The Housing Market In Denver Is Cooling Off But Still Strong
Denver has always been a favorite city in which to live. This has mainly been true in recent years, as Denver has had a red-hot housing market. That being said, the market for the capital city of Colorado has cooled off a bit recently. Perhaps that has everything to do with how fast the population has grown, and you can group that with increased home values. What does the Denver housing market look like for the rest of 2018?
Event Bartenders of Denver has personally experienced the increased home values and that this has been the case for in Denver for quite some time. Now, people begin to be leery of buying high. The housing market in The Mile High City is going through a bit of a cooling off period.
Home values have increased on average a whopping 8 percent over the past year. With the market cooling off a little, what is expected for Denver housing over the next year? Home values are still expected to increase, but at around 5.9 percent vs. the 8 percent that people have seen over the last 12 months. That's still nothing to sneeze at though.
Of course, home values are only part of the market cooldown. Looking at the median listing prices and median sales prices, there is a decent gap. The median sales price is just over $400k, while the median listing price is closer to $500k in someneighborhoods of the Highlands. That tells you that the market is struggling a little bit sustaining a climb towards $500k at this point.
It tells you more than that though. It also shows you that there are many homes priced above the $500k mark. It also seems as though there are quite a few sales in that range. Those types of transactions feature more significant fluctuations between the sales price and listing price, hence the gap in the average numbers. That's just one way to look at things.
The median home value in Denver right now is right around $416k. It's good to look at specific other figures, too, to get an idea concerning the strength of the market. For example, about 6 percent of the homes in Denver have negative equity. That might sound a little alarming, but it's actually below the national average.
What about the percentage of homes whose owners are delinquent on their mortgages? The number for Denver would be about half a percent, and the national average is 1.6 percent. That makes the Denver housing market look somewhat healthy.
Once you start looking at the numbers regarding sales prices more slowly, that's where you see a little bit of the disconnect. The numbers still look strong, but you are going to see once again that not all homes are selling close to what they are listed for. In a market that has been soaring, you can see why that's what is happening. It's just going to take time for the perceived value of homes to be what it's supposed to be.
It's one thing for homes to be valued that much, and it's another for people to continue to purchase homes near their valued prices. Nevertheless, home prices are still skyrocketing in Denver, as is the trend. You can always find some great deals though. You have to know where to look. Familiarize yourself with the neighborhoods of Denver CO, and then you can go ahead and check out some listings. Now that you know you might be able to get a discount off the listing prices, you are going to consider Denver to have an active buyer's market.