As Thanksgiving approaches, the Denver market continues march to balance
Since mortgage rates began to rise in late 2022, the Denver real estate market started a journey toward balance, meaning a market in which buyers and sellers stand on more equal footing relative to each other.
This change shows up in the data in a variety of ways, notably in the number of active listings on the market. At the end of October, the 7,453 single-family Denver metro listings on the market represented a 40.1% from the same time a year ago.
Source: November 2024 Denver Metro Association of Realtors Market Report
The gap between active listings and closed sales at the end of October represents also a slowing market. A gap has not been this wide in over a decade.
While they have more homes to choose from, they also have more hurdles, notably the rise in mortgage interest rates, which are hovering just under 7 percent in November (approximately double the rate they were at in mid-2022).
These headwinds are less of an issue for cash buyers, but increased supply definitely impacts negotiations and overall pricing.
Buyers and sellers can find success, but they need a strategy tuned to this particular market. Reach out to me for my perspective anytime, [email protected].