we are seeing.
For all my buyers, I feel for you! With a lack of inventory, be prepared to get your offer battle pants on. And sellers, while getting multiple offers is beyond exciting, you’ll want to make sure you look at all the details that make one offer better than another.
What I find most interesting is the months of inventory in each price range. A balanced market, meaning there is equal demand between both a buyer and a seller, is usually around six months of inventory. The $400-$499K price point has the lowest months of inventory, at only .30, which less than 2 weeks!
Now, let’s talk luxury! The $1M+ price point saw an enormous jump in closed sales over the previous months, with over 19%. I would guess that with being home, holidays, and interest rates, this opened more buyers up to the possibility of more space!
So what do we take away from this? To all my buyers, be ready to act fast with killer contract terms. Having a clean offer, tight deadlines, and various clauses can make your offer shine just a bit brighter than the others. Working with an experienced buyers agent is VITAL to ensure you’ve got the best shot possible!
Sellers, get ready to be wowed! You’ll want to pick apart each offer, make sure the buyers are working with a great lender, and hope that they can live up to their contract terms! And even still, in such an aggressive seller’s market, it’s more important than ever to have a Realtor who knows their stuff! Reading through 20+ contracts, all while looking for all the right terms, can overwhelming!