Denver Real Estate Market Wakes Up After December Doldrums

After the December doldrums, the real estate market is showing signs of life. With renewed interest from buyers and sellers, the market is experiencing a resurgence of activity. 

Locally, pending transactions are up by 18% week over week and new listings are up by 17% week over week across the seven counties of Denver Metro. Additionally, showing activity is up by 17% for the week of January 13-21, 2023. Right now we see it is taking an average of 16 showings per home to yield an under contract status. Historically, it has taken an average of twelve showings per home for the same result. 

Buyers are out and looking at homes and putting those homes under contract, though they are being a bit more discerning, taking a little more time to find the perfect fit home.

Additionally, in the wake of mortgage interest rates dipping to the lowest point since September 2022, mortgage applications are up by 28% reported by Mortgage Bankers Association on January 13th 2023.

Overall this is good news for this time of year in our market. We are seeing both current home buyers making moves amidst current available inventory, and incoming home buyers taking initial steps with loan application approvals. 

The unknown factor will be the pace of new and additional inventory coming to market. If buyer demand once again outways supply from sellers our local market may see competitive offer situations and rising home values once again. 

As the year continues it will be important to keep an eye on shifts of broader economic factors influencing real estate, like inflation and mortgage interest rates, in addition to our real estate market’s own seasonality to optimize your buying or selling strategy.  

For more information on the Denver real estate market please reach out to Cherish McClure.