Market Updates July 15, 2023

Inventory Increases – July 2023 Metro Denver Market Update

Pending sales and new listings increased month-over-month. Active inventory has also increased month over month and is about the same as it was this time last year. However, average days on market increased month-over-month, and closed sales decreased showing a slight slowdown in buyer activity.

June’s vital statistics for all homes – detached single family (DSF) and attached single family (ASF) combined – included:

  • The average price for homes was up 2.56% compared to the previous month and down 0.34% from June 2022.
  • The average days in the MLS were up 4.55% from the prior month and up 109.09% from a year ago. The median days in MLS increased from 6 days to 7 days month over month.
  • Active listings at months-end were up 16.11% from May and up 0.21% from this time last year.

Although we are seeing inventory continue to increase, and exceed the inventory for this time last year, activity was considerably slower than last year. Bidding wars were down significantly as the list-to-close price ratio is at 100.23% market-wide. While some homes are still selling the first weekend with multiple offers, many are sitting on the market with multiple price reductions before going under contract. With interest rates hovering around seven percent and construction costs soaring, buyers are much more discerning. Homes that need to be updated are still taking much longer to sell compared to homes that are in move-in-ready condition. Many buyers feel they will not be able to afford to complete updates after closing even if their purchase price is lower. The 16.11% increase in inventory from May is the highest the market has seen since 2020, however, the increase in deals terminating at inspection has contributed to this increase. With growing inventory and activity slowing, it looks like we are heading toward a more normal market. This is great news for buyers but sellers will have to be more patient as it may take longer than usual for their homes to sell. If you need any advice or assistance navigating our real estate market, contact me today at 303.710.5817 or I am never too busy for your referrals.

This update is based on information provided by the Denver Metro Association of Realtors® for the period of June 1, 2023, through June  30, 2023, for the following counties: Adams, Arapahoe, Boulder, Broomfield, Clear Creek, Denver, Douglas, Elbert, Gilpin, Jefferson and Park