Real Estate Market Stabilizing in Denver

     In a recent Denver Post article Margaret Jackson reported that improvement was seen in the residential real estate market in Denver in February from the previous month, according to a report by Gary Bauer. The report found that total sales in the period increased 9.2% to 4,183, and increases of 5.8% to $192,000 and 4.0% to $117,725 were seen in the median sale price of single-family homes and condos. However, while this is an improvement, these measures are still behind year-ago measures by 18.4%, 13.3% and nearly 11.0%.  You can view the complete article at http://www.denverpost.com/ci_11856656.

     The article goes on to report that Denver home prices have moved closer to stabilzation.  It also reports that 53% of the homes that sold were under $200,000.  Which matches what we are seeing in the market.  Typically, on the lower end housing market, those prices under $150,000, are not staying on the market very long at all.  Investors and first time buyers are scrambling to pick up homes in that price range.  Very often, we see multiple offers on these properties and offers going over the asking price.

     I would venture to say that our window of opportunity to pick up homes in this price range in the Denver Metro area is getting to be very narrow.  I see inventory of bank owned homes falling and with just over 1.5 months supply of homes under the $150,000 range, this coupled with the Obama housing program and interest rates hovering around the 5% level, you will soon start to see prices increasing in this price range.