August 2023 Colorado Market Update 🏘️

Hey everybody, this is Michael Rush, your Colorado real estate guide, bringing you a market update for the month of July in the greater Denver area. The single-family home average increased to $778,000, which was a slight increase of 0.3%. The condo and townhome average increased by 1.9% to $483,000. New listings were down 25% year over year, and active listings were down 29% year over year, as sellers continue to take that wait-and-see approach and hold onto their low interest rates on their mortgage. This one's an interesting one as the Fed refuses to take their foot off the pedal when it comes to increasing the Fed funds rate. And demand has decreased 8% year over year, but this is also the first month this year that demand has decreased month over month. The percent of list price to close price decreased 1% year over year and is sitting right at 99.9%. Average days on MLS held steady at 23 days. Now, even though the Fed is refusing to let up, it's important to realize that now is still a good time to buy because the demand is lower. So what I'm saying is marry the house and date the rate, and that's what I personally did. I bought at 7% interest, but there was less competition, we got the house that we wanted, and we're going to be able to refinance next year when rates come down a little bit. Now inventory is still an issue here locally in Colorado and on the national level, but we are seeing some improvements in housing starts and housing completions with 1.63 million housing starts which is an increase of 5.7% year over year. And we're at 1.52 million on housing completions, which is an increase of 5% year over year. As always, if you have anybody looking to buy or sell, or even if they just have questions about our real estate market, I'd love to help them any way I can. I'll see you next time.