Housing Prices Moderate. This Is Hardly A Crash.
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Denver Market Update
It's Not Going to Get Worse
From Nicole Rueth of One Trust Mortgage: The average Denver home appreciated 44.6%, reaching its peak in May 2022. Since then, it has given back 4.95% of the gains. Home sales exploded to levels well above anything we’ve seen in the past decade, with 64,000 homes sold in 2020 and 2021 dropping to an average of 60,000 homes sold in the last three years, still well above a Denver 2012-2019 average of 55,194. Rates plummeted well into new all-time lows and stayed there for much longer than any previous period in history. Even if we look outside housing to the stock market, there were gains of almost 50%. Add in 2022, and we are still up 20% from pre-pandemic levels.
So, where do we go from here?
Let's break down Home Prices, Inventory, Rates, Demand.
Real Estate In The News
How Denver's Real Estate Market Changed in 2022
2022 represented a major shift in Denver’s real estate market. The Colorado housing market had already been hot for several years prior to the pandemic. Then COVID-19 hit, and throughout the next two years, the market exploded as interest rates dropped, and buyers flooded the market. But over the course of the last year, things have started to shift back toward something more closely resembling “normal".
For more information on the Denver real estate market please reach out to Cherish McClure.