The Denver real estate market is still a seller’s market with the average closing price up 16.40 percent in July compared to July 2020. There was some good news for homebuyers with inventory jumping 29.92 percent and a dip in closing of 12.30 percent compared to last month, according to Denver Metro Association of Realtors (DMAR).
The DMAR report mentioned that homebuyers should have more time to consider writing an offer and less competition. As far as home sellers are concerned, it looks like those really high asking prices are going to have to be reconsidered and they should carefully review recent sales before landing at a listing price. We will have to wait and see if this is the case.
The Denver Luxury Real Estate market remains robust. One measure is the close-price to list-price ratio at 101.39 for attached homes and 103.40 percent for single-family luxury homes. The luxury real estate market in Denver saw the median days on market decline to five-days on the market compared to 20-days last year. The luxury buyer in Denver doesn’t have much time to consider making an offer. With luxury homes going for over asking and getting snatched up in just a few days, puts buyers in a precarious situation. There has been a lot of emotion in this market and sometimes the data isn’t enough for a buyer. They are also considering can they let a house go versus just biting the bullet and paying over asking.
One of many surprises in the DMAR report that stood out for us was that “The Luxury Market has had a 108.05 percent increase in closed sales. Year-to-date, the market is at 3,048 sold residences as compared to 2017 when there were 1,075, and 2020 when there were 1,465 sold homes.” The luxury market in Denver continues to break records and show resilience.
