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Do you remember that game you played as a kid, Hungry Hungry Hippos?

Written by Campbell Mckeogh on . Posted in Uncategorized.

Well, the Denver Metro real estate market is like that more than ever! Buyers are gobbling up homes as soon as they become available.

This increase in buyer demand including rising mortgage applications, is largely due to record low mortgage rates, which equates to more buying power.

June was a record breaking month in many categories, most notably, pending sales. We saw an increase of 7.2% from the previous month of May on accepted contracts, and as well as 18.8% year over year with almost 5,000 homes (detached) under contract in Metro Denver!

For the month of June, 7,364 new homes (attached and detached) became for sale, yet demand was even higher, at 7,676. That means there are more active buyers than there are homes to sell them! In fact, inventory is down 46% of where it typically is for the month of July.

If you are a seller: 

NOW is the time to sell. I recommend getting your home to the market ASAP, before school starts back up and the potential for another lockdown.

If your home shows and is priced well, it will sell very quickly. Hire an agent that knows the market and can help you make your home shine.

If you are a buyer: 

Not only get pre-approved, get fully underwritten. Hire an agent that is knowledgeable, strategic, and can write a clean and solid offer that gets accepted.

Very low interest rates means an increase in affordability. A rate change of 1% = about $60,000 in buying power!

If you are a cash buyer, more power to you!

Highlights from this past week contributing to our competitive market and a strong local economy.

  • 0.7 months of inventory (we need 6 months of inventory for a balanced market, and only have 12% of the inventory needed)
  • Median days on market = 6 days
  • 24% of active homes had a price drop last week with an average of 4.5% decrease in price. ($22,500 @ $500,000 list price)
  • Denver has the 5th highest population of Millennials, the largest group of home buyers.
  • Low unemployment for the US
  • Colorado has a net population gain
  • Interest rates drop below 3% (15 and 30 year fixed rates are better than ARM’s)

Thank you for reading and allowing me to be your guide, advocate and resource in this frenzy market. Together, we can accomplish your real estate goals.

If I can be of value to you, a family member or friend, I would be delighted to.

Stay healthy, safe, and have fun out there in the summer sun!