Denver Real Estate Market Update – July 2019
Average home sales price in June came in at $499,807. That was down .54 percent from May. It is normal for home prices to start dropping in June. May typically sees the highest home prices of the year and prices start to decline in June. For the last two years we’ve seen a 3 percent drop in June and July combined. We will likely see this again in 2019. Since we saw a small .54 percent drop from May to June, I would suspect we see a larger drop from June to July, likely above 2 percent.
The $499,807 average homes sales price was up 1.57 percent over June of 2018. Although we have not seen home prices drop year over year, gone are the days of double digit gains. And although homeowners loved those double digit gains, they just weren’t sustainable long term.
5,234 homes sold in the Denver area in June. This was down 14.31 percent from May, which is to be expected. But also down from June of 2018 by nearly the same percent: 14.34 percent.
Although sold homes was down, under contract homes was up with 6,392 homes going under contract in June. This was up 3.69 percent over May and up 11.11 percent over June 2018.
Buyers are still seeing more choices as inventory continues to climb. June ended with 9,520 homes on the market in the Denver area. That was up 7.07 percent over May and up 28.03 percent over June 2018. This is the highest month end inventory since October 2013.
For reference the average month end inventory in Denver for June is 16,577. This is taken from data since 1985. So you can see that at 9,520 homes, we are still well below average.
And even though buyers are enjoying both the low interest rates and increased inventory we are still sitting safely in seller’s market territory.
A seller’s market is a real estate market with less than five months of inventory on the market. Denver currently has under two months of housing inventory.
The average days on the market in June was 23. This was down 4.17 percent from May and up 21.05 percent from June of 2018.
Median days was just 8 days. So half the homes in Denver area are selling in 8 days or less. Not too bad to sell your home that quickly.
Days on the market can vary greatly depending on your location and price range. And of course, a home must be priced right!
Thinking about buying or selling a home in the Denver area? Contact Courtney Murphy. Courtney is a Denver metro Realtor and long time resident with experience in both resale and new built home sales.