Denver Real Estate Market Statistics – May 2016

We are still breaking records in the Denver Real Estate Market. We’ve hit another all-time low of inventory for May.

• The record low May for inventory was 2015 5,463 – our new record was set this year, 2016 with only 5,657 homes on the market!
• The record high number of houses and condos was May 2006 with 30,457 total.
• Our average number of active listings (houses and condos) for May is 16,981 (1985-2015).
• We’ve seen an average increase of 6.2% since 2005 in listings from April to May. We’ve had 3.77% fewer new listings coming on the market compared to last year.
• Days on the market is the same for both Residential and Condos is 30 days. The average May for both Residential & Condos (2007-2016) is 69 days.
• Average Days Under Contract for May was 39 days compared to 39 days last month. May was up 5% from May of last year. That is almost a 6 week close.

We are hearing that you don’t have to do much to your home and it will sell. I caution everyone saying and hearing that to remember each neighborhood is unique and each homeowner has different goals. Sometimes, it is worth selling as is and being done and moving on, and sometimes, it is worth doing a little cosmetic work so that you will receive top dollar. In some neighborhoods, the value is in the land and the house almost doesn’t matter. Other neighborhoods, where the houses are similar and there isn’t any scraping going on, buyers are not as eager to purchase anything that needs too much cosmetic work.

Important notes for sellers:

• Yes, you can overprice your home. Buyers are only willing to pay what they are willing to pay. There will be another house for them eventually. They haven’t forgotten the meltdown.
• If you are not selling a house that needs to be scraped, remember that just because it is a seller’s market, the systems in the house still need to work. Regular mortgages from almost all mortgage companies still require that houses have roofs, working heat, floors, toilets, etc. They need to be habitable and those are a few of the required items.
• Many buyers are backing out at inspection if you receive multiple offers it is in your best interest to have a backup contract.

Important notes for buyers:

• Sellers aren’t required to tell you if they have a backup offer. So be prepared when making any objections during the process.
• Don’t just make offers to get a house, that listing agent might be the same agent on the next property you like and they don’t forget buyers names who back out for no reason.
• Have a backup plan, you might need to move twice. It’s not the end of the world. Yes, there are options, I can help with that.

Let me know how I can help you accomplish your real estate goals.