Single family homes for sale in the Denver area tops the half million mark in February
Single family homes for sale in the Denver area tops the half million mark in February, at $502,986, up almost 12% from February 2017 according to the latest report from Denver Association of Realtors. Active listings for the residential market finished 5.56% higher than last month and 5.31% higher year-over-year. Active listings for February including single family and condos were at 4,048, which equates to 1.1 months supply of inventory. However, the number of sold listings did decrease 2.82% compared to the previous month and dropped 9.24% year-over-year. Year to date, a total of 5,939 single family homes for sale have sold, down 8.12% from 2017. A total of 4,638 single family homes for sale hit the market in February, which was an increase of 10.88% from last month.
Average days on the market for a single family home dropped to 19 days while condo market continues to see steady growth in days on market, increasing to 72 days compared to 43 days in February.
Year to date, the average appreciation for a single family home is up 10.85% from last year, while the median sold price is up 10.10% at $425.000. The condo market did even better with the average sold price reaching $346,059, representing an 19.36% increase over 2017. The median price of condos sold also increased by 16.49% to $290.000.
For the luxury market, homes sold and closed for $1 million or greater totaled 102 homes in February, down 0.97% from previous month but up 56.92% year-over-year. The closed dollar volume in February for all luxury residential was $147,179,472, down 6.81% month-over-month and up 44.60% year-over-year.
According the National Association of Realtors existing home sales report, all-cash sales comprised 22% of transactions in January, down from 23% a year ago. Individual investors tend to make up the biggest bulk of all-cash sales
Condo development warms up – Seven months after Colorado Gov. John Hickenlooper singed the long-sought construction-defect-reform bill into law, at least 12 affordable condominium developments containing nearly 1,200 combined units were announced or underway in the Denver metro area. This collectively represent only about 8% of the new housing units expected to be brought online next year in the metro area, but that number should grow to 20-25% which is what the ratio was about 15 years ago.
Here’s a little noticed factor behind Denver’s shortage of single family homes for sale – among Denver area homeowners over the age of 60, 13.5% of 1,000 opts for a reverse mortgage, nearly double the nation average of 7.1%