The market forces of supply and demand drove average prices for both detached single family (DSF) and attached single family (ASF) homes to new record highs. Active listing inventory rose in March, as expected, but buyer activity increased by an even greater percentage, pushing days on market (DOM) significantly lower and the percentage of homes selling in seven days or less higher. Among the market highlights for March:
- Compared to a year ago, average prices for DSF and ASF increased 8.3 percent and 9.8 percent, respectively;
- Days on market (DOM) dropped 29 percent and 49 percent for DSF and ASF, respectively, compared to the previous month; and
- The percentage of properties selling in seven days or less increased to 57 percent.
These supply-and-demand dynamics are expected to continue throughout the year. In fact, the latest VeroFORECAST – a quarterly forecast on the nation’s real estate market – lists Denver as the second strongest market in the U.S. due to the lack of inventory, low unemployment and rising population. Over the next 12 months, VeroFORECAST predicts Denver residential market values will appreciate by 9.6 percent.
Buyers, who want to live in the Denver metro area but find the competition frustrating, may want to consider taking advantage of less showing activity on holiday weekends. Last year, the number of homes placed under contract was 10 percent less on Mother’s Day, 55 percent less on Memorial Day, 7 percent less on Father’s Day, and 72 percent less on the Fourth of July compared to other weekends in the same month.
If you need any advice or assistance navigating our real estate market, contact me today at 303.710.5817 or firstname.lastname@example.org. I am never too busy for your referrals.
Based on information from REColorado®, Inc. provided by Land Title for the period of March 1, 2017, through March 31, 2017, for Adams, Arapahoe, Broomfield, Denver, Douglas, Elbert and Jefferson Counties. Note: This representation is based in whole or in part on content supplied by REColorado®, Inc. REColorado®, Inc. does not guarantee nor is in any way responsible for its accuracy. Content maintained by REColorado®, Inc. may not reflect all real estate activity in the market.