The number of homes on the market, in the Denver, area plunged by 20 percent in August from a year earlier, the largest percentage drop in five years.
According to data from Metrolist, there were 24,648 unsold homes on the market last month, compared with 30,827 in August 2007.
This is very good news and reflects what we’ve been seeing also. Home choices are not what they were 6 months ago. However, there are still many options for those looking to buy right now.
Year to Year pricing is way down for August. Both the median and average prices of single-family homes sold last month showed double-digit percentage drops.
The average price of a single-family home was $284,531, down nearly 14 percent from $329,783 in August 2007. And the median price of a single-family home was $225,000, down nearly 13 percent from $257,500 in August 2007.
This data is skewed slightly as it takes the entire Denver Metro area into consideration. There are many parts of town where both average and median prices have actually gone up in the past year. Additionally, from June to August of this year, prices have been on the rise.
This is another indicator that the market is at, or near bottom. Contact us if you have any questions, or would like further information.
Hi Bob,
That's great news! Sounds like your market might have made the turn.
so we have seen a 20% PLUNGE in housing inventory. Dont you think most of that PLUNGE is because homeowners have taken their homes off the market?
Cynthia, we've been bouncing off the bottom for about 6 months. I'm not sure when it will start going up, but I'm convinced we aren't going down any further.
ajpayne, Thanks for your comment and I think you have excellent insight. The fact is the reduction is due, in part, to homes being taken off the market. However, it doesn't really matter WHY the inventory level is down. What matters is that it is down.
Much the same same way buyers entered the market before they really should have (exactly what happened with the "free money" mortgages of the past number of years. The effect was that future buyers were buying today, and that helped fuel the mess we are in.
NOW, sellers are delaying the sale of their home, which will help prop the market up to sustainability. That is the real estate cycle in a nut shell! Thanks for the great comment!