Denver Metro Real Estate Market Update: October 15, 2024
In September, the Denver Metro housing market experienced a revival, driven by lower interest rates and a modest drop in home prices. According to REcolorado, 3,805 home contracts were signed, marking a 28% year-over-year increase and a 5% rise from August, fueled by a surge in inventory. Sellers added 5,029 new listings, pushing active inventory to 11,143 homes—the highest level in a decade and up 50% from last year.
Despite the increased market activity, homes are staying on the market longer, averaging 26 days, which is 11 days more than last September and four days longer than August. While contract activity rose, closings saw a slight dip, down 1% compared to a year ago and 14% from August. The median home price decreased by 2% year-over-year to $575,000.
Consumer sentiment shows signs of improvement, with the Fannie Mae Home Purchase Sentiment Index® reaching 73.9, its highest in over two years. This indicates optimism about potential mortgage rate reductions. And 66% of respondents believe it's a good time to sell.
As the market adjusts to changing economic factors, a rise in pending listings suggests increased closings in the coming months, setting the stage for a strong year-end.
My Take: While some may hold off until after the election, I anticipate a busy market through the end of the year and into 2025. However, it remains a “price war and a beauty contest.” Meaning, homes that are well-priced and in excellent showing condition will sell quickly and for top dollar. Contact me to discuss your plans!
