Denver home prices continues to climb hitting an all-time high in June
Denver home prices continues to climb hitting an all-time high in June. The average price for a detached single-family home reached a record high in June, increasing 7% to $498,762 over the previous year. Average price for attached homes, such as condos and townhomes, saw an increase of 14% to $333,800. The average price in June for both attached and detached single-family homes, increased 8% year-over-year, reaching $454,547, according to the latest data from the Denver Metro Association of Realtors. The low inventory continues to be a major drive for the home appreciation, even though there was a significant increase in the inventory in June to 7,059, an increase of 19.75% month-over-month. Historically, the 10-year average increase in June is 6.24% for the inventory. The overall market’s rate of appreciation has slowed compared to previous years. The average price of a home in metro Denver across all product types increased by just 8% in June year-over-year. In June 2016, the average price of homes in metro Denver increased by 12.2% over the previous year.The luxury market in metro Denver continues its hot streak in June, let by condos priced at or above $1 million. Twenty-four condos sold in June, an increase of 118% over the previous year. The number of sold listings totaled 5,712, which was a decrease of 1.82% compared to the previous month, but still 5.81% ahead of last year. The total sales volume in June was $2.596 billion, up 8.66% year-over-year and up 14.53% year to date compared the 2016. Average days on the market dropped to 21 days and only about 1.2 months of supply of inventory.
Denver home prices over the last 10 years has gained 68.7%, according to the latest data from the Federal Housing Finance Agency (FHFA).
How high are rents in metro Denver? The average monthly rents in metro Denver rose to $1,419 in the second quarter of 2017, according to a report by Apartment Association of Metro Denver. However, that’s an increase of 3.5% over the second quarter of 2016, when the average rent was $1,370 per month, less than half the rate of increase between 2015 and 2016, when rents rose 8.3% year-over-year. New units command higher rents. The average rent for an apartment built since 2010 is $1,796 or 62% higher than the $1,109 average rent on apartments built in the 1970s.