We are continuing to see strong sales for homes in the Denver Real Estate market. This week the median sales price for homes in Denver, CO in is $270,000, with an average of 64 days on the market. Yet, in most cases if a home is priced competitively and it is in good shape, homes are falling under contract in a matter of days. The current active inventory is at 6,738 single family homes, down from 8,705 homes a year ago, but the number of sold homes this year is at 16,537 as of May 31, which is a 21% increase over a year ago. Basically, there is more demand and less inventory, which has led to more competition between buyers. The average price of homes has gone up over 11% this year so far, and the average price of condos is up 13% so far this year.
Inventory is slowly increasing, (1,269 homes in May) but on the whole it is still very low which leads to increasing prices and lots of competition. The key to success in finding a home and getting it under
contract is to be qualified to purchase ahead of time and to be ready to move quickly once something hits the market. For all of my Golden and Arvada buyers in particular, we usually plan to see a home the day it comes on the market, as in most cases they will have offers within the first 48 hours. We are also seeing that it takes an out of town buyer a bit longer to get comfortable with putting in quick offers, which has led in many cases to us having to write several offers for our clients and losing properties before they realize they must make quick decisions and be willing to meet or exceed the asking price if they want a chance at securing a home. None of us knows for sure how long this market will continue to be so competitive, but all signs lead towards strong competition continuing as long as inventory remains low.