Shaking off the winter slowdown
Buyers are stepping back in, and sellers are finally showing up. The market is picking up speed. February brought more listings, faster sales, and a bit more competition—something we haven’t seen much of since last spring.
What’s Happening Right Now
- Prices are inching higher. The median home price rose to $654K, up slightly from January and about 1% higher than last year. (Prices typically rise in the first half of the year and dip in the second; adjusted for seasonality, Denver-area prices still haven’t returned to their 2022 peak, when rates first crossed 5%.)
- More homes are hitting the market. There were 3,633 new listings in February, a 12.6% jump from last year. As for total active listings…
- Total active listings are way up. There are 6,140 homes for sale, 40% more than a year ago.
- Homes are selling faster. The average time on market dropped from 43 days in January to 27 days in February.
- Mortgage rates have dipped. They’re now hovering around 6.6% (rates). Recent economic uncertainty has helped push mortgage rates lower—good news for buyers. When stocks fall, investors move into bonds, which lowers yields and, in turn, brings mortgage rates down.
More Movement, More Competition
We’re seeing the fastest-moving market in nearly a year. Time on market is dropping, listings are on the rise, and we’ve been in multiple-offer situations more often than not lately.
Our recent Centennial listing, which initially fell out of contract, went back on the market and attracted multiple offers (woohoo!). A downtown Denver condo we were working on also had buyers competing for it. If economic uncertainty persists, lower mortgage rates could give a boost to an already busy spring market.
New construction is also playing a bigger role—about 30% of active inventory right now is brand-new homes, and new home sales made up 14.5% of all closings last month—the highest share since 2005.
So what?!
Buyers: More options are out there, and mortgage rates have ticked down a bit. But competition is creeping back into the mix, so if you find the right home, be ready to move.
Sellers: The market isn’t as wild as 2021, but well-positioned homes are getting attention—we can help you prepare your home appropriately for today’s market.
Thanks for reading! If you want to discuss the market or your own real estate goals, reach out! 😊
