When this past year came to a close, Denver once again showed its continued strength in the real estate market. Yet, the growth was significantly smaller. Even with a strong December that revealed solid numbers, the increases were significantly smaller than in years past.
Sales volume for the previous year continued the increases. Specific data that fueled that continuing trend includes:
- Average sold prices grew by three percent increase ($460,801 to just over $475,571)
- Inventory rose one percent from 51,665 to 53,788
- Average list prices grew to $505,558, up four percent from 2018
Homes selling for $1 million or higher also saw small growth at one percent ($1,526,999 to 1,535,900). Additionally, time on the market decreased by 14 percent from 72 days to 62 days.
Denver's Real Estate Market: The Good and the Potentially Bad
The past decade has been good for Denver. Since 2010, average gains have been much higher with 2018 reaching 7.2 or 7.9 percent growth, depending on the study. Many locations in the city showed promising consistency for the first part of the year before seeing a decline.
With 2019 at an end, the year's findings are tempered as experts express concerns about the reductions in growth. Some fear that the final numbers could be part of a larger problem that may continue throughout 2020 and beyond.
The news is not all dire statewide. The smaller amount of affordable options in metro Denver is forcing buyers to look elsewhere in the Centennial State. Communities such as Fort Collins and Colorado Springs are set to reap the rewards and outperform within five years, according to the National Association of Realtors.
Regardless of trends, the purchase of real estate is a personal process for any Coloradan. The best bet for success is to place your trust in a skilled and experienced real estate lawyer.