Denver Colorado Housing Market
The Denver Colorado housing market is balancing out. Sellers who overprice are faced with reducing listing prices. Homebuyers are being more thoughtful as a result of rising interest rates and associated mortgage payments.
The Denver Real Estate Market Shift May to June 2022
Press the play button in the picture below to watch this month’s video to get the details of the changing Denver Colorado housing market from Realtor Sam Wilson.
Watch more videos for home buyers and sellers on Sam’s YouTube Channel
If you are considering buying or selling, get the facts on the market by reviewing the Denver Metro Association of Realtors May Report.
While the housing market in Denver is expected to remain stable, the competitive buying frenzy of the past two years is slowing to a more steady pace. So what does this mean for home sellers and buyers?
Check out Realtor® Sam Wilson’s monthly market video and read on.
May 2022 Denver Metro Market Summary: Denver New Home Listings
New residential listings in the Denver metro area at the end of the month for May 2022 versus April 2022 increased by 13.98%. Sellers may be motivated to get their homes on the market due to rising interest rates that have begun slowing the trend of home sales the first weekend after listing.
Denver Median Home Closed Prices
The median Denver home closed price leveled off by -0.24% from May to June 2022. Homebuyers paid $615,000 for a residential property in May.
The median price for a detached home was $670,105, with condos and townhomes selling at $430,000. So while home values are expected to continue to appreciate, it’s likely the increases of $100,000 year over year experienced from April 2022 to April 2021 are also a thing of the past.
Sellers Are Facing a Different Reality
The days of receiving 10, 15, or 20 offers on the first weekend after listing a home are over. Sellers who insist on pricing their homes too high based on prior market trends or the recommendations of an inexperienced realtor may be shocked not to receive any offers during the first week.
Overpricing because of seller direction or real estate agents ignoring market trends is more likely to result in more days on the market before a sale. Homes priced to sell continue to be scooped up by buyers within the first week or two after listing.
By the two-week mark, home sellers who overpriced their homes have lost their advantage versus homes priced well that already sold in their neighborhoods. Home buyers may be more cautious about making offers on homes with multiple price decreases, or they may wonder if something is wrong with the property.
Home Buyers Have More Control
Home buyers who used to compete to schedule showings are now finding it easier to see multiple homes. The rush to make an offer and have no choice but to make offers tens of thousands of dollars above the asking price has slowed.
Slow and Steady Wins the Race in the Denver Colorado Housing Market
Home sellers and home buyers who plan will continue to win in the Denver Colorado housing market.
- A slowing seller’s market means that planning and preparation are key
- Buyers still must be pre-qualified for home loans and ready to make an offer when the right property comes on the market
Small actions over time will get results. What does this mean for sellers and buyers?
Strategies for Home Sellers
If you are planning to sell your home, traditional wisdom still applies. For example, make sure that you have a plan to address needed repairs and updates so that your home shows well.
Check out our FREE reports pages with tips for selling your home.
While buyers are still in the market for homes that need a lot of work, rising interest rates may prohibit loans for extensive repairs. Investors or fix and flippers won’t make you top dollar offers if they have to invest in modifications.
To make the right decision, evaluate options for selling your home for a lower cash price without making repairs or selling on the open market.
If you are undecided about the next steps to get your home ready for sale, Sam Wilson and his real estate team can give you a financial comparison of selling your home through the traditional process or cashing out based on your current situation.
Denver area residents get a FREE Home Selling Kit By Clicking Here.
Strategies for Home Buyers
Rents will continue to rise in the Denver Colorado housing market. Owning a home remains the best hedge against rising rents, plus homeowners reap the benefits of annual price growth.
First-time home buyers should continue to save for down payments and build credit scores. If you are a current homeowner looking to trade up or downsize, similar wisdom applies to ensure you have the best loan options.
With prices for goods and services rising, it’s essential to ensure that you are in an excellent position to afford and maintain a home.
Whether you are a home buyer or seller, you can download FREE Reports on our Real Estate Tips page.
Is It Time to Buy or Sell a Home?
Are you thinking about buying a home in Lakewood, Colorado, or the Denver Metro Area? Get expert real estate advice when hunting for homes for sale in Lakewood, CO, Jefferson County, and the Denver metro area. Work with a buyer’s agent on the Sam Wilson Home Selling Team. If you are thinking of buying or selling a home, we make you a priority and share our expertise to make the home buying or selling process as stress-free as possible.
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The Sam Wilson Home Selling Team specializes in homes in the Denver Metro area, including Arvada, Aspen Park, Aurora, Brighton, Broomfield, Centennial, Conifer, Denver, Edgewater, Evergreen, Genesee, Golden, Highlands Ranch, Idledale, Indian Hills, Ken Caryl, Kittredge, Lakeside, Lakewood, Littleton, Morrison, Mountain View, Parker, West Pleasant View, Westminster, and Wheat Ridge.
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© 2022 Sam Wilson. All Rights Reserved. Articles by Pamela D Wilson
