Are lower rates already affecting the Denver Real Estate market? The first August monthly market update says yes. Time will tell the full effect of lower rates with duration, but we are already seeing more activity as affordability improves.
Active Listings
Active listings continue to grow well above (56%) last year, though not as much as the preceding summer months. As we move into Fall, listings that did not sell may come off the market until the Spring.
Average Price
The average price continues to hold steady, rising 2% above last year to $706,206. Over the last months, price growth has slowed considerably and possibly reached a ceiling. Lower rates ease the pressure on affordability and may provide more room for prices to grow.
Days on Market
Buyers are taking their time to find the right property at the right price, up to 37 days on average.
Closed Price to List Price
Closed prices are 99% of list price on average. Sellers who want to close are providing some concessions, but not significant price discounts.
The decrease in mortgage rates provides yet another shifting input to the Denver Real Estate Market. Reach out to your CJV Real Estate expert to help inform your strategy. If you are thinking of selling, it may now be time to wait and prepare your listing for the Spring. In the coming months, buyers will get opportunities for discounted purchases from desperate sellers who want to move their property before the calendar end. The next month’s closing data will give us more insight as to the effect of lower rates. Stay tuned!