The housing market around Denver has been hot for years now. The good news for sellers is that it doesn’t look like things are going to cool off in the near future. Even when factoring seasonal trends into the equation, the Denver market remains very stable. Let’s take a look at some of the numbers to see what exactly this means.
Don’t let Average Days on Market scare you.
Yes, it’s a sign of the winter season that the housing sales cycle slows down a little bit. The fall and winter see housing inventory stick around a little bit longer than in the peak summer months. But fortunately, that doesn’t necessarily correspond to drastic shifts in sale price.
Average Sale Price Remains High
Average sale price in the Denver metro area has been at $400,000 or higher for the past year. You may notice a slight dip from the high in June, but the difference is small and doesn’t consistently trend lower. Instead, average sales price goes up in October and December. Halfway through January 2018, the numbers continue to look strong.
Numbers are stable with less inventory
What’s really interesting about the average sale price data is that it isn’t influenced directly by available inventory. As you can see, the number of listed homes dipped quite a bit in October, November, and December of 2017, but the average sale price remains high.
As we’ve noted elsewhere, Asking Price and Market Value are two very different things. This chart, which shows the ratio between the closing price and the listing price in the Denver market shows that market values are actually pretty stable. The difference from the highest to the lowest is only 1.6%.
Clearly, the Denver area continues to be a strong seller’s market, even outside the peak summer months. The uptick in average sale price for December and January numbers thus far that are trending higher than November suggest that now may be a good time to sell your home. With inventory on the lower end for the area, and market values holding steady, the off-peak time could prove to be a boon to your home sale.
If you have questions about this data or have questions about selling your home. Contact us for a free consultation.