Mixed Early Summer Signals
The market was mixed in June. Market statistics indicate a decline in closed sales compared to May and a significant increase in under contract (new sales) in June. This would suggest a bit of a mid-summer pop in real estate activity driven in part by declining interest rates. Multiple offer scenarios continued in some price ranges and neighborhoods. Despite an increase in active inventory, the supply of homes remains relatively low and the demand remains healthy. A few highlights from June:
- Number of available listings for the month increased by 28% in a year over year comparison
- Number of Homes Sold declined 14% from May and 14% from June 2018
- Single Family Homes placed under contract (pending sale) increased 11% in a year over year comparison.
- Average Sold price declined .5% from May and increased 2% from June 2018
- Less than a two-month supply of homes for sale exists in our market (more than five months of inventory is considered a buyer’s market)
- Average days on market (23) increased 21% in in a year over year comparison.
- New construction activity continued at a robust pace as builders push to take advantage of current market conditions (more available inventory – more buyer incentives)
- Mortgage rates continued to moderate to a range of 3.75% to 4.00% improving affordability
- Underlying trend (rising # of homes for sale, declining # of sales from June 2018, rising days on market from June 2018) towards a more balanced market continued.
Bottom line, current market conditions is generally positive for most buyers and sellers. The underlying trend towards a more balanced market will have a greater market impact later in the year when seasonal moderation begins to impact the market. If a move is in your future, now is the time to sell your home. Market conditions vary from neighborhood to neighborhood. Contact me today for an update on the value of your home.
Below is a Denver real estate market snapshot based on June 2019 Statistics from DMAR Market Trends
This information is for the Denver Metro real estate market. Real estate market activity varies from neighborhood to neighborhood. If you would like an instant real estate activity report for your neighborhood click Market Report
or contact us for more information.
Questions? Let’s talk – contact us anytime to discuss your questions, plans or the current value of your home. If a move is in your future now is an excellent time to discuss home preparations and a timeline for your move.