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Colorado Market Insights

Colorado Front Range Market Insights

View individual Market Insights for regional areas

 

Adams County •  Aurora •  Boulder County •  Broomfield/Westminster •  Douglas County •  Jefferson County
Metro Denver •  Mountain Suburbs •  Northern CO •  South Denver

 

Working through the statistics of home sales to uncover the trends and make predictions for future behavior is a lot like playing baseball. You assess each players’ skills and ability, do your best to put strong players in each position, then toss out the ball and see what happens!

First up to bat is buyer demand, up 12% in most marketplaces according to NAR statistics. But today’s buyers are discerning batters; they aren’t swinging at everything and they are being cautious about striking out. Always wary of interest rate hikes and thankful for recent drops, they are still keeping watch for those high balls but the strength of the job market motivates them to swing decidedly in hopes of a sweet HOME RUN!

In fact, the chance of a mortgage interest rate hike in 2019 is looking more unlikely every day. In the absence of a surprise uptick in economic growth and inflation, we should expect home loan rates to remain near current levels for now.

Next up are new housing starts. Not content to warm the bench, the National Association of Home Builders' Housing Market Index saw a four-point rebound in February and is now at 62 on a scale where any number above 50 indicates more builders view conditions as good.

Randy Noel, NAHB's chairman, says expectations for the months ahead have turned hopeful. “Ongoing reduction in mortgage rates in recent weeks coupled with continued strength in the job market are helping to fuel builder sentiment,” Noel said. “In the aftermath of the fall slowdown, many builders are reporting positive expectations for the spring selling season.”

With the good news about no immediate rate hikes, job market statistics and optimism from industry experts, the forecast for home sellers is clear skies and fastballs screaming over the plate begging to be hit out of the park.

Resident numbers in the Colorado front range area swelled by 5663 this past March from the 7789 available listings that gave buyers a chance at their own HOME RUN. Umpires called them SAFE after just 42 Days on Market and the fans roared with delight at average sale prices of $478,420.

Greater inventory numbers help keep prices in check, allowing more players to leave the field a winner in the game of home ownership. Increases in pricing slow when there is more inventory, yet the home seller should still see adequate equity increases from any sale. A wider range of buyers will find affordability well within reach.

The entire Front Range is seeing real estate activity increase as we move into the spring season, and the active listings year over year are experiencing big improvements over the last several years. Average down payments are around 16%, which includes conventional, FHA and non-conforming loan types. Average home prices are area specific, but all price points are seeing a good amount of movement.

In fact, according to a January 2019 article in Forbes magazine, we are the hottest real estate market in the country. The article hinted that purchasing a home along the Front Range requires, as they put it, “flexing some muscle”, but it seems we are indeed flexing those muscles.

Springtime has arrived, so let’s PLAY BALL!

 

January 2019 Stats:

Area New Listings Sold Listings Average Sales Price Average Days on Market
Adams County 2019 877 666 $378,320 32
2018 987 676 $375,620 20
Aurora 2019 746 618 $354,110 27
2018 825 679 $338,690 18
Boulder County 2019 599 411 $668,470 49
2018 633 431 $695,770 52
Broomfield/Westminster 2019 323 220 $441,690 30
2018 290 256 $469,250 26
Douglas County 2019 878 611 $542,790 40
2018 914 622 $546,600 35
Jefferson County 2019 1015 743 $472,110 25
2018 1059 848 $453,870 26
Metro Denver 2019 1608 1114 $515,550 32
2018 1635 1197 $493,120 25
Mountain Suburbs 2019 101 45 $636,090 23
2018 95 59 $572,370 45
Northern CO 2019 1521 1162 $399,050 66
2018 1665 1122 $399,200 64
South Metro Denver 2019 904 657 $561,520 25
2018 873 619 $597,500 21
Front Range CO* 2019 7789 5663 $478,420 42
2018 8129 5884 $478,120 37

* Front Range area includes Adams County, Arapahoe County, Broomfield County, Denver County, Douglas County, Jefferson County, Larimer County and Weld County.

 

Source: IDC Global and Datafloat. Information deemed reliable but not guaranteed.

 

 



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