Denver’s real estate market is calmer, not cheaper

Indicators of a slowing housing market persist within the Mile Excessive Metropolis, in response to the most recent information from the Denver Metro Affiliation of Realtors.

Why it issues: After two-plus years of plummeting stock and sky-high house costs, Denver consumers have waited a very long time for a bit aid.

Sure, however: Rising borrowing prices are inflicting consumers to reevaluate their buying energy every day, native Realtors say.

What’s taking place: “We’re beginning to transfer right into a balanced market,” Libby Levinson-Katz, chair of DMAR’s market traits committee, stated.

• Present consumers have extra houses to select from, and competitors has eased. However the leap in mortgage charges has priced some of us out of the market, Levinson-Katz stated.

By the numbers: Stock jumped 93.5% in comparison with this time final yr, per the Denver Metro Affiliation of Realtors’ market traits report for September.

• In the meantime, pending gross sales are down 27.9% year-over-year.
• The median gross sales value rose 9.4% year-over-year, however it’s fallen in current months.
• In Could, the median gross sales value was $615,000 and in September it was $580,000.

Sellers aren’t getting 100% of their asking value anymore. On common, houses bought for 98.9% of the record value in September 2022.

• This time final yr, houses have been promoting for 101.9% of the itemizing value.
• Almost 60% of Denver-area sellers dropped their asking costs in July.

Properties are sitting in the marketplace longer, too. In September 2022, houses bought in 26 days on common, in comparison with 13 days in September 2021.

What’s subsequent: The market is correcting — not crashing, Levinson-Katz stated.

• After the usually quiet vacation season, she expects to see costs flatten out and the times on market proceed to extend.