Highlights of the Denver metro real estate market update — July 2017
The Denver metro real estate market was quite hot the first 6 months of the year. July’s data shows the shift we expected toward a cooling market (relative to recent months, we’re still in a very tight inventory market). The DenverPost published an article recently further highlighting this market shift (read Denver home sales and prices drop in July, putting area brokers on alert). Here are some of the highlights from July’s data:
- Detached single family active units with a large bump to 5,112 available homes for sale which is an increase of +7.3% over the previous month. Attached single family reported an increase of +5.0% in active units from June to July bringing the count to 1,644. Both markets together represent 6,757 units for sale.
- 5,317 homes were placed under contract. A balanced market with a 6 month supply of inventory would require 31,902 active units.
- Average sold price showed seasonal decline in DSF at $485,766 as well as in ASF at $317,007.
- Average days on market remain low heading into July with DSF at 21 days to contract and ASF 17.
Source: Megan Aller, Land Title Guarantee Company
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There are a lot of details here. I would be happy to help you understand how they relate to your situation and your real estate goals. Just shoot me an email or give me a call.
Megan Aller did a recent Rent vs. Buy cost analysis, I’ve included her comments below…
A lot of questions surrounding lease renewal pop up at this time each year as buyers decide whether or not to continue to rent after a hard search for homes. I’ve included detailed breakdowns with nearly 20 different variables to better aid your buyers in making the decision to rent vs. buy – I’m sure you know which way we lean.
This calculation compares the total cost over time of renting with the total cost of buying. It includes the most common expenses of buying and renting and takes into account how these expenses are changed over time by applying the rate of inflation, home price and rent appreciation rates, and the rate of return on the investments. There are several other variables- which I cover on slides 12-13. Here is a snapshot of what the opportunity cost of renting vs. buying is at $1,500 per month.