The Denver Metro Association of Realtors' Market Trends report for April is out. Here is a quick overview of what March real estate looked like in the 11 county metro area.
The average price of a single family home was $530,897. This is an increase of 3.27% from February, and 1.26% higher than in March 2018.
While we are still in a Seller's Market at many price points, the market is nearly as frenetic as we have seen it in the past several years. In fact, we are seeing many price reductions in the market right now which indicates that Sellers have different expectations of the reality of their home's value. It is even more important now than it has been in recent years to be sure you price your house using the most recent statistical data for comparable homes. The close-to-list price ratio is now down to 99.04%, which is the lowest we have seen at this point of the yearly market cycle in four years. We are also seeing an increase of the percentage of transactions with Sellers Concessions, up to 41% in March 2019. The average concession is about 1% of the home price.
Days on market before going under contract has doubled from 7 in March of 2018 to 15 in March of 2019. Sellers need to be prepared that their home may not go under contract the first weekend and make arrangements so that the home is in show-ready condition and available to be seen by Buyers for a longer period of time.
It is hard to say for sure if we have hit the top of this market cycle, but you will always net more money on your home sale if you take the time to make it market ready, price it appropriately, and market it well. With the increased inventory, Buyers are more discerning in response to having more choices. They are looking for clean, turn-key properties.
Read my article The 5 Mistakes Home Owners Make When Staging Their Home For Sale. Contact me if you would like to be connected with a staging professional to learn what to address within your home for the highest return on investment. Learn more about what it is like to work with me as a Seller in this short video.
Buyers are breathing a sigh of relief at more choices in the housing market and, in many cases, more time to make a decision. They are also more likely to negotiate for seller concessions which can help lower the cash they bring to the Closing table. On top of that the mortgage interest rates are now .25% lower than they were a year ago!
Buyers still need to have their pre-approvals completed and be prepared to make an offer on a home that they are excited about when they see it, especially if the price is under $750,000. They may find themselves still facing multiple offer situations for certain desirable homes in our market. Worried about competing with other Buyers over the same house? Find out what NOT to do in my article 3 Reasons Your Real Estate Offer was Rejected. Learn more about what it is like to work with me as a Buyer in this short video.
Reach out if you are considering Buying or Selling a home and we can talk about what I do to help my clients succeed. I will always be honest with you about the market and what needs to be done to help you reach your real estate goals!
No matter who you hire to help you buy or sell a home, be sure you are asking them the right questions, check out my video 15 Questions to Ask When Interviewing A Real Estate Agent.