Denver Metro Market Review September - October 2023

Hello, Real Estate Aficionados!

Strap in and let your favorite mug lead the way because I've got the kind of Denver market intel that'll make your real estate heart do somersaults.

Here's the lowdown, R Squared Real Estate style:

R Squared Real Estate Report: Attached Single-Family Homes – September 2023

🏘 Inventory Update: Active listings in September got a healthy bump, up 14.4% to 2,003 homes waiting for their perfect match. While we're reminiscing about the pre-pandemic days when we had 2,170 homes dressed up and ready to go, we're buckling up for a snug fit in inventory as we sail through the year.

📉 Market Dynamics: The dance floor's less crowded this month, with pending transactions dipping by 15.1% and closed deals also taking a 19.3% bow. Looking back at last year's shindig, we're seeing -23.6% and -22.1% fewer partygoers in the pending and closed transaction arenas, respectively.

⏳ Months of Supply: The closet's filling up slightly, with 2.2 months of inventory now up for grabs. And yes, you guessed it, some areas are still seeing a bit of the old razzle-dazzle with 28.6% of homes playing hard to get and closing over asking price.

💰 Pricing Performance: Prices are steadier than a game of Jenga on a calm day—average prices ticked up ever so slightly by 0.1% to an average of $477,559, while the median price took a microscopic dip of 0.1% to $416,900.

🔢 Offer Insights: The frenzy of multiple offers has cooled down a tad, but don't be fooled—28.6% of homes still managed to charm their way into selling for more than the sticker price, at an average of 2.2% over asking.

⏱ Days on Market: Homes are taking a leisurely stroll down the market lane, with the average days on market stretching to 31 days, and the median days on market hiking up by 3 days to a 14-day jaunt.

🚀 Quick Contracts: A respectable 36.4% of homes found their soulmates in 7 days or less, although this is a slight shuffle down by 3.7% from last month. Homes that did hit it off this quickly were likely to flirt their way into receiving 100.6% of their original list price.

R Squared Real Estate Report: Detached Single-Family Homes – September 2023

🏡 Inventory Insights: September saw a slight uptick in listings, but it's still a tight squeeze with 4,643 stand-alone beauties on the market. That's a 28% drop compared to those pre-pandemic days when we had 6,486 homes ready to meet their new owners.

📊 Market Movements: The hustle for homes has taken a breather, with pending sales cooling off by 14.2% and closed deals chilling by 14.8%. Year-over-year, we're noticing a leaner crowd with a 14.2% and 22.7% decrease in pending and closed sales, respectively.

⌛ Inventory Duration: The shelf life of our homes is ripening to 2.1 months of inventory, a 27.5% increase from last month. What's this spell for buyers? More time to play the field and flex their negotiating muscles.

💲 Price Dynamics: The bidding wars have toned down, with average sold prices taking a 2.6% dip to $764,126, and the median sold price stepping back by 1.2% to $637,500. But don't let the numbers fool you—compared to last September, the average and median prices have bulked up by 2.8% and 1.2%, showing some steady gains.

🔢 Offer Overview: While multiple offers are still in the mix, the frenzy's not quite what it used to be. Of the homes that did see a battle of bids, they're fetching an average of 2.6% over the asking price.

⏱ Days to Deal: Homes are lounging a bit longer on the market, with the average days to contract stretching to 29, and half of the homes (that's the median for you) cozying up with a buyer in 14 days. These numbers are strutting right in line with seasonal expectations.

🚀 Fast Movers: A solid 37.7% of homes were scooped up in 7 days or less, although that's a slight 3.1% dip from August. Homes that hit it off this quickly were likely to bat their lashes and snag 100.8% of their original list price.

The Inventory Tango 

Picture this—2.5 months of inventory ripe for the picking. What does this mean for our savvy buyers? More room to cha-cha through negotiations, snag some closing cost assists, or even sweet-talk sellers into covering those pesky interest rate buydowns.

Listing Ledger

Our property lineup is holding as firm as that second-day hairdo—7,123 homes standing tall, including 803 newbies on the scene. New listings took a tiny 5.5% step back week-over-week but are flexing an 8.4% bump from last year, keeping our choices as fitted as a Denver Broncos jersey.

Odds of Offloading

The likelihood of landing a 'Sold' sign dipped by 1.7% to 41.0%. It seems the market's playing a bit hard to get, but who doesn't love a good chase?

Market Mojo

To hit the nirvana of a 6-month inventory pile, we'd need a mountainous 17,435 homes up for grabs. Current status? We're at 40.9%—not full-blown zen garden, but we're cultivating it.

Peek-a-View Showings

 Last week, homes played host to 9,141 showings, strutting their stuff at an average of 1.3 tours per listing. It's taking around 14 encores to snag that offer, all within a fleet-footed 24 days.

Price Trimming Trends

 The price reduction wave is rolling in, with nearly half the homes (49.6%) shaving a bit off the top—average cut? A slim 5.8%, less than your monthly streaming subscription.

Seller Saga

The 2023 narrative? Selling out of necessity, not just for kicks. Instead of the usual seasonal slowdown, we're seeing a steadier ship with fewer listings bowing out early.

For the full picture and a continuous stream of real estate insights, keep your eyes on R Squared Real Estate—where we measure success one square foot at a time.

Cheers to the journey and the joy of the find!

And just for a sprinkle of local charm: Did you know that in Denver, it's legal to own chickens but not roosters? That's right, the city loves the sound of quiet mornings just as much as we appreciate a smooth real estate transaction!

RANDY AVILA | 720-935-0248 | [email protected]

This presentation is enriched with data sourced from multiple esteemed providers. The insights you'll see draw upon the valuable content provided by REcolorado®, Inc., which, while not warranting absolute accuracy, offers a substantial basis for our analysis. Please note, REcolorado®, Inc.'s maintained content may not capture the full spectrum of the market's real estate dynamics. Additionally, we're showcasing showing statistics courtesy of ShowingTime, demographic details from FRED, and interest rate figures from Freddie Mac to round out the comprehensive view of the landscape we're exploring.