DENVER – AUGUST 2, 2012 – The latest data from Metrolist, the largest real estate multiple listing service (MLS) serving Colorado real estate agents, suggest a gentle slide for Denver metro area home sales going into the fall season.
While July shows a 6% decrease in sales from last month’s impressive numbers, year-to-date sales in the Denver residential market remain on pace to top last year’s numbers. According to Metrolist, the provider of REcolorado.com, average days on market (DOM) fell another 10% in July to 65 days, suggesting that buyers ought to move quickly to secure their dream home before it’s gone.
According to Kirby Slunaker, President and CEO of Metrolist, the slight downward shift in sales is a natural, cyclical occurrence at this time of year. “Fall is just around the corner and we’ve hit the typical season drop off with sales 6% under last month,” stated Mr. Slunaker. “This drop is tracking right along with 2011 figures. In addition, the number of homes that were under contract at the end of July indicates that we may see another decline in units sold next month, but this is nothing to worry about and is attributable to seasonality.”
The Metrolist report also exhibits a slight dip in Denver metro area home prices. The average sales price for single-family homes dipped to $288,884 in July, lowering 3% from June. A 1% drop in total single family properties on the market suggests that sellers are looking to make their move. “Despite the average price decline in July, we’re seeing overall home values increase here in Denver,” stated Jeffrey Zinsmeister, First Option Lending Branch President. The year to date average sales price, $276,129, is tracking 8% higher than 2011 figures, $256,843, throughout metro Denver.
For home buyers, the lack of inventory may mean that it will take a little longer to find their next home. “However, one of the most important aspects to know about today’s market, is that interest rates remain at all-time lows, and people can afford more home now than ever due to the rates and home values,” commented Mr. Zinsmeister. “Thirty year fixed rates are in the low 3% range.”