As the year winds down all outlets tend to look back, review and analyze, in order to gear up for the new year. And what do we see? What glaring trend can we follow and enlarge on?
RE Colorado, on December 8, 2024, published their most up to date findings.
“The Denver Metro housing market demonstrated notable resilience in November 2024, with several key metrics indicating a robust performance despite seasonal slowdowns. According to data from REcolorado MLS, the number of listings that closed in November was 10% higher than the same time last year, although it saw a 13% decrease from the previous month.
The median closed price for homes in the Denver Metro area reached $580,000, marking a 3% increase from last year. However, closing prices did see a 3% decline from October to November as sellers adjusted their asking prices to attract buyers.
Sellers remained active throughout the second half of the year, adding 2,719 new listings to the market in November. This figure represents a modest 1% increase from last November but a significant 41% decrease from October, reflecting the typical seasonal cooling towards the end of the year.
Buyers also showed strong activity, executing contracts on 3,076 home listings in November. This number is 24% higher than last November, although there was a 9% decrease from October, which is less than the typical seasonal dip. Homes spent an average of 29 days in the MLS before a contract was executed, which is 5 days longer than last year and 1 day longer than last month.
The market for homes priced between $1 and $2 million remained particularly strong, with a 30% increase in closings in November and a 5% year-over-year increase in new listings. These homes were actively available for a median of 40 days before a contract was executed.”
The Year Showing Signs of Still Being Competitive
So, the Denver housing market is still showing signs of being somewhat competitive. With prices up 4.8% compared to last year and total of 706 homes sold in November this year, up from 643 last year. With winter arriving we hope things will not change, as the Denver real estate market in the winter is typically characterized by a seasonal slowdown, but there are some factors to consider:
• Inventory
There’s usually more inventory on the market in the winter. In Denver, the average time on the market for a property was 42 days in November 2024, which was the highest since February.
• Buyer and seller behavior
Buyers and sellers tend to be more patient in the winter. However, buyers who stay active may be able to find motivated sellers and good deals.
• Home prices
Home prices are typically lowest in January and February. However, home prices in Denver have remained strong, with the average close price increasing 5% for residential properties in October 2024.
• Selling
While sellers may get less for their homes in the winter, they may receive more help from their real estate agents and have more visibility for their listings.
Here are some other things to consider about the Denver real estate market:
• Interest rates
Higher mortgage interest rates can complicate the buying and selling season.
• Unique listings
Sellers can highlight what makes their properties unique to stand out from other listings
Denver’s Mile high Magazine 5280, has highlighted a selection of luxury homes for sale, and notes, “The winter chill has settled into Denver’s luxury real estate market, with November marking a significant seasonal slowdown in the $1 million–plus segment. But despite this expected cooling, the market proved hotter year-over-year, with listings up 5.69 percent and pendings, closings, and overall sales volume each increasing more than 23 percent from November 2023, according to the latest Denver Metro Association of Realtors’ (DMAR) Market Report.”
Eventually if there is anything to learn, it is that Denver is resilient and continues strong even under the chill of winter.
Happy New Year 2025 from Ed and Kathy Boyle at Katchen Company!
