Denver Stats

According to DMAR, the close-price-to-list-price ratio was down to 100.81 percent, a clear indication that the market has shifted and most buyers are no longer paying over asking price for homes.

July saw an increase in active inventory by a whopping 81.48% when compared to July 2021. Denver metro only had 4,056 homes for sale at the end of July 2021 and at the end of July 2022, we had 7,361.

Homes Taking Longer to Sell

For the first time since February of 2020, days on market went up year over year. In July 2021, homes were taking an average of 9 days to sell, and this year that number ticked up to 13.

The number of under-contract homes, as well as sold homes, were both down when compared to last month. Only 4,438 went under contract in July 2022 compared to 6,061 last year and 1,541 fewer homes sold.

Home appreciation is also slowing down from its rigorous pace a year ago. Last month, home appreciation values were 11.04 percent compared to16.4 percent in July of last year.

The Good News

Owning real estate is not only a great hedge against inflation, but in contrast to renting, it allows you to actually budget for a steady monthly payment. With more active inventory, the insanity of the market has calmed down to a much more manageable pace.

Top Tips for Denver Metro Home Buyers:

• For the first time since before the pandemic, days on market went up, allowing home buyers to navigate their buying journey at a more relaxed pace.
• Showings are no longer impossible to book and most homes are selling at asking price, not above.
• Even though mortgage rates are higher now than they were through the pandemic, they are still more competitive than historical norms.
• Trying to time the market is nearly impossible, instead, if you are offered a rate that you like, lock it in with your lender since it may change in a matter of minutes.
• Get quotes from multiple lenders on rates since your monthly payment will significantly change based on your locked in rate.

Top Tips for Denver Metro Home Sellers:

• Fewer buyers may be bidding over asking price, but it’s still a competitive market.
• Mortgage demand fell last week, hitting the lowest point since 2000, according to the Mortgage Bankers Association.
• Demand for mortgage refinances are down 83% from a year ago.
• Prices dipped 3.33 percent from June 2022 compared to July 2022, which we will likely see continue as we head into the cooler months.
• Establish a selling timeline for your home and be ready to make price reductions as needed to make that timeline work. If your home takes three weeks to sell, what does that mean for your moving plan?