As I look through the numbers from August, I see an average days on market of around 7 days! Interest rates are still hanging in the low 3s for well qualified buyers, and many people are ditching the rent payments for a more permanent solution. The average closed price in and around the Denver / Boulder area stayed fairly steady…. mostly up, with a few niche areas dropping slightly – a market correction that is often seen in areas where sellers get a little too agressive with their list prices. On the flip side, the average home price in Superior went up by $30K when compared to July 2020! Overall, I see the same thing everywhere…. homes are selling, and FAST! The entire MLS in and around the Denver / Boulder area only has about 1.2 months of inventory. This means that it would take approximately 1.2 months for all of the homes that are currently on the market to sell if no new homes were added. To reach a balanced market, we would need to have about 5-7months of inventory – 5 TIMES what is on the market currently. Long story short – it’s a sellers market, and aiming to stay that way.
This market has made it challenging for new buyers and some who are not quite as “well qualified” to get a home under contract. In a multiple offer situation, it can be hard for new buyers with a small down payment to compete with buyers putting more than 20% down or paying all cash. Are you a first time home buyer and worroed that you won’t be able to compete? Check out the next episode of Denver Boulder Living coming Tuesday, September 8th, where I will talk all about how to compete with all cash buyers.
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